David Norris (Independent)

The perilous economic situation in which we find ourselves is the only story today. It is the closest to a war situation I have ever seen in this country and we need to address it very clearly. Like Ulysses, we are caught between a rock and a hard place. If we turn one way, we will hit a rock and if we turn the other way, we will hit a whirlpool. Very skilful management is needed. We need a wily Ulysses.

During yesterday's poorly attended debate which went completely unreported, I expressed concern that radical cutbacks might damage the prospects for economic growth. That argument is supported by the horrifying figures published today. It has been reported that we now need to cut €15 billion, rather than €7.5 billion. Most economists have expressed serious doubts about whether this can be achieved and their views have been underscored by the ESRI report. We need to bear this in mind.

We need a general election as soon as possible, followed by a Government of national unity. I was laughed at when I made a similar suggestion a year ago, but the situation is now so serious that we must be prepared to sacrifice personal ambition and party objectives in the interests of the country. We need a unified government, supported by a country that is united behind it and a media that supports the measures considered necessary. This is not a time for personal ambition, although advocating this will undoubtedly complicate my political ambitions, as Members of the House will know. Parties leaders must also sacrifice their ambitions for themselves and their parties. We have talent in this country and whoever wins the next general election - I call for it to be held as soon as possible - should be in a position to select from the talent available in all of the parties the best team to lead the country out of the mess in which it find itself. We also ought to be able to call on the expertise of people such as Mr. Peter Mathews, Mr. Constantin Gurdgiev and Mr. Brian Lucey who have not been listened to, although their predictions have been accurate. Their figures, rather than those of the Government, have been accurate and, regrettably, are very damning. A Government of national unity should be able to avail of the resources of a panel of experts to guide us independently out of this mess.

I remind the House - the Leader has spoken passionately about this issue on many occasions - that we are moving towards the 100th anniversary of the 1916 Rising when a group of gorgeous and visionary individuals took action which, ultimately, led to a completely independent country. If we are not very careful, however, by 2016 that independence will have been sacrificed. It is already well on the way to being sacrificed. Mr. Brendan Keenan, a very distinguished economics commentator, writes in today's edition of the Irish Independent that our foolishness has removed our national sovereignty, both morally and legally. In the light of the Merkel and Sarkozy agreement, in particular, we will face a situation where our sovereignty may well be removed. My final point, a very significant one, is that if that agreement goes through, we may face another referendum on the situation in the European Union. It is vital, therefore, that we have a unified Government in order that that referendum could be carried. However, we have one political card in this political game which is that we could withhold our vote of agreement on condition that there would be realistic targets and that we would receive assistance from the European Union.