Mary Hanafin (Dún Laoghaire, Fianna Fail)

I am on record as asking financial institutions to show forbearance with clients, not to foreclose early and to give people an opportunity to reschedule their payments or pay only the interest on mortgages, an issue raised by Senator Prendergast. However, arrangements the Government makes on behalf of taxpayers to ensure money is made available more freely to the banks in order that small businesses can secure loans, overdrafts and credit are with the main financial and banking institutions. In general, these institutions are not seeking repossessions in the courts. It is the sub-prime lenders and mortgage companies, some of which gave mortgages too generously in the first instance, which are trying to claw back properties. For this reason, I am not sure to what extent the Government can influence the major banks. When I referred to this issue in conversation with the chief executive of one of the two large banks the other day, I was informed that the bank in question had only two or three repossessions. The Government is examining this issue.

Senator Prendergast referred to a sense of doom and gloom among members of the public. While there is no doubt she is correct, Ireland continues to attract significant foreign direct investment. Many major projects have been announced in recent months, for example, by Pfizer, Intel and Coca Cola, which will create jobs. Infrastructure is still being built and the Government continues to invest heavily in a range of projects. The Government will also announce an economic plan aimed at regenerating the economy.

I accept that many people are losing their jobs. Unfortunately, my Department has made provision for an average of 290,000 people being on the live register next year. This is terrible for the individuals in question and their families but we must ensure Irish entrepreneurs and companies around the world know that Ireland is open for business and has a well-educated, flexible and adaptable workforce. Employers like being here because the workforce is so flexible and adaptable. While the news on the jobs front has not been good, there is scope, through good economic planning, to be able to improve matters.