Brian Cowen (Laois-Offaly, Fianna Fail)

Obviously, these are all issues that will be considered closely by the Minister concerned, by our Department and by the Minister for Finance on an ongoing basis as we seek to effect economies and savings across a whole range of activities. The 3% payroll costs cut, compared to what will be required in the years ahead, is a minor imposition, to be frank, and we must see it in that context.

The challenge before us in terms of the public finances is a very large one, and one that will require ongoing consideration. The Minister has appointed people to consider public expenditure in all of its aspects, in every respect, in every Department, both in terms of the numbers employed and whether programmes which are attracting funding are critical, core or necessary in the new context in which we find ourselves. As the Deputy knows, stability in our public finances is an absolute prerequisite for a sustainable level of service. We must re-adjust our expectations, I am afraid, and re-adjust what is possible given the overriding importance of showing a determination to address the instability in the public finances that has arisen, particularly in the last six months of last year and continuing this year, as a result of the international recession and the financial crisis with which we are contending.

From our point of view, while difficulties will arise in various Departments at various times, and pressures will increase, it behoves us all to bring about whatever change we can in how we do our business to drive efficiencies and raise productivity everywhere we can.

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