Dáil debates

Wednesday, 14 December 2016

Pre-European Council: Statements

 

2:10 pm

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour) | Oireachtas source

I appreciate that. Much of the focus of the Brexit debate to date justifiably has been on the impact on the Border, but I am of the view that it is also time for us to look very carefully at the economic planning required. The CEO of Enterprise Ireland spoke at the event last night and she rightly pointed out that she needs a plan for the worst possible Brexit. While we do not want to contemplate that this might be the reality, we must plan for the worst and, whatever then arises, it is prepared for.

We know that Brexit might provide opportunities for us and this too must be considered. We also know, however, that some sectors will be particularly vulnerable, in particular where 70%, 80%, 90% or, in one or two cases, 100% of the sectoral export is to the UK. Sectors such as agrifood and tourism are obviously vulnerable. Much of our work will rightly be focused on helping protect employment in these sectors but, in a hard Brexit scenario, we know we will not be able to protect these sectors fully. We need to be planning now for the expansion of tools such as the European Globalisation Adjustment Fund to help people diversify either in terms of the products they are producing or at least the markets they are targeting. The criteria for that fund were expanded during the crisis and I believe they could be expanded once more to support those who face a loss of employment in the event of a hard Brexit. The Taoiseach might confirm whether he agrees with this approach and whether he will be raising it at a European level.

More broadly, for all of its flaws, and those in this House could recount many such flaws, the support of the Irish people for the European project remains strong, in my view. However, that should not be taken as agreement with those who argue for more Europe as the solution to the current malaise. Those of us who champion the European Union must also be at the forefront of reforming it. A Europe that drifts further from meeting the expectations of our people cannot hold, as we have seen again and again in election contests and referenda across the Union. I have argued for some time that we need to make greater investment in our societies in order that what we deliver as politicians can begin to match the legitimate expectations of our people. We need to make investments which can be felt by people across Europe, investments that make a noticeable difference to the quality of the lives of our people, such as investments in hospitals and nursing homes, in roads and trains, in schools and sports centres, and in so much more. All of these are, in truth, investments in our people.

In my judgment, these policies will help us to meet the challenge of rising populism. Too often over recent years the belief that only populist politicians have answers to public fears has gone unchallenged. We must meet this challenge to democracy by providing people with real and workable solutions. We are too constrained from achieving that objective by some of the strictures of the Stability and Growth Pact and the fiscal rules. In the main, this is because the rules require of our states that we measure fiscal performance but there is no requirement to measure social performance. Why do we have a set of rules that measures our debt-to-GDP ratio but we do not have a requirement to monitor basic poverty levels routinely? Why do we focus on fiscal medium-term objectives but not on the health of our environment or of our people? As we speak, the rules that govern the European Union are forcing governments, including our own, into inactivity. We are constrained from spending money, even money that we ourselves have, at a time when people across this Continent are crying out for government action.

My party is beginning two pieces of work in this area. Domestically, we have drafted a genuine progress indicators Bill, which we will publish early in the new year and which I hope will have the support of all sides of this House. It will require, as a matter of law, that we publish a national set of indicators each year which would be much broader than simply the size of our economy. By looking in the round at social progress and at the state of our environment, as well as the health of our economy, we can better measure whether Government is serving us well. This is because social progress is what matters to our people. I believe this is an important initiative.

Even with the best will in the world, however, I accept that Ireland could not achieve real social progress on its own. The European rules that currently prevent additional capital expenditure need to change. Ten days ago I raised this issue with the leaders of social democratic parties across Europe at a Party of European Socialists, PES, leaders meeting. We agreed at that meeting to a sensible process which it is hoped will lead to real change. At my suggestion, a group of social democratic economists and fiscal experts will meet early in 2017 to draft a set of proposals to modify the Stability and Growth Pact, including the fiscal rules. These changes will not undermine fiscal discipline but should add an urgency to investment in our societies and place the monitoring of our social good on an equal footing with the monitoring of the strength of our economies. To prevent Brexit contagion from spreading across our Continent, this is the sort of action we need to take. I would encourage the Taoiseach and the Minister for Finance to begin a similar process with their Christian Democratic colleagues, and Deputy Martin might do likewise with the liberals in the EU.

On Syria, we are continuing to watch as a human tragedy unfolds before us. A deal, struck too late, that would have allowed the besieged people of Aleppo to escape seems to have been ignored. Throughout yesterday, the bombardment of that benighted city continued. UNICEF reported that “many children, possibly more than 100, unaccompanied or separated from their families, are trapped in a building, under heavy attack in east Aleppo”. It is hard to disagree with the UN spokesperson who described a “complete meltdown of humanity” in the city. The appalling situation in Syria has continued to shock us but, in truth, our shock matters little. As a Union of nations, we have failed the people of Syria. We have failed to adhere to any notion that we have a responsibility to protect them. Faced with a Syrian dictator backed by Russia and Iran, the West has been reduced to pleading that the carnage might stop.

The US ambassador yesterday said:

Are you truly incapable of shame, is there literally nothing that can shame you? Is there no act of barbarism against civilians, no execution of a child that gets under your skin, that just creeps you out a little bit? Is there nothing you will not lie about or justify?

The continuing bombardment of Aleppo today may be our answer.

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