Enda Kenny (Mayo, Fine Gael)

Deputy Martin is wrong in his assertions. I did of course raise the question of Ireland's IMF-EU-ECB bailout deal with the British Prime Minister and told him of the changes that Ireland was making to comply with the conditions of that deal. He was favourably disposed towards Ireland and was forthright in his pronouncement that, by and large, the Treasury would be supportive of Ireland's position. He encouraged bilateral meetings between the Treasury and officials from the Department of Finance and Government. There is no big mystery.

The Government of which Deputy Martin was a member negotiated a deal with the IMF and the EU. That deal has been renegotiated in part by the current Government, which I have the honour to lead. Agreement was reached at Heads of Government level to devolve responsibility in respect of implementing the principle of an interest rate reduction to the Ministers for Finance. The Deputy is now suggesting that I take back that responsibility from the Minister for Finance and that I deal with the matter at Heads of Government level. The Heads of Government of 27 countries agreed this should happen. I have faith in the Minister for Finance being able to carry out his responsibilities in this regard.

The Deputy asked if my meeting with the British Prime Minister was specifically in relation to the bilateral loan agreement made with Ireland by Britain, Sweden and Denmark. Were that the case, he would then be asking me why I did not raise the bigger issue of the IMF-EU bailout deal, which has been our priority. We have recognition of the reduction in principle and a decision that the matter should be dealt with by the Ministers for Finance, who are pursuing it. Beyond that, we discussed the general principle of where the European Union is headed. I was supportive of the stance taken by Prime Minister Cameron in his letter, supported by a number of other leaders, about the potential of the European Union Single Market, cutting the cost for setting up business, eliminating red tape and bureaucracy and freeing up the trade inter-country so that the EU as a Union could realise its full potential based on the Single Market and be in a position to compete against other trading blocs around the world.

The relationship between Ireland and Britain and between myself and Prime Minister Cameron is strong. We will continue to pursue the issue of an interest rate reduction at EU level. There will be time at a later stage to discuss the specific issue of the bilateral loan. I might add that Britain has been forthright in saying there will be no further bilateral loans for other countries and made a specific issue of the special relationship between Ireland and Britain based on diaspora, trade and so on. There is no secret about that. That was the first meeting we had, short of the usual on the margins meetings at Council meetings and when the British Prime Minister, Mr. Cameron, came to Ireland during the Queen's visit. We will continue that.

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