Government Sabotaged Economy: Fine Gael

A Fianna Gael TD has claimed the Government have "sabotaged" the economy's capacity to withstand tougher economic times through reckless financial management.

On Tuesday, it was revealed the government was already facing a €3.6 billion deficit in tax revenues, on top of the already planned €5 billion shortfall, according to Fine Gael's Deputy Leader and Spokesman on Finance, Richard Bruton TD.

He said: "This Government have sabotaged Ireland's capacity to handle tougher economic times through reckless financial management over several years.

'It is bad management, not bad luck that has led to this nosedive in the public finances. This €10 billion reversal in our public finances - we had a €2 billion surplus in 2006 - is unprecedented."

The tax returns also show an ballooning in government spending to €22.2bn over the first five months, compared with the €19.4bn spent at the same stage last year.

The figures indicate a steep road ahead for Finance Minister Brian Lenihan, as the shortfall in tax revenues and deteriorating budget is crippled by the worsening construction sector and rise in unemployment.

Mr Bruton said: "The Government could look again at some of the proposals Fine Gael have advanced recently: they include proposals to cut the number of Quangos to save millions each year for the taxpayer and cut the lower rate of VAT to help the cost of living through a windfall levy on power generators' unearned profits from free carbon credits."


Related Irish News Stories
Click here for the latest headlines.

04 December 2019
Dara Murphy Resigns As Fine Gael TD
Fine Gael's Dara Murphy has resigned from his seat in the Dáil Éireann. In a statement released on Tuesday night, Mr Murphy said he would be taking up a new role in the European Commission. The former Cork North Central TD also informed the Taoiseach Leo Varadkar on Tuesday evening.
29 November 2019
'Year Of Shame And Failure' For Fine Gael On Health Service
2019 has been described as a "year of shame and failure" for Fine Gael when it comes to the health service.
16 February 2009
Opposition Wants Regulator Out Of Anglo Scandal
The Fine Gael leader has urged the government to remove the Financial Regulator from the Anglo investigation. TD Enda Kenny instead is calling for the Director of Corporate Enforcement to be given the lead role in investigating the scandal.
16 December 2013
Taoiseach Addresses Nation As Bail-Out Programme Ends
Taoiseach Enda Kenny has said that the country is "moving in the right direction" as the three-year bailout programme has now ended. In a national address published on the final day of the bail-out programme, the taoiseach said that people's sacrifices "are making a real difference," and that the Irish economy "is starting to recover".
14 October 2013
Ireland To Exit Bailout In December - Taoiseach
Taoiseach Enda Kenny has said Ireland is on track on leave its international bailout programme in December. Speaking at the Fine Gael party conference in Limerick, Mr Kenny said the "economic emergency will be over" for the country, there are still challenging and "fragile times" ahead.