All parties must put nation first
Published 03/10/2010 | 05:00
This country is currently facing the best part of €90bn of debt when the cost of recapitalising all the banks and funding Nama's purchase of badly performing loans is added up.
This is major borrowing by any yardstick. The current gap between government spending (including bank bailout spending) and taxation income equates to 32 per cent of GDP. The Government has agreed that this must be reduced to 3 per cent by 2014.
To do this, there will be extreme pain throughout the economy. Last November our Government promised the non-elected bureaucrats of the EU Commission that we would have four succeeding Budgets, starting last December, which would in turn take €4bn, €4bn, €4bn and €3bn out of the economy either through cuts in public spending or through taxation.