Letters: Why are we following Coalition’s narrative on bailout cost?
Published 08/08/2014 | 02:30
Reading Daniel McConnell's article on the falling cost of the bank bailout (Irish Independent August 5), I cannot help but ask, why should we follow the Government's narrative on the cost of the bailout?
For starters, while it is true that the banks have paid out €4.3bn in fees for the bank guarantee, we should not regard these fees as repayments towards the €64bn bailout.
The bank guarantee was, and is, an insurance policy, not a loan repayment scheme. After all, these same banks do not accept life and home insurance premiums as part-payments on a homeowner's mortgage.