Dáil debates

Wednesday, 6 November 2013

European Council: Statements

 

2:00 pm

Photo of Finian McGrathFinian McGrath (Dublin North Central, Independent) | Oireachtas source

It is important that all Members of the Oireachtas keep a close eye on what is going on in the European Union and particularly in the European Council. It is also important for Independent Deputies to be part of the watchdog for Europe. A strong distinction should be made between a eurosceptic and someone who has a critical eye on Europe and the decisions made there. Many people, particularly from some of the establishment parties, label people regularly in this House. If we see a disconnect between the European establishment and citizens, it is important to highlight it. It is up to all of us to be vigilant in the debate. Therefore, we must watch, examine and scrutinise EU decisions. We must also keep a close eye on the Government and how it responds and works at European level. On many occasions I feel the Government took its eye off the ball.

I was not too impressed with what I heard this morning about the Government blaming the European Commission, for example, for cuts and hiding behind the European Union following decisions it made. The situation was grossly misrepresented to the citizens of this State. I am being deliberately vague as this information will be brought before the House in the near future. I await further details on the facts concerning the particular allegation. I raise it in the context of the European Council meetings, as all information from the European Union should be clear and honest. Governments must face that reality. Misleading citizens should never be an option when it comes to decisions of the European Union.

I listened to the main points made by the Taoiseach. He referred to the digital economy and developing digital skills in order to combat youth unemployment. He also urged parties to reach agreement on the final elements of the banking union. I warn the Taoiseach to be vigilant and not to get involved in a lap of honour following the exit from the bailout in December. It is important that the Taoiseach and the Government wake up to that reality.

There must not be a lap of honour syndrome because there is nothing to celebrate, since we still have a major problem. I raise this genuinely because it is important to do so. According to the European Commission yesterday, Ireland's economic growth will be weaker than expected next year, in line with slower-than-expected GDP growth across the eurozone. In its closely watched autumn economic forecast, the Commission stated that it expected eurozone GDP to rise next year by 1.1% and not by 1.2% as predicted in May. Pressure mounted on the European Central Bank to cut interest rates.

External factors, such as the slowdown in emerging economies, were cited as the main reasons for the cut-in-growth outlook. The Commission has said that the “ongoing necessary adjustment process” in eurozone countries as they implement fiscal consolidation measures will “continue to weigh on growth for some time”.

It is important to face the reality. The Commission also stated unemployment would be higher than expected in 2014, at 12.2% compared with the 12.1% predicted earlier this year. Even Olli Rehn, the European Commissioner, has demanded further action, but that is not something one will hear around this House or in many quarters across the State. I raise this because we must be very cautious about the economy and what happens in regard to economic growth and job creation.

There is considerable focus on the digital economy, and I strongly support the new ideas thereon. Let us not forget, however, that there are certain young people who are not directly involved in ICT jobs. There are many people in the country who are not skilled enough to take on jobs in the ICT sector. This needs to be factored in. I urge the Minister to raise this at European level. It is important that all Members of the House keep a close eye on what is going on in the European Union.

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