Two major banks quitting the country could be forced to stay if they have not made arrangements for their hundreds of thousands of customers to move their accounts.

Ulster Bank and KBC are in the process of shutting down their Irish businesses, claiming strict rules about operating in this country mean the market is not profitable enough.

But the Central Bank confirmed it "has the power" to prevent the banks from leaving if it is not satisfied the customers have been sufficiently helped to move accounts.

The Central Bank has also written to insurance firms that are paid premiums via direct debit asking that they help people ensure things "go smoothly" when the two banks leave. A Central Bank spokesman said: "We have written to all of them and said we have expectations that you will help people and we want to see what your plans are."

On the movement of customers, Derville Rowland, the director of financial conduct at the Central Bank, said: "We are assertively supervising the banks to ensure they prioritise the interests of customers and prospective customers throughout this unprecedented volume of account migration."

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She said a meeting with bank chief executives would focus on ensuring consumers' best interests are protected, adding: "I acknowledge the unprecedented scale involved, and also acknowledge that staff within the banks are working extremely hard in challenging circumstances to provide customers with the services they require.

"We are keenly aware of the impact on both staff and customers in that regard. But while recognising the challenge an exercise of this scale represents, it is also clear that, in terms of the banks' overall plans, more needs to be done."

The Central Bank will carry out another review before the end of June of the times people are kept waiting for telephone customer service.