Cork TD hits out at Government decision to sell AIB shares 

A CORK TD has strongly criticised the Government’s decision to sell off Allied Irish Bank shares, meaning that AIB is now mostly in private ownership.

Deputy Mick Barry’s comments came in the wake of a sale of 5% of AIB’s shares which brings the bank from majority public ownership into a majority private ownership situation for the first time since the bank bailouts of 2011.

“Before the sale, the State owned 52% of the shares in the bank ... that shareholding will have fallen to 47%,” said the Solidarity and Socialist Party TD for Cork North Central.

“The sale is being described as a milestone along the road to privatisation with the Government extending the share trading deadline to late February 2024 and expectations that the State’s share may be reduced to as low as 40% by the end of this year.

“The last time this bank was in private ownership it crashed on to the rocks and taxpayers had to rescue it with a multi-billion euro bailout.

“A bank that is run for profit can never be a bank which is run in the best interests of society.

“Minister McGrath’s decision to privatise the banks might not have the same disastrous outcomes this time around but at the very least it will make it more likely for ECB [European Central Bank] interest rate hikes to be passed on to bank customers, more pressure for hard pressed mortgage holders, and more challenges for young people trying to secure a mortgage to buy a home,” said Mr Barry.