Martin Heydon (Kildare South, Fine Gael) | Oireachtas source

I thank the Taoiseach for outlining the process relating to the 2018 draft national risk assessment. I would like to concentrate on one of the new risks that has been identified, namely, that of the economy overheating. I am a member of the Committee on Budgetary Oversight and we have discussed that matter at length. I get a sense sometimes that economists who missed predicting the previous economic crash want to make sure they do not get caught out again and that they are getting ready to predict the next one. As we ramp up our spending on construction significantly, there is no doubt there is a risk that this can have an impact in terms of overheating. Will the Taoiseach indicate how much analysis has been done on the risk of not investing in the housing sector, where such investment is so badly needed, and in key infrastructure projects such as those outlined in Project Ireland 2040, including in respect of roads, hospitals and schools? We have had the lost decade and we have to restore investment levels. We will be taking a big risk if we do not make the necessary vital investment in key infrastructure in order to allow people to work and live well into the future.

The economists to whom I refer also presume that we will continue the boom-to-bust cycle. It would be a major risk if the spending decisions that are made have more to do with short-term spending strategies rather than key infrastructure projects. We want to move away from that boom-to-bust cycle. I would be concerned about commitments and promises from the Opposition. We have examined Fianna Fáil's proposals and discovered that they will cost €1.5 billion for 2018 alone in terms of extra Government spending. We must look to see how we can mitigate all these risks to stop us returning to the boom-to-bust cycle. We do not want to return to the mistakes of the past, we want to ensure that we invest in key infrastructure.

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