Micheál Martin (Cork South Central, Fianna Fail) | Oireachtas source

Without question, one of the most disappointing aspects of yesterday's budget from a strategic perspective was the lack of any substantial response to the challenges of Brexit. What we were presented with was a sheet entitled Getting Ireland Brexit Ready which amounted to mere tokenism and was quite pathetic in itself. All of the measures on it would have happened anyway. Some were in place in advance of any Brexit referendum. It is really extraordinary because people were promised in advance that this would be a Brexit-proofed budget. However, the reality is that it is empty with regard to Brexit.

I put it to the Taoiseach that the Government should be planning for a hard Brexit. That should be the priority rather than praying and wishing for a soft Brexit and hoping that everything will be alright on the night. The base scenario in the budget document is that the Government is assuming an exchange rate of 85p to the euro next year. Yesterday, the exchange rate was 91p to the euro. Now, the Taoiseach is betting or assuming that sterling will strengthen by more than 6% next year. It seems to me an extraordinary bet or gamble to make.

In addition to that, the Department of Foreign Affairs has seen no increase in its envelope. What Brexit opens up for us are huge challenges and, yes, some opportunities. However, trade diversification has to be won through the search for new markets and the expansion of the international footprint for Ireland to make sure that we can secure those new markets. We are hugely dependent on the British market, particularly Irish-owned companies and food and agricultural companies. Farming is going through a terrible crisis at the moment, from grain, to beef, to dairy and across the board. There is nothing substantial happening in relation to that to prepare for the even further challenges that await as a result of the British decision to leave the European Union.

Likewise, Bord Bia, Enterprise Ireland, the IDA and so on are not, in my opinion, being adequately resourced to pursue ambitious targets around re-orientating the Irish economic effort internationally as a result of Brexit, which we will have to do. We will have to find and develop new markets. We will also have to attract inward investment. I know the IDA is working to attract financial services from Britain. We also have the challenge of Irish companies that may want to relocate to the UK, for example, to secure markets there. These are very real issues that have not been addressed. The fundamental issue is the real and immediate issue of the currency crisis. IBEC and others have said that there should be contingency provision for businesses here around the devaluation of sterling and its impact on Irish companies and their export performance. Will such a contingency provision be put in place?

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