Oireachtas Joint and Select Committees

Wednesday, 10 July 2024

Committee on Budgetary Oversight

Summer Economic Statement: Discussion

5:30 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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My apologies for arriving late. There was another meeting I had to attend.

We need to have a look at ourselves in relation to the state of the nation, the state of different Departments and the country at this time with a view to occasionally presenting a more forthright and positive view. We all tend to concentrate on the negative and what is not happening, but there are lots more beneficial than negative things happening. This is despite the fact this country has had to come through a very challenging ten- to 12-year period. It was a huge achievement to be able to do that and to be as stable as we are at present. It is important from here on to ensure we have sufficient recognition of the demands in the first instance to allow different Departments to present their requirements in budgetary terms. We should be cautious and careful not to spend the family jewels or the rainy day fund in a mad race, with everybody getting involved on the basis they have the right to do this. Unfortunately, in the not so distant past, we found out very quickly we did not have the right to do anything and we were at the bottom of the ladder. Far from being one of the wealthiest countries in the world, as was said many times, we were suddenly one of the most vulnerable because we had an open economy and were dependent on many issues outside. That situation continues and my hope would be we have a good budget.

We must congratulate all of those who provided support to the various Ministers who have steered our economy and their Departments through rough waters to smoother times. We need to be cautious not to do what a lot of people are now advocating, which is to spend our national reserve. They say this on the basis that we have the money so we should spend it. Unfortunately, anybody who studies the period from 2002 to 2011 will remember very vividly that what we thought we had in reserves was dissipated in two or three days and in some cases in two or three hours. Far from living in the lap of luxury we have to continue to strive to do the best we can in every area and through every Department to address every issue, be it hospital services, health or disability. We must address these issues. We should not pretend for a moment that all is well and we have plenty of money now so we can afford to spend what we think we have.

Let us not forget that on the previous occasion we had to face reality, we had all kinds of experts from all areas throughout the country and the globe offering advice. There were people who told us we would have to have a second bailout and a third bailout and maybe go into insolvency. I remind them we have heard it all before. It was helpful to have a backdrop and a sounding board but it was not right and it was incorrect . It was proved so.

As we proceed into this particularly important time, we must consider the people. This means we have to cater for them in every which way possible insofar as we can. We must, however, also have our eyes reverting to the times that were not so brilliant even though we were deemed to be in a very advantageous position then.