Mortgage caps not the answer - Central Bank chief

Central Bank Governor Philip Lane has said caps are not the best way to ensure

mortgage competition.

He was speaking to reporters in Dublin about a Fianna Fáil Bill which would give the Central Bank powers to imposecaps on variable mortgage rates. The bill was passed earlier this week and now goes to committee stage.

The Governor said today, however, that the Central Bank would follow the spirit and letter of mortgage law.