Dáil debates

Tuesday, 24 January 2012

European Council: Statements

 

6:00 pm

Photo of Éamon Ó CuívÉamon Ó Cuív (Galway West, Fianna Fail)

Next Monday's meeting of the leaders of Europe is shaping up to be yet another summit at which they will fail to take any decisive step to overcome the economic crisis that is accelerating in Europe. Since they last met, the growth forecasts for most countries have been reduced, the sovereign ratings of many have been downgraded and unemployment has continued to rise. Yet in spite of this, the agenda for Monday involves nothing more than a series of side issues or failed policies. No matter how many times leaders use the word "jobs" in their statements, all they are discussing is fiscal consolidation and a Franco-German obsession with tax harmonisation. It is also yet another summit that Ireland will attend without its Head of Government having made any effort to promote an agenda by undertaking even a basic round of serious bilateral meetings.

Since last March, our party leader Deputy Micheál Martin has taken the lead in the Chamber by setting out the specifics of what is required to address the crisis. He was well ahead of most commentators in pointing to the likely impact of the delays from March to July in implementing a debt sustainability deal that was agreed in principle in December 2010. In spite of the frequent jibes thrown at him by the Taoiseach and the Minister of State, Deputy Creighton, he has been correct in challenging the false dawns that have been announced after every new measure's adoption. His consistent critique has been that the Council has been focused on addressing issues that did not cause the crisis and will not solve it. The failure of Europe's leaders to challenge the failed orthodoxies continues to do significant damage. It is true that key bond yields on the secondary market have fallen, but the evidence suggests that this is purely as a result of unsustainable co-ordination between a range of institutions and banks.

Deputy Martin has also set out a constructive agenda of measures that Fianna Fáil supports. Unlike others, we have not taken the path of angry opposition or unthinking support. I will revert to the specific proposals that, even at this late stage, we believe the Taoiseach should formally place on the Council's agenda.

As these are the first statements since the Croatian referendum, I would like to join with others in welcoming the strong "Yes" vote to membership of the EU. Croatia is a country that was born in difficult circumstances and has overcome many hurdles in the past two decades. It has built a strong liberal democracy and has worked hard to overcome ethnic divisions that could have festered for a long time. Ireland has been a strong supporter of Croatian membership and opposed the artificial barriers placed in its way at different times. I also acknowledge the leadership role in the referendum played by foreign Minister Vesna Pusic, who is vice-president of our European party and who we look forward to welcoming to the European Liberal Democrat and Reform Party, ELDR, congress in Dublin later this year. The referendum shows that, even at this time of crisis, the idea of the European Union has a strong attraction for all those who want to build a democratic and peaceful Europe.

I welcome the early statements of the Danish Presidency and its constructive approach. Last week, Prime Minister Thorning-Schmidt placed the issue of youth unemployment at the centre of her address to the European Parliament. It was a positive start to the Presidency and I hope that President Sarkozy will have the decency to apologise for the insulting attitude to Denmark and other small countries that he adopted in his statements at the December summit.

The proposed fiscal treaty will be finalised next Monday, but there is no indication that anything of substance is likely to change. In a move typical of this Government, even though there is a final text available, it will not reveal its understanding of the treaty until the latter has been agreed. The debate on this treaty has been the worst of any Europe-related treaty since we first applied to join the EU 50 years ago. The likelihood of a treaty emerging became clear in August following a Franco-German summit. The only response by the Taoiseach was a doorstep interview some time later when he stated that a referendum should be avoided. From that point on, the basic strategy of the Government has been to focus on whether the people need to be consulted and not on looking for a deal capable of restoring stability and growth.

Last week, the Tánaiste stated that it was disgraceful to suggest that the Government was trying to avoid a referendum. As we know from WikiLeaks, the Tánaiste has a record on this issue.

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