Liam Twomey (Fine Gael)

I would like to follow up on a point made by Senator O'Toole. It does not appear as though in the current economic climate the €1.4 billion private sector investment required to enable the Limerick regeneration project to get up and running will be forthcoming. The €1.65 billion to be provided from the public coffers is also under serious threat owing to budgetary problems. There will be no private sector investment without some form of tax incentivisation. We have a long history in this regard.

The big problem with tax breaks is the manner in which they are used, which in the past number of years has been badly. We all have a phobia in regard to property tax breaks. However, the Limerick regeneration project will grind to a halt if the private sector is not incentivised to get involved. The funding required is not available in the public sector. If the private sector does have funding it is being extremely cautious given the current economic climate. Perhaps the Minister of State will consider the inclusion of some incentives to provide hope to people in the mid-west that the Government may be able to achieve something. It must be acknowledged that the targets set when the masterplan was first published will not be achieved in the timescale envisaged. There is no point in us speaking about this in a manner similar to Hitler moving around the eastern front tank divisions that did not exist. We must accept the new reality in terms of our economy.

It must be acknowledged that the masterplan as envisaged in 2008 will not happen and that we need a new way of thinking and a new plan.