Dáil debates

Wednesday, 1 July 2009

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)

The Civil Service-speak, that this is the slowest rate of increase, demonstrates just where we are. In January the rate of increase was 33,000, in February it was 26,000, in March it was 20,000, in April it was 15,000, in May it was 13,000 and in June it was 11,400. This economy is in crisis. It is a long time since one of the Taoiseach's predecessors said that if unemployment went over 100,000 the Government should resign.

Yesterday the CSO figures also showed that capital expenditure in the economy had declined by one third quarter on quarter. This morning the former Minister of State at the Department of Finance, Tom Parlon, said that the construction industry is in crisis. It seems the Department of Finance is in a state of paralysis.

The Taoiseach is aware of the importance of the creation and protection of jobs. The former secretary at the Department of Finance and historical figure, Dr. T.K . Whitaker, speaking at the commemoration for Seán Lemass, said the protection of jobs is critical. It now appears €12 billion will be slashed from capital expenditure in the period 2009-13. Obviously, some projects must be cut because they all require funding but these involve men and women working all over the country, subcontractors, service providers to subcontractors and providers to main contracts. There is real crisis, exacerbated by the fact that many suppliers of service and contractors in the construction area are now in complete limbo in the pre-NAMA phase because the banks no longer care and there is no money forthcoming.

The current forecast for capital expenditure projects in 2009 is €7.3 billion. Will the Taoiseach confirm that will be delivered? For 2010 the forecast for capital expenditure is €6.6 billion. We heard this morning from the Construction Industry Federation that all that appears to exist are promises. This is a firm commitment, reduced from €9.1 billion announced in the 2008 budget. Will the Taoiseach confirm that in respect of capital expenditure programmes, for this year the commitment of €7.3 billion will stand and that for 2010 the commitment of €6.6 billion will stand? This is about maintaining jobs, creating infrastructure and retaining some semblance of movement in an economy that is in crisis. I am sure it pains the Taoiseach as a politician and former Minister for Finance that when he delivered his budgets, he knew the trends were heading in this direction. Will the Taoiseach confirm those figures will stand for 2009 and 2010?

Comments

No comments

Log in or join to post a public comment.