Dáil debates

Tuesday, 23 November 2010

Meeting of Ministers for Finance of the Eurogroup: Statements

 

6:00 am

Photo of Brian Lenihan JnrBrian Lenihan Jnr (Dublin West, Fianna Fail)

It was my intention to take them in the first instance.

On the European authorities, which are assisted by the IMF in the negotiations, the position, as I understand it, is that it is intended to brief the Opposition parties directly later this week on the issues involved in the negotiations. That is the intention of the European authorities and IMF. I agree with Deputy Rabbitte that it is very important that the Opposition parties are put in the picture. When Commissioner Rehn visited Ireland some time ago he extended an invitation to the Opposition parties to meet him. I found it regrettable that the leaders of the Opposition parties chose not to meet the Commissioner, although I acknowledge that Deputies Burton and Noonan met him, as did, I believe, a representative of Sinn Féin. That is the position in relation to the negotiations.

On the more fundamental and very fair question Deputy Rabbitte posed regarding the political capacity of the Government to carry a budget, I am satisfied that it has such political capacity and will carry the budget. The Deputy referred to the capacity of my Department. My Department has had to work flat out in recent months and years. I have worked flat out throughout that period and have been in continuous work since last Monday week, largely at the Department. There are understandable limits to the capacity of my Department in the context of a crisis of this character.

I have noted the request of the Fine Gael Party to bring forward the budget. While I do not impugn the good faith of that request, my Department must prepare the budget. The plan, which is a plan for national recovery, will be published tomorrow and discussed in the House in the ensuing days. I hope there will be an ample debate on the plan. The process will conclude with a budget on Tuesday, 7 December.

It is important for the country that we have a comprehensive assessment of the revenues that are available to us before we introduce the budget because the revenues available have a vital bearing on the forecasts for next year, as well as being simply a matter of reconciling the figures for this year. Deputy O'Donnell is correct that there have been significant improvements in the technology for the transmission of payments to the Revenue Commissioners. However, a sizeable number of payments are received in the final days and are not fully computed at my Department until these days have elapsed.

I have attempted to address Deputy Rabbitte's more fundamental question by stating that, as a result of the meeting of the Government this morning and discussions with different Deputies, I am satisfied that the Government has the capacity to pass the budget and deal with the necessary consequential measures.

On the various consequential measures in the budget, while I do not want to anticipate my Budget Statement, a number of legislative items are always involved. In general, there is always a Social Welfare Bill and Finance Bill. I cannot rule out on this occasion that other items of essential legislation will be required to support the budgetary measures, although not all of them will necessarily be extensive in size. In addition, in any event and at all hazards - even Sinn Féin Members will agree - the Appropriation Bill must be passed before the end of the year, as otherwise there is no basis for making any payments in the State next year.

On the question of the Finance Bill, the Department is examining a number of options and I am having a number of options examined. It is important to realise, however, that the resolutions passed on budget night under the relevant statutory machinery permit the relevant taxes to be collected for a substantial period of the ensuing year.

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