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Clashes expected as Cowen wields his 'scalpel'

Taoiseach Brian Cowen with Mary Cleary at Glenisk Dairy, Killeigh, Co Offaly, which he officially opened yesterday

Taoiseach Brian Cowen with Mary Cleary at Glenisk Dairy, Killeigh, Co Offaly, which he officially opened yesterday

By Fionnan Sheahan Political Editor

Tuesday July 08 2008

Taoiseach Brian Cowen will face a storm of protest from the Opposition as he announces around €450m worth of spending cutbacks.

Mr Cowen warned last night there were "no painless ways" to reduce spending, as he prepared for a marathon day of debate on cuts, starting with breakfast talks early this morning.

Mr Cowen and Finance Minister Brian Lenihan will outline the Government's plans at a press conference this afternoon -- before the Taoiseach gives any details of the cuts in the Dail.

The move is expected to spark protests from Fine Gael leader Enda Kenny and Labour Party leader Eamon Gilmore as he bypasses the Dail to make the initial announcement.

The Opposition feel such announcements of changes to spending policies should be made in the Dail rather than to the press.

"There'll be a row but it won't overshadow the substantive elements," a source said.

Bogged

But the Opposition leaders will also be conscious not to get bogged down in a row over the manner in which the cuts are announced.

Mr Kenny and Mr Gilmore will be seeking to extract details from Mr Cowen on what exactly will be cut as it is still not clear if the Government will try to just give a general statement of strategy.

The Government will point to the nine hours set aside on Wednesday and Thursday to debate the economy and the National Development Plan in order to defend making the announcement outside the Dail.

"The people you are trying to communicate with are the public," a Fianna Fail source said.

The cuts will be worth about €450m this year, which will then be carried forward into 2009 and will translate into cutbacks worth over €900m in 2009.

The cuts will include a recruitment freeze on hiring staff in the public sector, a curb on spending on outside consultants and advertising, and a reduction in the costs of back-office administration.

The Government is insisting frontline services, such as health and education, will not be affected by the cutbacks.

There will not be any changes to the taxation system announced today, as any such measures will wait until Budget 2009 in December.

Mr Cowen again warned last night that the cuts would be wide-ranging and necessary.

"There are no painless ways by which you can try and remove certain expenditures in order to maintain spending limits that we've set. There has been throughout the health system temporary ward closures which take place through the summer when activity lessens. That's something that happens every year," he said.

- Fionnan Sheahan Political Editor

 
 

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