The Irish High Court has ordered Irish Life & Permanent to sell its life and pension subsidiary, Irish Life, to the government for £1.1bn.
The sale agreement is due to take place on April 13, with formal completion of the separation of the group’s life and pension business from its banking business expected before June 30.
The court order will have no impact on the position of bank customers or life policyholders or on their accounts and policies and existing terms and conditions will continue to apply.
IL&P chairman Alan Cook says: “The financial crisis has exacted an enormous toll on our shareholders, our customers, the taxpayer and the wider community and I know that everyone involved with our group deeply regrets how events have unfolded.
“As chairman, I want to put on record our gratitude to the Irish government and the Irish taxpayer for the support they have provided to the bank.
“Our focus now must be on minimising any further call on the Irish taxpayer and maximising the potential to build sustainable, customer focused businesses which in time can repay the taxpayer for the support we have been given. I believe that this court order lays the foundation for the next phase of that work to begin.”