Eamon Gilmore (Dún Laoghaire, Labour)

Deputy Ó Fearghaíl raised quite a number of issues. On the promissory notes and the point raised earlier by Deputy Ross, the Government was, prior to any discussion on the fiscal compact treaty, already engaged in a process of negotiation on those notes. That process is quite separate from that relating to the fiscal compact and we intend to ensure this remains the case.

In the context of the establishment of the Referendum Commission, I am sure everyone will agree that there is a need for a reasoned debate on the treaty. By that I mean people should engage in a debate on what is actually contained in the treaty and on the nature and significance of the treaty itself. It is important that sufficient time be made available for that debate. Earlier this week, the Government engaged in an initial discussion with regard to the approach we might take in respect of the referendum. As a consequence of that discussion, I will bring a memorandum to the Government in the near future in respect of both the establishment of the Referendum Commission and the introduction of the necessary legislation. A referendum Bill will be required and this must be brought forward. The Government has not yet decided when the referendum will be held. However, it will address that matter shortly.

Deputy Boyd Barrett stated that the references in the communiqué to growth and jobs are mere words. If we had not succeeded in ensuring the inclusion of a commitment on growth and jobs in the conclusions, certain Members would be humming a different tune in the House today. The Government is extremely clear about the fact that the resolution of both the economic difficulties in Europe and the problems which are giving rise to instability in respect of the euro will not be confined just to what is contained in the fiscal compact treaty. There is also a need for a jobs and growth strategy and this was reflected in the conclusions relating to the January summit and in those brought forward following last week's European Council meeting. As the Deputy is aware, the multi-annual framework for the European Union is currently under discussion. The negotiations in this regard may, depending on progress, conclude by 2012. If this does not prove to be the case, they may well fall to be concluded during the Irish Presidency at the beginning of 2013. The approach being taken by the European Council in respect of the jobs and growth strategy will have implications for the European budget.

Deputy Ó Fearghaíl referred to what he terms the "initial design flaws" in respect of the euro. The fiscal compact treaty addresses issues of governance relating to the euro and makes provision for the establishment of a eurozone presidency and for the holding of regular eurozone meetings. The issues in this regard are being dealt with. There are rules which govern any common currency and these must be complied with by states which are members of that currency. Inevitably, issues arise as to what happens when there is a failure to comply with such rules. This is one of the matters which the treaty addresses. The ECB has already made a major commitment to the European economy by providing €430 billion prior to Christmas and €529 billion last week. That is almost €1 billion in total.

The treaty does not contain any proposals in respect of measures relating to corporation or any other form of tax. As everyone is aware, discussions are taking place on the CCCTB - in the aftermath of the publication of the Commission's paper - and on the financial transaction tax and these will continue.

I agree that the crisis in Syria is an extremely serious matter. Perhaps Deputy Ó Fearghaíl and I can engage in a longer discussion on this matter at the meeting of the Joint Committee on Foreign Affairs and Trade later today. However, I wish to state for the record that neither I nor the Government support the kind of approach advocated by US Senator John McCain because this would only serve to make the situation worse and would ensure the conflict in Syria degenerates into one of complete civil war. We are seeking to address the crisis in Syria and I will comment on the matter at greater length at the joint committee's meeting.

See this speech in context