Editorial: A mortgage break could help us all
THE two-year freeze on mortgage repayments suggested by economist David McWilliams could be just what the country needs.
Most of us are simply afraid to spend money at the moment but a break from mortgage repayments would release a minimum of €600 a month into family budgets and stimulate us to spend.
Savings have gone from just over 50pc of GNP to 62.7pc in three- and-a-half years, which is ample evidence that we're loath to dip into our wallets in our shops and towns.
A brave move like this -- estimated to be around €20bn of a stimulus over its two-year lifespan -- could provide people with a well-earned break -- many of whom are already in negative equity.
Public finances are in a sorry state and this could be the vital kickstart that the economy requires.
We're paying for the banks out of our own pockets, now the banks should give us a bit of a break.