Brian Lenihan Jnr (Dublin West, Fianna Fail)

The reformed structure is expected to deliver new high standards of banking and financial regulation and corporate governance. It will help restore the reputation of our regulatory regime and rebuild confidence by creating a single oversight institution charged with the important functions of ensuring financial stability, reinforcing prudential supervision and pursuing regulatory integrity through the entire financial sector in Ireland. This will involve a fundamental reform and I will seek to ensure that the best EU and international practice is applied to Ireland's regulatory system.

The Government wishes to send a strong signal that the types of practices followed in some of our institutions are unacceptable, that the regulatory lapses will not be repeated but that Ireland remains open for the continued development of a soundly based, well regulated and competently supervised financial services sector.

The key messages I wish to give to the Irish people who hold the Government to account and to those outside with whom we trade and offer investment opportunities, are first that the Government has taken action on the public finances and is scaling up that action in the face of continued pressure on these finances. Second, public spending will continue to be brought under control, tax revenues will be increased and the commitment to bring the current budget to surplus by 2013 will be met. Third, while Government borrowing will increase, it will remain at a manageable level, given the low base from which it is being increased. The Government will be able to borrow as all the credit rating agencies recently have re-affirmed Ireland's AAA rating, the highest credit rating. Fourth, sweeping reforms of our regulatory and supervisory structures are planned to restore domestic and international confidence in the Irish financial services sector. Finally, the Government will continue to work with its partners in the euro zone, the European Union and the international community to communicate its firm intention to take the necessary measures to address the difficulties both in the public finances and in the regulatory system.

The restoration of the public finances to a stable and sustainable footing is one of the most daunting challenges to face any Government since the foundation of the State. The Government will meet this challenge and I ask the parties opposite to set aside their political differences and support whatever Government action is for the good of the country and of its people. We will adjust our cost base, improve our competitiveness, reorient our economy towards innovation and export-led growth in a fair and equitable manner and will ensure that this economy will once again provide employment, prosperity and opportunity for our people.

I move that Dáil Éireann affirms its support for the Government amendment.

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