Dáil Economy debate: Sinn Féin seeks real recovery and a fair way forward

SPEAKING in the Dáil debate on the Economy today, Sinn Féin Dáil leader Caoimhghín Ó Caoláin (right) said savage cuts in Budget 2011 would prevent recovery and that a better, fairer approach is possible.

He said:

Sinn Féin stands as the real opposition in this debate.

Deputy John Gormley’s call for talks between party leaders and all that followed served one very useful purpose – it cleared away the smokescreen of false party rivalry and exposed the alignment that exists in Irish politics.

It is now very clear that Fianna Fáil, the Green Party, Fine Gael and
the Labour Party stand together in their economic approach. They form a Consensus for Cuts.

Sinn Féin stands apart from that Consensus for Cuts – but we do not
stand alone.

The Irish Congress of Trade Unions and its constituent unions, the
community and voluntary sector, the ESRI and a range of economists have
warned against the strategy of attempting to cut the budget deficit to
3% by 2014.

Sinn Féin joins with those seeking real recovery and a fair way
forward. We are convinced that there is a better way.

We recognise that the deficit caused by the disastrous policies of the
Government has to be reduced. But the plan to reduce it by 2014 by
imposing savage cuts to frontline services and social supports will be
hugely damaging. It will further deflate the economy and worsen the
recession.

Furthermore, the approach the Government is taking in its four-year
plan of frontline and capital spending cuts as well as flat, regressive
taxes, is the same approach they have taken up to now – and it has not
worked. Deepening the cuts will only compound the problem.

We need a different strategy and a longer timeframe. We want a
realistic deficit reduction strategy based on fair taxation system that
ensures the wealthy pay their share, investing in jobs which will
increase state revenue and reduce the social welfare bill and
eliminating wasteful public spending.

Our approach is based on the reality that there is wealth in this state
and that 1% of the population control 20% of that wealth. If that
inequality had been addressed a decade ago we would not now be in
recession.

It is possible to reduce the deficit to 3% over a longer time-frame,
provide real stimulus for jobs in the short-term, raise revenue from
wealth, eliminate wasteful public spending and ensure the delivery of
public services, while protecting those on low income.