Irish Times 21st Feb 2009
''Fine Gael and Labour believe that the Government’s decision to introduce the bank guarantee scheme, exposing the taxpayer to potential liabilities of tens of billions of euro, was influenced by Fianna Fáil’s relationship with the developers lobby, as epitomised by the Galway tent. It is that belief that has fuelled the angry exchanges in the Dáil.
The Opposition parties are convinced that the Government is on its last legs and that it can be forced from office with one last push.
While the Green Party is clearly getting uncomfortable, it will take some extraordinary revelation to force it to pull the plug on the Coalition.
That leaves the country in the worst of all possible worlds, locked in a political stalemate that is making a dire situation worse.
One way out of the morass would be an early election that would focus public debate on the real choices facing the country. Whatever political configuration an election threw up would be far better than a continuation of the dismal 30th Dáil that has proven itself so incapable of handling the crash.
The alternative is the formation of a national government that might have a chance of building a consensus about how to face into the storm. The phoney arguments suggesting that serious spending cuts and real tax increases can somehow be avoided could be put to bed once and for all and the best talents in the Dáil deployed in the national interest.
However, there are huge obstacles in the way of either alternative.
Fianna Fáil will do everything it can to avoid an election, with at least half of its TDs facing the prospect of losing their seats.
As long as the Greens remain loyal to the Coalition, and there is no sign of that changing, an election can be avoided.
The national government alternative would involve the Opposition parties assuming some of the responsibility for the economic mess created by Fianna Fáil’s profligate spending policies of the past 10 years. It would also involve them implementing the bank guarantee scheme which they now believe was a set-up to protect a rogue bank. Neither of the main Opposition parties is in any mood to follow that course.
The problem is that unless one or other of the unthinkable options are adopted, the outlook for the country is dire.
All the banks may have to be taken into State ownership and the EU will probably be forced to step in to take control of the Irish economy in order to protect the euro. The rescue prescription from Brussels will involve the kind of spending cuts that will put the €2 billion savings plan in the halfpenny place and will, incidentally, expose the hollowness of the notion that some magical social solidarity pact can act as an alternative.
As a result of 10 years of Bertieism the country is simply spending far more than it can afford and if we do not make the cuts ourselves others will make far more savage ones for us. The problem with social partnership is that it has eroded the ability of politicians to make the kind of decisions for which they were elected.
The banking system has failed the Irish people; if the political system now fails them there is no knowing what rough beasts may slouch out of the shadows.
It would be sad and ironic that, having just celebrated the 90th anniversary of the First Dáil, the 30th Dáil was to bring democracy into disrepute by failing in its duty to provide the kind of government the people desperately need.''
Stephen Collins article today tells us of a crisis of government within a banking crisis which is still a side issue compared to the perilous state of the sovereign debt of this country of ours.
Today our demonstrations and marching were item no. 2 on the BBC news headlines which indicates our position in Europe.
What we need from whichever goverment is the will and desire to put this bank issue on track 2 and get on with the really important Track 1 which is the economic perils facing us all.
Observers and economists in Europe predict that Ireland has a 10% chance of defaulting on its sovereign debt - this is a one in ten chance of a catastrophe.
While we are marching today about impositions of levies and inequalities to raise 1.5 billion, we must remember that at the last time of looking, we need to raise 4 billion next year and the next and the next at minimum.
Goverment needs to find more and more monies soon from the Irish economy. The more we borrow overseas, the higher the rate we pay, and the further our ratings will fall.
Income tax, charges,rates,levies all need to be painfully raised to meet these needs.
We are desparate for
1. A goverment with determination
2. A deep cut in the public sector expenditure to include pay,expenses and services such as child benefit.
provided.
3. an increase in Paye rates as well as corporation tax rates.
4. see 1 above
5. see 2 above
6. see 3 above
7. Above all a sense of pulling together which has been lacking since the dawn of the Celtic Tiger.
''Fine Gael and Labour believe that the Government’s decision to introduce the bank guarantee scheme, exposing the taxpayer to potential liabilities of tens of billions of euro, was influenced by Fianna Fáil’s relationship with the developers lobby, as epitomised by the Galway tent. It is that belief that has fuelled the angry exchanges in the Dáil.
The Opposition parties are convinced that the Government is on its last legs and that it can be forced from office with one last push.
While the Green Party is clearly getting uncomfortable, it will take some extraordinary revelation to force it to pull the plug on the Coalition.
That leaves the country in the worst of all possible worlds, locked in a political stalemate that is making a dire situation worse.
One way out of the morass would be an early election that would focus public debate on the real choices facing the country. Whatever political configuration an election threw up would be far better than a continuation of the dismal 30th Dáil that has proven itself so incapable of handling the crash.
The alternative is the formation of a national government that might have a chance of building a consensus about how to face into the storm. The phoney arguments suggesting that serious spending cuts and real tax increases can somehow be avoided could be put to bed once and for all and the best talents in the Dáil deployed in the national interest.
However, there are huge obstacles in the way of either alternative.
Fianna Fáil will do everything it can to avoid an election, with at least half of its TDs facing the prospect of losing their seats.
As long as the Greens remain loyal to the Coalition, and there is no sign of that changing, an election can be avoided.
The national government alternative would involve the Opposition parties assuming some of the responsibility for the economic mess created by Fianna Fáil’s profligate spending policies of the past 10 years. It would also involve them implementing the bank guarantee scheme which they now believe was a set-up to protect a rogue bank. Neither of the main Opposition parties is in any mood to follow that course.
The problem is that unless one or other of the unthinkable options are adopted, the outlook for the country is dire.
All the banks may have to be taken into State ownership and the EU will probably be forced to step in to take control of the Irish economy in order to protect the euro. The rescue prescription from Brussels will involve the kind of spending cuts that will put the €2 billion savings plan in the halfpenny place and will, incidentally, expose the hollowness of the notion that some magical social solidarity pact can act as an alternative.
As a result of 10 years of Bertieism the country is simply spending far more than it can afford and if we do not make the cuts ourselves others will make far more savage ones for us. The problem with social partnership is that it has eroded the ability of politicians to make the kind of decisions for which they were elected.
The banking system has failed the Irish people; if the political system now fails them there is no knowing what rough beasts may slouch out of the shadows.
It would be sad and ironic that, having just celebrated the 90th anniversary of the First Dáil, the 30th Dáil was to bring democracy into disrepute by failing in its duty to provide the kind of government the people desperately need.''
Stephen Collins article today tells us of a crisis of government within a banking crisis which is still a side issue compared to the perilous state of the sovereign debt of this country of ours.
Today our demonstrations and marching were item no. 2 on the BBC news headlines which indicates our position in Europe.
What we need from whichever goverment is the will and desire to put this bank issue on track 2 and get on with the really important Track 1 which is the economic perils facing us all.
Observers and economists in Europe predict that Ireland has a 10% chance of defaulting on its sovereign debt - this is a one in ten chance of a catastrophe.
While we are marching today about impositions of levies and inequalities to raise 1.5 billion, we must remember that at the last time of looking, we need to raise 4 billion next year and the next and the next at minimum.
Goverment needs to find more and more monies soon from the Irish economy. The more we borrow overseas, the higher the rate we pay, and the further our ratings will fall.
Income tax, charges,rates,levies all need to be painfully raised to meet these needs.
We are desparate for
1. A goverment with determination
2. A deep cut in the public sector expenditure to include pay,expenses and services such as child benefit.
provided.
3. an increase in Paye rates as well as corporation tax rates.
4. see 1 above
5. see 2 above
6. see 3 above
7. Above all a sense of pulling together which has been lacking since the dawn of the Celtic Tiger.