Corporate banking struggles as Irish crisis continues

Corporate banking in Ireland and nearby countries has been hit by the country's public deficit crisis, which is likely to result in a bailout from Europe and the International Monetary Fund.

Head of the central bank, Patrick Honohan, recently revealed he believes the amount needed will run into "tens of billions", leading to sharp falls of financial groups on stock markets in the UK and Europe.

Those in corporate banking may find international firms view Europe as a riskier place to do business as a result, with countries such as Portugal and Greece also suffering from a lack of financial stability.

And corporate banking tax has been the subject of much debate, as the country's 12.5 per cent rate is among the lowest in Europe, something Eurozone members are pushing to change.

European officials want Ireland to raise the levy in line with neighbouring countries and are using the bailout as leverage, but deputy prime minister Mary Coughlan has said the tariff is "non-negotiable". ADNFCR-2318-ID-800245898-ADNFCR