Séamus Kirk (Louth, Fianna Fail) | Oireachtas source

I am pleased to have the opportunity to make a brief contribution to this important debate at this time in Ireland's history. The Fianna Fáil Party is committed to a democratic and accountable European Union of member states who work together for the mutual benefit of all Europe's citizens. We believe strongly in the principle of subsidiarity which guarantees the freedom of member states to act where they are most effective.

I wish to focus on an issue that is coming down the tracks. David Cameron, the outgoing British Prime Minister has stated:

I am in favour of a referendum. I believe in confronting this issue - shaping it, leading the debate. Not simply hoping a difficult situation will go away.

The big question is if the UK votes to leave the EU, where does Ireland stand as Britain's largest trading partner? Our trade with Britain was clearly important in the process of economic recovery over the past three or four years. Where will the trading arrangement stand if Britain decides to opt out of membership? Given the close economic as well as geographical, political, cultural, social and historic connections between Ireland and the UK, we are extremely exposed if Britain decides to leave the EU. The UK is Ireland's biggest trading partner and close ally in the European institutions. It is also the only country with whom we share a land border. It is essential that we have a contingency plan in the event that the UK decides to leave the European Union.

The voting in the United Kingdom general election is being held today. The Conservatives have indicated that they are in favour of a referendum. The view has been expressed by previous speakers that other parties will opt for a referendum, given the general attitude prevailing in Britain towards EU membership.

Ireland and Britain trade over €1 billion worth of goods and services every week. Almost 200,000 people in Ireland are employed as a result of our exports to the UK. Recent data from the Central Statistics Office shows that 43% of exports from Irish firms were destined for the UK. To put this in real numbers, approximately €6.8 billion was destined for the UK. This is the same amount that the Government is planning to invest in commercial projects of benefit to the economy and which will be overseen by the National Treasury Management Agency over the next five years. The move could also lead to the re-introduction of border controls between Ireland and Northern Ireland. This would have a disastrous effect on the people of County Louth and the Louth constituency who travel across the Border for trade, business and family reasons, on a regular basis. A UK exit from the EU would also damage co-operation in tackling cross-Border crime and would put in jeopardy the strong relationship that has been built between the Garda Síochána and the PSNI in recent years.

It is for the people of the UK to decide for themselves in a referendum as to whether they want to remain part of the EU. However, Ireland has an obligation to highlight the profound benefits associated with EU membership both for them and for us. The Government needs to continue advocating the benefits of EU membership for both Ireland and the UK. None the less, the Government needs to have a contingency plan in place certainly for the period of the referendum campaign. I call on the Taoiseach and the Government to develop a strategic position for Ireland that takes into account the risks for Ireland should the UK decide to leave the EU. These risks need to be identified and minimised as quickly as possible.

Another market in which Ireland and the UK are interlinked is the energy market. Ireland imports 89% of its oil products and 93% of its gas from the UK. The Irish electricity grid has been linked to Britain since 2001. The gas grids are also connected via Scotland. A UK exit from the EU could impact negatively on security of energy supplies and might increase the cost of connecting to the internal energy market.

Clearly, more than any other country, we want Britain to stay in the European Union. We have to ask how high a price we will pay in order to keep Britain in the EU. The undermining of the core of the Union, stripping away consumer and worker protections and restricting the ability to address clear problems in the Union, would be too high a price to pay. It has been asserted by some in the UK that they can quit the Union but retain full access to the single market. This is profoundly ludicrous. Membership of the Union must have some distinct advantages and responsibilities. We have no difficulty with the UK staying out of the eurozone. If it wishes to opt out of a broader budget there are means of accommodating it but the Union has to be about something more than trade.

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