Liam Twomey (Wexford, Fine Gael)

I too support this legislation. This country is fighting to get its sovereignty back, but the reality is that the future of Europe requires greater economic integration. We know the political reality that greater integration with a reduction in sovereignty may not be acceptable to the people. It would also require a new European Union treaty, which makes the prospect of greater economic integration extremely difficult. However, from an economic point of view it is a necessity. The most likely approach to this would be through partnership with our EU and eurozone colleagues, but we may need to take the lead in accelerating this prospect to protect our economic future.

There is major criticism of the present EU policy for dealing with the euro crisis. Europe stands accused of acting too slowly and in a piecemeal fashion. In other words, it seems to respond to each facet of the crisis as it happens rather than responding to the overall crisis. This is the criticism that has been levied about all countries in the eurozone over recent months. It is a deliberate policy that takes into account the political, economic and regional differences within the 17 eurozone countries and the broader 27 countries of the EU. This has always been the way that Europe has done its business: through negotiation rather than conflict. It does take time and concessions must be made along the way. However, there is now a belief that this policy instrument is no longer suitable, and we may need a new economic integration policy that can respond not just to the present crisis but also, rapidly, to future crises, and that takes into account the economic and political concerns not just of the eurozone but of the greater European Union.

Much of the debate that goes on at the moment is very simplistic - the sort that was once described as kindergarten economics. People talk about burning bondholders, not realising the damage this would do to the most vulnerable people within society. The other thing that is discussed is what the European bureaucrats are going to do about this. This comes from the same people who talk about loss of sovereignty. They seem to have completely missed the point that it is up to the parliaments of Europe, who represent the citizens of Europe, to come up with decisions that affect Europe. Many members of the Opposition, rather than throwing out the simple, clichéd remarks we have been hearing over recent weeks, should be talking about how we can move Europe forward and protect our future within it. We should be making the decisions and taking the lead. I would prefer to see us talk about this type of integration and about balanced budgets in the future in order that we do not end up in a similar situation to the one we are in now. We should talk about how to deal with financial responsibility and how governments take responsibility and react when things go wrong. We should consider how we can sustain our future in a way that does not discriminate against any country within the Union from an economic point of view. That is the sort of approach we should be considering.

Why do we strongly defend the setting of our own tax rates? This is important when we are adjusting how our economy works. It does not necessarily affect the other countries, but how it affects our own economy is important. Why are we so strong on corporation tax? In some respects, corporation tax is a means of protecting our competitiveness. We are an island nation on the periphery of Europe and we need to consider what improves our competitiveness in relation to the large central economies of the European Union. We should defend that role strongly. That is understood by many of the other countries who say we should not do this.

I find it difficult to understand elements of the Opposition who claim they represent the most vulnerable in our society but have a burning desire to harm them with some of the policy decisions they propose. All sectors of society, including the most deprived, voted for this Government in the hope that we would give them the best possible opportunities for the future. I hope we will pursue the policies that protect all sectors of society, and this will have an impact on the policies we take to Europe. I would like this House, as the Parliament that represents the people, to consider our relationship with Europe and Europe's relationship with each of the countries within it.

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