Enda Kenny (Mayo, Fine Gael) | Oireachtas source

In respect of Deputy Adams's question, it is good the Commissioner said he supports the Good Friday Agreement. I have explained this to all the leaders at European level and it was reflected in the conversations between Chancellor Merkel, President Hollande and Prime Minister May in respect of the importance of the Border and Good Friday Agreement.

We have had an argument before about what Deputy Adams described as an alternative strategy or a special status. What I prefer to say is that we have a particular circumstance here in that we have a peace process, a Border and PEACE and INTERREG funds. This circumstance is special and different and does not apply anywhere else. We want to grow that in the time ahead. The Deputy can put whatever term he likes on it. We need to make everybody aware that the particular circumstances that apply are important in terms of the peace process supported by Europe and move on with that.

I do not want to comment on the outcome of the Supreme Court case in Britain. It is not my business. Obviously, the court will make a decision to back or overrule the High Court. In any event, I understand the Prime Minister intends to move Article 50 in due course.

The Deputy referred to Italy. The three parties involved in the Italian opposition cannot agree among themselves on most issues. The referendum was on institutional and constitutional issues within Italy, not on the future of the European Union.

Stress tests are carried out by the banks and changes have been made at European Central Bank level in regard to the collapse of banks and all that. These changes provide strengthened defences for taxpayers in Europe. While there is clearly an issue with some of the major banks in Italy, I hope the stability reflected in the markets following the decision of the Italian people and the announcement by Prime Minister Renzi of his resignation speak for an opportunity to move on.

The engagement with others is taking place today and it is continuous with all the different Ministers. For example, the Minister for Finance, Deputy Noonan, is at the ECOFIN meeting.

Deputy Howlin asked questions on whether there is a misunderstanding about how Brexit will work, a hard and soft Border, the Single Market and the four freedoms. All I can say is that the decision on Brexit has been made and the British Prime Minister has said she is moving on to implement it. At a European level, there have been no discussions or negotiations about this issue, other than a reflection on a strategy of the other 27 member states when they met in Bratislava. Leader after leader has made clear that when Article 50 is triggered, if Britain wants to control its borders and withdraw from the Single Market, it will not have access to particular sectors of the Single Market. While there are no formal negotiations, it has been made perfectly clear that if one wants access to the Single Market, one must allow freedom of movement of people. If one considers that Britain must build 1 million houses, proposes to build a nuclear power station, may build a third runway at Heathrow Airport and wants to restore and repair large segments of the motorway system, serious numbers of people will be required to build all of that.

Timing is an issue. I believe the matter cannot be addressed in the time that is set out in the European Union treaties. No country has ever left the European Union and we have had 50 years of directives, regulations and legislation. As Deputy Micheál Martin pointed out, Article 50 will be triggered by a letter to the Commission, after which we will have exit negotiations. My belief, however, is that a transition period extending beyond two years will be necessary because the issue is far too complicated.

Commissioner Barnier stated he would like the process to be completed within 18 months in order that we could have reflection before ratification by the European Parliament. My belief is that we will go well beyond that timeframe. The Commissioner made clear that he would not and cannot make any decisions without the imprimatur and oversight of the political Heads of State and Government of the European Council.

On changing attitudes, I agree that the European Union should focus on its future. People in the United Kingdom have made a decision and the Prime Minister has stated she will implement Brexit. Britain will leave and the letter will be written before the end of March 2017. The European Union should look to its own future. It cannot continue with 50% unemployment rates among young people. We must have infrastructure and the capacity to invest in it. I am glad to be able to say that we will open a European Investment Bank office in Dublin this week, which will, I hope, lead to the people's bank, which the EIB is, becoming far more active in supporting many pieces of infrastructure around the country, either as part of the Juncker plan or as a new development.

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