Bank of Ireland is set to appoint rent receivers in a bid to clamp down on buy-to-let investors who “divert” their property income away from the bank.
Buy-to-let mortgages have been the worst performing for a series of banks, with Bank of Ireland’s buy-to-let book valued at €7 billion.
Around €3 billion of that was described by bank chief executive Richie Boucher as “problematic” but he believed a number of those failing to meet their repayments were engaged in a “diversion of rental income that should be coming to the bank.”
He said they would look to appoint rent receivers to deal with the problem.
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Mr Boucher also said that the bank was not engaged in government proposals to shift tens of billions of trackers away from Permanent TSB and AIB.
