Barry Cowen (Laois-Offaly, Fianna Fail) | Oireachtas source

I welcome the opportunity to speak on the statements made in the House yesterday by the Minister for Finance and the Minister for Public Expenditure and Reform, and I acknowledge that this process is part of the new fiscal rules associated with the European Union. As the Minister for Finance stated, the parameters around spending in the budget in six months time has to be forwarded to the EU at this stage. It is probably right for many of us to say it is a bit over-cooked. I am not surprised by the efforts of the Government to deflect from the issues concerning people throughout the country or by its having seen through the four-year plan put in place largely by the previous Government, despite the fact that it voted against the Finance Bill associated with it in 2011 when it made a promise to the electorate that it would do things in a different fashion. It promised at the time of that election that there would be a softer and easier way to fiscal rectification but that was never going to be the situation. We did not expect that to be the case, and we put that to the electorate. However, they made their decision, as they are entitled to do, and we accepted it.

On assuming office there was a different tack on the part of the Government in terms of all the promises that had been made despite the fact that it could be argued that it would win that election irrespective of the type of campaign it ran.

Having said that, they took advantage of people's feelings, fears and worries at that time and led them to believe there was a different way in which things had to be done. That was not the case because two thirds of the heavy lifting, or €20 million of a €30 million adjustment, had already happened under the previous Government and that should be acknowledged. It was the manner in which the current Government went about closing the remaining gap that we disagreed with. That said, we must deal with the current situation. As members of an Opposition party that received 400,000 votes, we were given the authority by that electorate to act in a responsible and constructive manner, to hold the Government to account and having done that, to put forward reasonable alternatives which are costed, effective and meet the demands of the electorate. We are in the process of doing that. In the last week alone we have brought forward three different policy documents. We will continue to develop policy papers, publish our manifesto towards the end of the year and go out and engage with the public. We will speak with them and seek their support and trust. They will ultimately make a decision about who they believe should be in government by this time next year.

I heard the Minister for Public Expenditure and Reform, Deputy Howlin, on the radio this morning saying that he was greatly surprised at the reaction of Fianna Fáil and other members of the Opposition and some of the commentariat but he should not be at all surprised. I am not surprised. I represent a constituency in rural Ireland, like many others in this House. It is our job and duty to reflect the opinions of those we represent. We meet them on a regular basis and hear about the problems for which they seek resolutions. There are four or five issues in the pubic domain which many people feel have not been addressed or are not being effectively dealt with by the Government. In fact, many believe that they are at a crisis point with regard to some of these issues because of the way the Government has responded to them.

One of the most important issues is jobs and the two-tier recovery. The Deputies opposite are well aware that the recovery that is spoken about in Dublin and on the east coast is not affecting Tipperary, Cavan, Monaghan, Laois or Offaly. They know that as well as I do. They know that rural services have diminished even further under this Government. We have seen that in terms of Garda numbers and the situation in Wexford as outlined by Deputy Browne is no different in many other parts of the country. We have seen the changes to the pupil-teacher ratio for rural schools, the closure of post offices and community welfare offices. If the lead is given by Government in that regard then the private sector will obviously follow suit. We see this in the way in which towns and villages in our regions and provinces are dilapidated but there is no concerted effort on the part of Government to bring forward cohesive policies which will address this issue. I brought forward a policy document entitled Streets Ahead which looked at ways to empower local authorities to address issues such as housing, commercial rates and so forth. There is an onus on Government to direct IDA Ireland and Enterprise Ireland to be more focused in the way in which they address the disparities between urban and rural areas. While much progress has been made in recent years in terms of improving our road and rail networks, broadband provision is still unsatisfactory and must be improved. It is the Government's responsibility to address the deficiencies in rural Ireland and to deal with the two-tier recovery that is emerging. It must encourage if not direct the IDA and Enterprise Ireland to have dedicated units focusing on bringing foreign direct investment and indigenous industries to rural areas.

Another major issue of concern which disgusts many people is the wastage we have seen under this Government, especially with its pursuit of the Fine Gael policy of establishing Irish Water. I could just say "enough said" at this point. The mismanagement of funds and the mismanagement of the establishment of that body is well understood by the public. Irish Water has been put in place to deliver a service that was already being delivered effectively and within budget by the local authorities. Indeed, they are still doing that and are still being employed by the Government to provide water services. However, the Government is now paying another tier of middle and upper management over and above the local authority staff. It is paying them bonuses and wages that are over the odds. It has done sweet deals with many Irish Water employees who came from the local authority sector. The people see it for what it is. We have said consistently since its inception that Irish Water should never have been put in place. We argued that any charge on the public for water services should only be levied when that service had been enhanced, met public demand and was fit for purpose. Unfortunately that is not the case at present. We have made worthwhile proposals in this area.

The public in the Carlow-Kilkenny constituency where I have been canvassing in recent weeks have asked me what can be done about jobs and the two-tier economy. There must be a concerted effort by the IDA and Enterprise Ireland to deliver to those areas. On the issue of Irish Water, the Government cannot continue to pump this white elephant with more air. That is all it is doing at present. Irish Water must be abandoned, abolished and put to bed.

There is a huge mortgage crisis out there which continues apace. The Government had an opportunity to address it two or three years ago when it brought forward its insolvency legislation but it disregarded the advice of independent experts and many Members of this House who told it not to give the banks a veto. It gave the banks a veto and ploughed on, regardless. We have seen the result of that in recent weeks and months, with thousands in court facing repossession orders. The Taoiseach said during this debate earlier today that 120,000 people have rectified their situation and are in new payment arrangements. The Taoiseach must prove that is the case because I do not believe it is. All that has happened is that the banks have contacted these people, placed them under orders as to how to rectify the situation, with the banks retaining the option to veto any proposals. That is not an arrangement that meets the requirements of both parties.

We heard earlier this week that Ulster Bank is in the process of writing to 2,000 people who are in severe mortgage arrears offering them the opportunity to vacate their property with the assurance that they will not be chased for any outstanding balance when the house is sold. Are we supposed to be cracking open champagne bottles in response? The Government has agreed that this represents "movement". It certainly is movement but it may result in another 2,000 people on the housing waiting list, which currently stands at 90,000 across the country. The housing situation in Dublin is at crisis point, with 1,000 children currently living in emergency accommodation. That is not just a crisis; it is a disgraceful, calamitous disaster which must be rectified. No houses have been built in counties Offaly, Laois or Wexford in the past four years. The Government has done nothing to address this issue. We have had announcement after announcement but nothing concrete has been put in place to address the crisis that exists. We can be sure that the other banks will follow the lead set by Ulster Bank this week. The Government has a responsibility to use the offices available to it within the Department of Finance ---

See this speech in context