Martin Mansergh (Tipperary South, Fianna Fail)

What is remarkable is how long it was sustained. None of us had the hubris to believe that the economic cycle would be abolished. Sooner or later, we were bound to encounter factors leading to a downturn.

Deputy Ó Caoláin spoke of the multinational companies in a somewhat deprecating manner. Many of the multinationals in this country have shown a very substantial commitment over quite a long period. It is wrong to depict them as fly by night in nature. Large indigenous firms do not necessarily behave in a radically different manner. An opinion was also expressed that we cannot compete. It is interesting that the headquarters of a number of firms in London have either decided to move or have contemplated moving to Dublin.

Fianna Fáil has shown a substantial commitment to social republicanism in its management of the economy. For example, close to 40% of the workforce do not pay tax. The European Commission has often stated that we have the most favourable tax system for low paid workers. When he was Minister for Finance, the Taoiseach brought a markedly more egalitarian ethos to the management of the public finances and to welfare improvements. Any tax plans were always conditional on economic circumstances, and the same would have been true if the Opposition parties were elected to Government. The Taoiseach made it clear that the priority now is to sustain public service and employment, and to make sure that the economy and society come through current difficulties with the minimum of damage.

As was stated during the previous debate on the Comptroller and Auditor General, the emphasis must be on improved value for money. There have been very substantial increases under every spending head over the past few years. We must ensure we get a better bang for our buck. Therefore, I commend the Government amendment to the House.

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