Taoiseach Enda Kenny has said the Government aim to bring in a system that is fair and equitable for people who are in mortgage and debt distress.

Responding to criticisms of draft personal insolvency guidelines, Enda Kenny told reporters in Dublin the guidelines were only indicative and would not apply in all circumstances.

He added that it was down to the parties involved and the insolvency practitioners to decide on arrangements in individual cases.

Mr Kenny said it was the “gross incompetence” of the previous administration and their “deliberate efforts” to inflate the property market for their “developer friends” that led to a situation where 100,000 people were in trouble with their mortgages.

He also said that there were no problems arising within the Government following the Meath East by-election and it had not affected his solid relationship with Tánaiste Eamon Gilmore.

Mr Kenny said there was a programme for Government that had been signed off on by both Fine Gael and Labour at a recent review.

He said it was difficult for everyone to implement but this was necessary for the interests of the people and the country.