Eight out of 10 mortgage lending institutions denied yesterday receiving any communication from the Central Bank warning them about breaching lending policy guidelines. The warning is now understood to have been issued verbally in a review meeting rather than in a written communication.

NIB stated yesterday it had not been contacted and EBS, Irish Permanent, TSB, ICS, Bank of Ireland, AIB and First Active said neither any verbal or written communication had been received.

No comment was available from Irish Nationwide and Ulster Bank said it did not discuss Ulster Bank communications.