Mattie McGrath (Tipperary South, Independent)

Ba mhaith liom comhghairdeas a dhéanamh leis an Leas-Cheann Comhairle. The deals done with the banks, EU and IMF are every day undermining our chances of economic recovery. It appears that Ireland's EU partners intend to stand back and watch Ireland get pulled into an unsustainable debt while bondholders, especially senior bondholders, are protected. The inevitable consequence will see Ireland being forced to default and in the process damaging the entire EU and undermining the euro. This is a real possibility despite us taking action to do the opposite, or so we are told.

A recent election and new Government is of little consequence, as Ireland is now effectively being run by the EU and IMF. Economists and bankers in Washington, Brussels and Frankfurt have a prime interest of ensuring the ECB and holders of Irish bank bonds are fully repaid, in effect, by Irish taxpayers and ordinary households. Figures have been trotted out by different speakers in the debate tonight and last night detailing how much each family will be expected to pay.

The Irish people must be allowed to exercise their sovereignty in a matter that will tie up society and our economy for generations to come. The Icelandic people exercised a workable democracy with their bailout and there is no reason the Irish people cannot be provided with the same opportunity. Different commentators have outlined what happened in Iceland; what the British and the Danes said could not happen came about and when people got the chance, they overwhelmingly rejected austerity measures. The bankers and lenders, mainly from Britain, had to sit up and listen. There is always room for another position, as we know from any walk of life.

Fine Gael and Labour received an overwhelming mandate in the recent general election and their members are now telling us that was essentially the referendum for which we are now calling. I voted against this so-called bailout - or "clean-out" as I called it at the time - and against my own party when the process was approved. We can remember what some of the Fine Gael and Labour speakers said at the time. Labour promised to burn senior bondholders and told the public its policies would be very different. All that is different now is that the Opposition has moved to the Government benches and what is left of Fianna Fáil has moved to the Opposition benches with the other Deputies. Such actions have let down the public and have led to a further undermining of confidence in democracy.

Deputy Gilmore, who is now Tánaiste, indicated when he voted against the bailout in the Chamber that when part of the Government his party would reverse the process. The Minister for Finance, Deputy Noonan, described the bailout as a disaster and obscenity when in Opposition but how quickly he and others have forgotten their words of condemnation. I know they are faced with difficulties and I voted for the election of Deputy Kenny as Taoiseach and the appointment of Ministers. I wish them well but I have made it known that I will vote against them where their proposals are not in the national interest or living up to election promises. That is what I will do tonight in calling for this referendum.

There is already a lack of business in shops, restaurants, shopping arcades and farms in the country. Business is not happening because of a lack of credit, which is a real factor of austerity measures and cutbacks in recent budgets. To foist this on ordinary taxpayers is totally unacceptable and unworkable, it will only get us into a deeper hole. It is unthinkable that a change in the Government and the seating arrangements in the Dáil can happen and yet we proceed with the status quo. I know the public did not vote for this with the large numbers who turned out in the election.

I call on the Government to pay heed to the motion and listen to the honest propositions being put forward. The next election always starts the day after the last one so the Government will have to face the public and explain the change in the position held so vehemently in radio and chat shows and across various media throughout the election campaign and months before. Opposition parties castigated the previous Government, including Deputy Lenihan, and voted against the bailout but now they seem to think they can revert to the policy.

Such a transfer of public money to cover private losses has never taken place anywhere in the world. I cannot understand why it is happening here. I am demanding that we face up to the ECB and Chancellor Merkel. We must tell them we cannot continue with the process and it is not in our interest. It is not in their interest either as this will only get us deeper in a mire. We will have to default, a word which is an anathema to me, as it has been all my life, when I have been in business for 30-odd years. These people are supposed to be our colleagues in Europe and through different treaties we have achieved different rights and commitments. These must be followed up as there will be other European treaties in future. The people will reject these because with friends like these, who needs enemies?

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