Credit review body may include non-bankers

THE HEAD of the Credit Review Office, John Trethowan, has said he will consider including representatives from the business sector as part of the credit review committee which reviews lending decisions by banks.

Speaking at the Oireachtas Joint Committee on Enterprise, Trade and Innovation yesterday, Mr Trethowan said he accepted there had been some concern that the 10 credit reviewers retained by the office were all former bankers.

“We will look at the inclusion of non-bankers,” he said.

In addition to a small team of administrative staff, the Credit Review Office retains a pool of 10 credit reviewers who review cases as needed. Mr Trethowan said yesterday that nine of the reviewers were former Ulster Bank and National Irish Bank executives, while one is a former Bank of Ireland employee. Only AIB and Bank of Ireland come under the remit of the Credit Review Office.

Mr Trethowan defended the policy of retaining former bankers exclusively.

“They are extremely experienced and have been through three recessions. They know what will work and what won’t.”

He stressed that the focus of the reviewers was on the future cash generation capacity of the business.