Fianna Fáil has pledged to end the scandal of the variable interest rate rip-off by giving the Central Bank power to cap variable mortgage rates where clear evidence of a market failure exists, if the party is voted into government.

Finance spokesperson Michael McGrath said it is the only party to put the issue of mortgages front and centre of its campaign for fairness.

Mr McGrath said: "The monthly mortgage payment is the single biggest financial commitment for the tens of thousands of households. It is vital that the Department of Finance and Central Bank live up to their consumer protection role. This has not been the case up to now.

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"Comprehensive action is required to ensure that homeowners paying variable interest rates are not ripped off, those falling into arrears have access to long-term sustainable solutions rather than facing repossession and ensure existing borrowers are treated on the same basis as new customers."

Fianna Fáil in government will also

• Provide real, sustainable solutions to those in mortgage arrears or facing repossession.

• Ensure that mortgage holders can switch easily between lenders to ensure they always benefit from the lowest rate available.

• Protect borrowers from vulture funds.

• Allow customers more time to make complaints to the Financial Services Ombudsman regarding the sale of mortgage and other financial products.

• Ensure existing borrowers are treated on the same basis as new customers.

• Retain the Mortgage Interest Relief Scheme to 2020.

• Empower Credit Unions to offer mortgages.

(CD)