Joe Costello (Dublin Central, Labour)

That may well be. However, this is the whole approach to it. The next step the Commission moves on to is the regulation of the financial markets, all of which is an integral part of the same package. We have discussed at the Joint Committee on European Affairs and the Joint Committee on European Scrutiny the de Larosière report and we have made considerable contributions to that report in terms of its drafting. Again, this is something the scrutiny committee has requested would be put on the floor of the House for debate. The new regulatory mechanisms are very worthwhile - that is an EU initiative - and it is essential that they be put in place to give confidence in, and to regulate and supervise, the marketplace, as well as to restore confidence in the financial institutions and to ensure that the cowboys who were operating in the past and have brought the whole banking system to such a sorry state are reined in once and for all. We would like to see a debate in the House.

The new EU 2020 strategy is probably the most important factor of all in terms of an economic way forward. This is the second half of the Lisbon strategy that began in 2000 with a very ambitious programme of making the EU the most competitive and dynamic economy in the world. Unfortunately, it concentrated on unregulated financial and economic development rather than sustainable growth and economic development which would be tempered by a commitment to a social agenda. As a result, we have found ourselves bogged down for a number of years and not going anywhere. It is important that the situation be reviewed and that more coherent, streamlined and focused structures be put in place.

In that context, I welcome the appointment of Mrs. Máire Geoghegan-Quinn as our new Commissioner and I welcome the portfolio she has received, namely, the area of research and innovation. We should be able to build around that quite a good approach in regard to sustainable growth and employment, particularly in the areas of alternative energy and the smart economy.

Employment and the social agenda must be at the heart of the next ten-year strategy. As Deputy Timmins noted, there is concern at the way we have moved forward in the past. The emphasis has been very much on globalisation and the quantity of production, with the world as the marketplace. There has to be a greater focus on the quality of the marketplace and the quality of the product, including local and regional products and craft products which are more indigenous and are, therefore, likely to have a more long-term base and not just disappear to somewhere else in the world.

The credit squeeze has become endemic in this country. It has prevented the indigenous market from expanding and moving forward, and has made it stagnant over the past couple of years. While this must be dealt with, there is no sign of it being dealt with here, whereas it is being dealt with in Europe. Small companies still have no access to a regular credit flow, which must be a major part of the new 2020 strategy regarding cash flow for companies, which are the lifeblood of the country.

I would have liked to deal with other issues such as the Copenhagen conference and the huge amount of work which remains to be done in regard to the Lisbon treaty, which must be teased out. This country must take serious decisions also. The Taoiseach referred to how we transpose into domestic legislation EU directives and we must address this issue. I have seen very important issues, such as the services directive and the floods directive, being transposed by statutory instrument without Members having considered them in the House and without any of the normal democratic legislative processes being used. We must change this in the interests of democracy.

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