I move: "That the Bill be now read a Second Time."

The Bill is one of a series of measures the Government is required to take in the public interest. The context is the continued priority given to the stabilisation of the public finances and to meeting the State's obligations with regard to the reduction of its deficit.

At this point, consolidation measures amounting to around €28 billion, or over 17% of Ireland's estimated GDP in 2013, have been implemented since the crisis began. This represents about 85% of the total consolidation required to get our finances back from the morass they were put into, in large part through the decisions made by the last Government.

As I have said elsewhere, the remaining effort may well feel like the hardest part - the last hundred yards are always the most difficult - but the scale of the challenge still faced by this Government and by the people of this country is large. A continuing programme of fiscal consolidation, accompanied by structural reforms, must continue. The fiscal parameters, while improving, do not provide any significant latitude to the current programme necessary to meet the general Government deficit target of less than 3% by 2015. The Government's policy of restraint and prudent budgeting will have to continue if we are to get our finances into fit shape for future generations.

To meet Ireland's commitment on the deficit, the medium-term fiscal statement published in November last year indicated that, in addition to the overall consolidation of €3.5 billion required for 2013, an additional €3.1 billion in savings and revenue raising measures must be identified for 2014, and a further €2 billion in 2015.

The public service pay and pensions bill at 36% of spending must, in the Government's view, make a proportionate contribution to the additional expenditure reduction identified as necessary over the three-year period.

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