David McWilliams writes on New Beginning in his column today:
"Remember the litany of politicians, so-called economists, and other "experts" from 2006 and 2007 telling us that "the fundamentals are strong". These "fundamentalists" were the lads that brought you such fantasies as the "soft landing".
The victims of this terrible advice can be seen daily in the High Court. In contrast, the people who dispensed that advice are shielded from the consequences of their actions.It is worth reminding the people who hate the idea of helping those in dire straits what doing nothing could mean for the economy.
At last count there were about 36,000 people in the country who have not been able to make a mortgage payment in three months. This figure hides the number of people who are paying smaller amounts. It is easily possible that twice that number are in real trouble with their mortgages and are at risk of losing their homes.
So let's say we do nothing to help them. It is fairly safe to assume that the majority of people in difficulty are under 40. In 2007, I wrote a book called 'The Generation Game' that focused on what would happen to this generation when the crash came. Most have young families. These people were Ireland's "favourable demographic situation" that we heard would keep the property bubble inflated. These are the Pope's Children.
If we do nothing, they are going to turn into our lost generation. Their children, born into the kind of poverty that comes with large unpayable debts, will be disadvantaged for years."