The introduction of the euro will lead to an increased take-up of longer-term fixed-rate mortgages here, according to Mr Pat O'Reilly, chief executive of the EBS Building Society.

The advent of the euro will provide an opportunity for stable long-term funding for the mortgage industry, which will in turn lead to an increased take-up of fixed rate mortgages, as is currently the norm in continental Europe, he forecast.

Mr O'Reilly has just taken up the presidency of the European Mortgage Federation, which he holds for this year. The Brussels-based EMF is the representative body for national mortgage lenders' associations across Europe, including representatives from 16 countries.