Irish Life & Permanent PLC (IPM.DB) and Allied Irish Banks PLC (AIB) said Thursday they will pass on the full European Central Bank 25 basis points rate cut to variable and tracker mortgage owner-occupiers.

Bank of Ireland PLC (IRE) wasn't immediately available for comment.

Irish Life & Permanent's banking arm, Permanent TSB, said in a statement it will pass on the 0.25 basis points rate cut announced today by the ECB effective from June 5 2009.

Economists expect Ireland's major banks to promptly announce that they will pass on the 25 basis points rate cut, as they are all included in the government's EUR400 billion-plus bank deposit guarantee scheme.

-By Quentin Fottrell, Dow Jones Newswires; +353 1 676 2189; quentin.fottrell®dowjones.com