Beverley Flynn (Mayo, Fianna Fail)

I welcome the opportunity to contribute to the debate. The Minister for Finance has set out in stark terms the position in which we find ourselves. It costs €55 billion to run Ireland in a given year. Our tax receipts are down to €37 billion. We are borrowing, not just for capital projects, but also to meet day-to-day expenses and pay nurses, gardaí and teachers. We cannot continue to do this for the next number of years because to do so is simply not sustainable.

The Minister has outlined exactly how the €55 million to which I refer is spent. Some €20 billion is used to pay for social welfare. It emerged earlier today that 36,500 people lost their jobs in January. As a result, it will be difficult, nay impossible, to make any savings in the area of social welfare. If anything, expenditure is going to increase.

Some €15 billion is being invested in the capital programme. This programme is badly needed, particularly at a time when the construction industry is on its knees and so many are out of work. It is critically important that our investment, whether it be in the construction of roads, infrastructure or schools, continues.

As Deputy Calleary stated, the final €20 billion goes on public sector pay. It is important to state a painful decision was taken yesterday.

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