Dáil Éireann - Volume 536 - 10 May, 2001

Written Answers - Local Loans Fund.

135. Ms Shortall asked the Minister for the Environment and Local Government if, further to Parliamentary Question No. 56 of 5 April 2001, he will provide his Department's estimate of the cost of reducing the rate on the high fixed interest rate loans issued by local authorities prior to 1988 if the rate were to be reduced to current levels, and if he will make a statement on the matter. [13475/01]

Minister of State at the Department of the Environment and Local Government (Mr. Molloy): The total amount outstanding to the local loans fund in fixed interest rate housing loans is approximately £135 million. Also, £70 million in housing loans with a fixed interest rate of 10% is outstanding to the housing finance agency. The estimated cost of reducing these fixed interest rate loans to the current fixed rate of 6% is approximately £10 million this year reducing thereafter as loans are paid off.