Mary Coughlan (Donegal South West, Fianna Fail)

The release of the pre-budget outlook last week sets out the parameters within which we must all work when considering budgetary decisions.

We all know that Ireland has experienced an extremely challenging 18 months. The pre-budget outlook reflects that. The global recession has had a particular impact on small, open economies, such as that of Ireland, more so than others. Allied to the severe contraction of our domestic construction sector, that has placed enormous pressure on the Irish economy and on our fiscal position. Considered decisions, therefore, many of which will not prove popular, are required to address these challenges and return our economy to a sustainable growth path. This Government has already taken such decisions, and I can assure the House that it will continue to face up to the challenge that such decisions present as we near the budget of 2010.

I have heard nothing from the benches opposite this evening that would convince the public that the parties opposite are prepared to address comprehensively the realities of the position the country is in today. For example, Deputy Bruton talked about transforming government and the way we do things. I agree with him. We, in government, are committed to public sector reform. We have taken steps to rationalise government and further measures will be announced in the budget but what we need now is €1.3 billion savings in public sector pay. No reform or transformation will provide that saving in the immediate term. That is the issue any party in government would have to focus on, and the Opposition cannot escape that reality.

Deputy Bruton also spoke about the importance of protecting young families. We agree with that but in a time of scarce resources surely he would agree that we must distinguish on the basis of need. Resources must be concentrated on those most in need if we are to advance equity in this country. At a time of growing birth rates we simply cannot afford to leave child benefit outside of our budgetary considerations. If Deputy Bruton was on this side of the House, he would do exactly the same thing.

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