On the day of the Minister for Finance’s deadline for some movement on bank mortgage rates, Permanent TSB has announced that the rates for its 70,000 standard variable rate customers will fall from 4.5 percent to a range of 3.7 percent to 4.3 percent from next September.

Newstalk understands that Ulster Bank may announce reductions in its fixed rates before the end of this week - and that there will not be any further announcements from either AIB or Bank of Ireland today though the banks are expected to correspond with the Minister about what they’ve done to reduce rates since May, and any further plans they may have.

AIB introduced a 0.25 percent cut in variable rates in early May – impacting up to 160,000 customers, these rates currently average 3.9 percent.

Bank of Ireland cut fixed rates for the second time in late May – fixed rates varying from 3.6 percent to 3.95 percent.

The bank has made it clear on many occasions that any reductions in mortgages will be in terms of fixed rates a move which the Minister seemed critical of in the Dail last week - it will be interesting to see if he elaborates on this over the coming days

Ger Mitchell, Director of Lending at Permanent TSB joined Newstalk Breakfast to discuss the announcement.

He says that this is a "competitive move" - but would not be pushed over whether the bank would consider offering interest rate reductions to customers who are in negative equity.