The finance minister has warned that cutting mortgage interest rates could cost jobs elsewhere in the economy.

Michael Noonan was speaking as TDs examine plans to give the Central Bank the power to step in and cut variable mortgage rates.

He's warned that banks are only in the mortgage industry to make money - and claims that if profits from mortgages are limited, banks may then raise interest rates in other areas to make up the shortfall.

The discussion came around a Fianna Fail bill which passed it first hurdle in the Dáil earlier this year, and was today tabled at the Finance Committee for further debate.

Good analogy from @BrendanBurgess on why it's unfair for banks to charge higher variable mortgage rates, just because trackers lose money: pic.twitter.com/s57KyJ5Ycx

— Gavan Reilly (@gavreilly) October 20, 2016

Its author Michael McGrath said the institutions of the State had clearly failed to protect those on higher rates - and that the Dáil now needed to step in and help them.

However Michael Noonan also questioned whether the powers would even be used by the Central Bank, which had not indicated any wish to gain them.

Our political correspondent Gavan Reilly reports: