Irish Life withdraws its shares from Irish stock market

Irish Life & Permanent is the Republic of Ireland's largest provider of mortgages and private pensions

Irish Life & Permanent has withdrawn its shares from the Irish stock exchange ahead of a fresh round of bank stress tests.

There has been media speculation that more banks may have to be nationalised once the results of the stress tests are known.

Shares in Irish Life fell 44% on Tuesday to 41 cents a share.

The firm was the only lender to avoid a government bail-out after the financial crisis.

It is thought that Irish banks may need as much as 30bn euros ($42bn; £26bn) in additional capital, which would take the total amount injected into Irish banks since the financial crisis to approximately 75bn euros.

Irish Life said its shares would remain suspended until Friday.

Mortgage market

The Central Bank has carried out stress tests on four lenders - Allied Irish Bank, Bank of Ireland, the Educational Building Society, as well as Irish Life & Permanent.

"The Central Bank expects to announce the results for all the banks involved on Thursday evening 31 March and a full statement will be issued," Irish Life & Permanent said in a statement.

While the insurance arm of the group, Irish Life, is profitable, its banking arm, Permanent TSB is struggling because of its dependence on the troubled residential mortgage market.

Irish Life & Permanent is the Republic of Ireland's largest provider of mortgages and private pensions.