Cowen says he will run country 'as he sees fit'

Taoiseach Brian Cowen says he will run the Government and the country as he sees fit and not according to Opposition demands.

In a heated Dáil debate this evening in which Opposition parties repeatedly claimed the Government was “floundering” in the face of the economic crisis, Mr Cowen said the Government would discharge its responsibility on the basis of his philosophy.

“I have no problem with democratic accountability, but as long as I am running this Government I will run the Government as I see fit, as I believe, based on my philosophy," Mr Cowen told the House.

But Labour leader Eamon Gilmore said the Taoiseach was not free to run the Government as he sees fit.

“He is free to run the Government in accordance with the authority he derives from this House and in response, by way of accountability, to this House for his actions,” Mr Gilmore said.

Mr Cowen later said he was not suggesting that he would run the country other than by the authority of the Dáil but that he had a responsibility to do his job as he believed it should be done as long as he held the post of taoiseach.

During the debate, Mr Cowen warned the country is facing a “huge economic challenge” that would require major expenditure savings and taxation changes.

Mr Cowen said the social partnership model represented the best method of ensuring the necessary adjustments fell fairly on each section of society.

He said progress was being made at the economic talks with the social partners

"We will know by the end of this week whether in fact we can come to an agreement on a framework for a pact which will bring stabilisation, which would be based on social solidarity," he said.

Mr Cowen said the scale of the challenge is such that we cannot say with any certainty that any constituency or cohort of people will stay immune from impact of the adjustment.

“We will work on the basis of trying to stabilise our public finances, provide social solidarity and use the opportunity to reform in a whole range of areas,” he added.

Mr Cowen will face Opposition parties this afternoon during the first leader’s questions of the new session following the five-week winter break. Debates on the economy are expected to take place all week as the Government and social partners attempt to agree a plan to cut €2 billion in public sector expenditure.

However, Mr Cowen last night told the Fianna Fáil parliamentary party that cuts of up to €15 billion would be needed over the next five years.

"The Dáil and Seanad will play a pivotal role in charting a way forward for our country during these difficult economic times worldwide,” the Government Chief Whip Pat Carey said yesterday.

Mr Carey confirmed yesterday that the package, due to be announced in the next week, would include cuts in salaries for TDs and senators. Unions have reacted to recent calls for a reduction in public sector wages by warnign that the pakage cannot just include cuts in services and pay.

TDs and Senators last night urged Mr Cowen to make a “state of the nation” address to the public.

The Government was circulating a framework document today to the social partners that will set out key areas for negotiations on the national recovery programme.