Aideen Hayden (Labour) | Oireachtas source

It is important to remember where we are today compared to where we were 12 months ago when we sat in this Chamber with measures to take €2.5 billion out of the Irish economy at a time when the Irish Financial Advisory Council wanted us to take out €3.1 billion. We were right. We have proven that it was right not to take more out of the economy than we absolutely had to. We stand now at a point where the Department of Finance has estimated that the economy will grow by 4.7% this year, 3.6% next year and 3.9% in 2016, while the ESRI has estimated that the economy will grow by 5% this year and 5% next year. This is a superb performance that is a credit to the Irish people by comparison with what is happening in our European neighbours. Unemployment has fallen substantially, as the Minister of State said, and it is estimated that we will reach an unemployment level of 10% next year.

That is not something of which we should be proud but by comparison with the unemployment rate of in excess of 15% we had in recent years, we can say we are on the right road.

Last year, the Government had to introduce €2.5 billion in cutbacks in the budget whereas this year, it will invest €429 million in the economy, which equates to a turnaround of €3.1 billion. Many people do not realise that the Government will put €3.1 billion back into the economy next year. The increased expenditure will cover housing, social protection, health and education. We are beginning to alleviate a number of the measures Senator O'Brien's Government implemented.