Enda Kenny (Mayo, Fine Gael)

I share the Taoiseach's view, and that of the Labour Party leader, on Ireland's 12.5% corporation tax rate. At the previous summit meeting of the European People's Party, EPP, I made it clear this rate is fundamental to Ireland's attractiveness for foreign direct investment and that any movement from that would represent a massive breach of trust. Accordingly, any revision of it cannot be contemplated by Ireland.

In respect of last week's comments by the Minister for Finance and yesterday's Question Time, does the Taoiseach accept the political possibility of being able to get a better deal with the EU and IMF than the one signed off a month ago? While the people of Ireland gave Europe the Lisbon treaty by referendum, and therefore gave the European institutions the opportunities provided to them by the treaty for the years ahead, so too is there a political necessity for larger EU member states to understand they must stand by smaller member states in sorting out the current economic difficulties across Europe.

Greece is different to Ireland. It is a crushing burden to shoulder a loan package of €100 billion. Portugal is no better. There are huge exposures for Spain. Were there any discussions about this at the recent European Council meeting? Over the next two years, events will occur that will have to trigger a political reaction from Europe which will have consequences. The psychology of this is very important. Putting in half solutions is not an answer, which Europe and its governments' leaders know.

The bailout for Ireland has at least brought about a sense of truth of the scale of the problem we face in our banking system. Money is in place to keep the country running for the foreseeable future. However, it is going to run out. Hopefully, we can get rid of the IMF and get back to the markets as quickly as possible. There will, however, be difficulties for Portugal, Spain and other EU countries.

Was there any political discussion at the European Council about the triggers that could be put in place to deal with these problems on a cross-European basis? Half solutions will not work. In the same way as the principle of the foundation of the European Union was to stand together, large and small, it be must remembered this crisis must be dealt with together. Ireland is not a country that relies on t-shirts and shoes but has a unique part to play.

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