EconomySpeeches

John Glen – 2021 Statement on the Bilateral Loan to Ireland

The statement made by John Glen, the Economic Secretary to the Treasury, in the House of Commons on 13 April 2021.

I would like to update Parliament on the loan to Ireland.

In December 2010, the UK agreed to provide a bilateral loan of £3.2 billion as part of a €67.5 billion international assistance package for Ireland. The loan was disbursed in eight tranches, and the final tranche was drawn down on 26 September 2013. Ireland has made interest payments on the loan every six months since the first disbursement.

On 26 March, in line with the agreed repayment schedule, HM Treasury received a total payment of £406,428,318.19 from Ireland. This comprises the repayment of £403,370,000 in principal and £3,058,318.19 in accrued interest.

HM Treasury has also provided a further report to Parliament in relation to the loan as required under the Loans to Ireland Act 2010. The report relates to the period from 1 October 2020 to 31 March 2021. It reports fully on the two final principal repayments received by HM Treasury during this period. The loan has been repaid in full and on time.

A written ministerial statement on the previous statutory report regarding the loan to Ireland was issued to Parliament on 5 October 2020, Official Report, column 18WS.