The problem with Ireland’s banking system: banks are simply not lending

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The problem with Ireland’s banking system: banks are simply not lending
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: Fintan O’Toole on the current issues at the HSE; plus the latest advice columns from Trish Murphy and Roe McDermottDavid McWilliams: During a period when Irish interest rates were as low as they’ve

ever been, Irish bank credit to small businesses has collapsed. Does that not strike you as strange? Photograph: Bryan O'BrienWelcome to this week’s , a selection of the best Irish Times journalism for our subscribers.

“How many simultaneous crises does an organisation have to create before it needs to be changed? If we’re talking about the HSE the joke is that there is no answer to the riddle”: so begins, which identifies five things currently going on at the Health Service Executive. The first, he writes, has to do with long waiting lists: “First, there are now 600,000 patients waiting for an outpatient hospital consultation, with some 137,000 of them on the list for more than 12 months.

. As a result, large parts of the economy are strapped for cash: “Did you ever ask yourself why those small builders, for example, who used to build a dozen houses here and there in your locality don’t seem to be around any more? They can’t get credit at reasonable rates – despite interest rates being so low. Credit is part of the reason. During a period when Irish interest rates were as low as they’ve ever been, Irish bank credit to small businesses has collapsed.

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