Eugene Regan (Fine Gael)

Let me refer to an article in The Irish Times today concerning the comments by the German Social Democratic Party spokesperson on European affairs, Mr. Axel Schäfer. He stated Germany is prepared to assist countries within the eurozone that are in economic difficulty but that "It can't be the case that, in a referendum, people say 'we don't need Europe, Europe is hindering us' and then, months later when in difficulty, say, 'We need help. Where's Europe?' " He implied aid from Germany to a country in economic difficulty like Ireland would be contingent on such reciprocity or a quid pro quo. Those statements, which are very crude and may concern German internal politics more than European policy, show where things have gone wrong for Ireland. Many of the measures, funds, concessions and derogations we obtained from the European Union were based on goodwill towards Ireland. It now appears it is realpolitik and that there will be nothing for nothing.

One must ask where it went wrong. After the 2001 budget, an early warning was given by the European Union to Charlie McCreevy, then Minister for Finance, suggesting it was too expansionary, that expenditure was too high and that it would create inflation and lead to trouble. We rejected the recommendation by Brussels and since then our economic policy was such that we decided we knew best, could go it alone and do it our way. This has led to our current economic difficulties.

Two issues arise in this regard. The editor of The Irish Times has pointed out in that newspaper's editorial today that Mr. Schäfer has used crude language but that we must adopt measures to ensure we will not need emergency aid from the European Union. This is critical and we have an opportunity to achieve this, beginning with the budget in April. Furthermore, we must repair our relationship with the European Union. When we voted to join the European Union, it was in our economic interest. To pass the Lisbon treaty is not about our place in Europe or about this, that or the other; it is about our basic interest in restoring and securing our economic future. I ask the Leader to state whether he agrees with this assessment.