John Perry (Sligo-North Leitrim, Fine Gael)

It is disappointing that the position we are in could have been minimised, if not avoided. There were several indications that the economic downturn was approaching but the Government stood by and failed to act accordingly. The indicators of this recession were flashing throughout Europe and the world, and Ireland is now one of the worst hit countries due to the Government fiddling while Rome burned.

This crisis is one of the worst in our recent history and questions must be asked as to why it was let go this far. Upon seeing banks abroad collapse, and knowing we too were facing deep financial difficulties, the Government stood by and allowed us to plummet further into this downward spiral. Why were drastic measures not taken to bring in experts from outside to advise us? Why not replace those in senior positions making critical decisions on behalf of the whole country? We needed to change the banking culture in dealing with customers.

While some elements of the economic downturn were unavoidable, alarm bells should have sounded as far back as 2006. Property boom and lending transactions in the banking sector expanded at a rapid pace. The Government parties have admitted themselves that some of the decisions they took were wrong but for every €100 million the banks loaned, the Government got €40 million at payback time. It is important to ensure we do not go further down the same path. We must protect small businesses, as they have a vital part to play in rescuing the economy. The Taoiseach owes the country an apology. I watched the television programme about ghost estates, ghost shopping centres and ghost hotels. It was an unbelievable programme which put a chill down the back.

The failure of the Government to deal with the banking crisis adequately has led to small businesses being among the hardest hit. Given the amount being invested in the bailout, it means little or no funding can be invested in the development and sustenance of small businesses. There are 1,500 insolvencies annually. The Government has bailed out the banks and one would have assumed they would have supported businesses which, in turn, would have meant business retaining jobs but that is not happening.

We recognise that protecting the banks is important but it is also important to protect people who were not bankers and who have lost their jobs. Many of them were employed in small businesses. It is extremely important to look forward and to focus on putting ourselves back on the right track. The scale of the bailout is the result of slow and inadequate action on behalf of the Government and the effects will be felt by many for the years to come. The mistakes of the few have consequences for many and for the taxpayer who must deal with this mess for the foreseeable future.

The situation is so grave that the world's eyes are on Ireland and how we act. We have not acted quickly or effectively enough. The fear among the people is that we have not yet felt the full force of this bailout. The position changes every week and all we hear about is bankers, bailouts and bonds. The concern is that property prices and wages in Ireland will have to fall even further. Unemployment is at a record high of 14%. The sad truth is that the citizens of Ireland cannot afford to pay for mistakes of the bankers and the Government.

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