FG/Labour Government and MEPs failed to stand up to Europe on bank guarantee – Commission chief’s ex-adviser

» John Hedges

An Phoblacht Editor

‘The Irish Government could have stood up for themselves . . . the European Central Bank would have blinked’ – Philippe Legrain

COMMENTS by the former adviser to the head of the European Commission, Philippe Legrain, point to the failure of outgoing establishment MEPs and the Irish Government to stand up for Irish interests in Europe, Sinn Féin EU Midlands North West candidate Matt Carthy has said.

Philippe Legrain left his job at the Commission earlier this year to release a book condemning the EU’s handling of the financial crisis.

He said:

“It was outrageous of Germany, the European Commission and above all the European Central Bank to threaten to force Ireland out of the euro if it did not follow through with that foolish guarantee, lumbering Irish people, who have already suffered enough from collapsing house prices and a sinking economy, with a €64billion bill to bail out bust banks, €14,000 for every man, woman and child.

“Ireland’s partners abused the fact that it desperately wanted to be part of the euro.

“I understand why the Irish Government did what it did (agreed to implement a bank guarantee) but they could have stood up for themselves . . . the European Central Bank would have blinked.”

He added:

“Ireland needs to play hardball now.”

Speaking from the campaign trail in Kildare today, Sinn Féin’s Matt Carthy said Philippe Legrain’s insight shows that Ireland was bullied by its European partners and that the Irish Government could have stood up for themselves – and Ireland – on the bank guarantee.

It points to the abstract failure of the outgoing establishment MEPs to stand up for Ireland’s interests in Europe, Matt Carthy said.

“Fianna Fáil, Fine Gael and Labour have failed to stand up for Irish interests in Europe. As a result Ireland got a raw deal. 

“Mr Legrain is right when he says that Ireland ‘needs to play hardball now’ on legacy bank debts.”

“I want to work to secure a deal on legacy banking debt and the retrospective recapitalisation of the Irish Banks. I want to set down a marker about how Ireland is treated. I want to ensure that the concerns of the people of the Midlands North West constituency are heard in the European Parliament and I want to make our EU colleagues understand that Ireland will never again allow itself be walked on as has been done over the last five years.

“Ireland needs MEPs who are not afraid to be outspoken and to stand up for Irish interests. A strong team of Sinn Féin MEPs will stand up for Ireland.”