Mary Lou McDonald (Dublin Central, Sinn Fein)
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To ask the Minister for Finance his projected annual reduction in GDP growth arising from the proposed Croke Park II proposals to cut a further one billion euro from the public sector pay and pensions bill between July 2013 and June 2015. [17149/13]

Michael Noonan (Limerick City, Fine Gael)
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Croke Park II would represent another key milestone in returning the Irish economy to a sound fiscal footing. It is only by addressing our current fiscal imbalances that we will be able to return to sustainable economic growth and job creation. As the Deputy will be aware, there remains a considerable gap between revenue generated and expenditure. This situation is not sustainable over the longer term. In addition to the requirement to bring our deficit to under 3% of GDP by 2015 as per the Excessive Deficit Procedure, it makes sense that we bring balance back to the public finances and stabilise and reduce our debt burden. It should also be noted that while the necessary consolidation can have a negative short-run impact on economic output, the Government is pursuing fiscal consolidation in a manner that minimises the impact on the economy.

My Department will publish revised macroeconomic and fiscal forecasts at the end of this month as part of the Stability Programme Update 2013. These forecasts will take account of all developments, both domestic and international, since the Budget.