Goggin refuses to comment on reports of €650,000 annual pension

SARAH BARDON

The former chief executive of Bank of Ireland has refused to reveal the amount of his annual pension from the bank.

Brian Goggin was questioned at the Oireachtas banking inquiry on reports he is receiving a pension of €650,000 per year.

He said he felt no obligation to detail his package but confirmed he has never taken a voluntary reduction and was never asked to do so.

He told the inquiry he was paid “exceptionally well” as chief executive but said all of his remuneration was decided by the board of the bank. He had no input or involvement in that decision.

Asked if he was worth his salary which reached almost €4 million a year, he said that was not for him to determine.

Apologised

Mr Goggin apologised for his stewardship of the bank which led it to receive a bailout of €4.7 billion. “I regret that State assistance was required. I’m very sorry this happened on my watch.”

He told the inquiry all his decisions as chief executive, “good or bad”, were made “in a considered fashion and in good faith”. He “deeply regretted” losses incurred by shareholders of Bank of Ireland.

Conservative

Bank of Ireland was a “pretty conservative bank” but it still got caught, Mr Goggin said. “It is very easy to be wise with hindsight.”

Questioned by Fianna Fáil’s Michael McGrath, Mr Goggin accepted Bank of Ireland had taken too much risk in the years leading up to the crash.

He said the bank was totally opposed to 100 per cent mortgages. “We were reluctant followers. We were opposed to them.”

Mr Goggin said he told the financial regulator in 2006 that 100 per cent mortgages should be banned.

“I said he should ban mortgages of more than 90 per cent. The regulator said it was not his role to interfere in the market.

“No matter how conservative a bank is, if you have a 60 per cent correction in property prices no bank can withstand it.”