John Gerard Hanafin (Fianna Fail)

I honestly believe the context that was I referring to was specific to making decisions and nobody can say this Government baulks from making strong decisions, and we are heading in the right direction. The public service is getting a very bad press. It is well paid, but the adjustments that had to be made were made. Let us not forget the value the public service gives and the absolute integrity of many of its workers in providing a better service, as they have successfully done in the past. From the 1960s onwards the Government and public service ensured that Ireland moved forward as a country and put the right policies in place, from which we are now benefiting. Already in the public service there has been an 11,000 reduction in staff. I welcome the Croke Park agreement because it allows for redeployment, which will be rapid. In the context of staff redeployment further natural reduction will come about too to ensure there is industrial peace, which is very important when adjustments of some €14.5 billion have to be made.

In the context of where our resources might be accurately and effectively used, the fact the EU Commissioner for Research, Innovation and Science is Irish is an indicator as to where Ireland could position itself. We have positioned ourselves at the highest end of the information technology and biotechnology sectors and can have a positive outlook as regards innovative suggestions from the public. My colleague, Senator Butler, will deal with the Spirit of Ireland group, which many of us support very strongly. The group is intent on putting in green energy, thereby displacing imports and providing jobs in the supply of services, while ensuring income for the State.

Do we need to look abroad for specific funding or can we source the banks for cash? Specific projects offering high added value should be ringfenced for a return by the banks to enable them to issue bonds with the specific purpose of putting funding in place for these projects, especially where the Spirit of Ireland, for instance, has a guaranteed market for the energy it can produce. There are other items I believe could help. One of the first things we need to do is to get the message out to the public about the budget. Too much fear is being engendered in certain sectors of the media about the budget. There will be €4 billion in cuts in a very large economy, but as things stand most sectors believe they will be cut again. This has led to a high level of savings in the economy. The retail sector, which is very important to the economy, is suffering and the sooner we get clarity and the sooner the budget is published, the better. We need to regain confidence and to get people spending again. At this stage we need strategic partnerships. I am thinking specifically of ideas such as that of Siemens offering to install water meters. If it offered to take on that investment, we as a nation should consider that offer. No doubt, there would be a return on it. Perhaps a similar offer could be considered in the area of broadband if there were companies willing to invest for a specific return.

We must be innovative where cuts are necessary because we need to grow the economy when we are taking so much out of it to balance the books. We can do it and have done it before. Where we need to be innovative, we must think correctly, do what we need to do and act on that. I expect the Government will do what it must do. I do not expect it to be easy for the Government to make cuts, but I expect it to do what is necessary. Internationally, whoever is in government, whether they be the government of the left of President Obama in America which won out over the right or the government of the right in Britain which won out over the left wing government of Gordon Brown, will suffer because the difficult decisions must be made. Regardless of the consequences, however, the duty of our Government is to do what is right. That is what I expect it to do.