The attorney general told Darragh O’Brien it may be legally and morally justifiable to require banks to contribute to the state mica scheme because of the benefits they receive.

He warned there would be ‘serious consequences from a public finance perspective’.

Attorney general Rossa Fanning admitted the state mica scheme “may be of limited value” to many homeowners with semi-detached properties.

Attorney general Rossa Fanning mediated an internal Fine Gael dispute over the controversial mica scheme after TD Joe McHugh resigned the party whip.

Mica homeowners have had redress applications downgraded to cheaper options on the recommendation of a state-appointed company linked to the chair of the state’s mica expert group.