LABOUR LEADER Eamon Gilmore has dismissed the prospect of a “phoney consensus” on a four-year budget plan, but has agreed to meet Taoiseach Brian Cowen to discuss the issue.
Responding to Mr Cowen’s invitation, Mr Gilmore said the Government did not have a mandate for a four-year plan and an election should be held as soon as possible.
In his letter to Mr Cowen yesterday, Mr Gilmore said it was hardly necessary to meet to confirm that the parties shared the objective of putting the public finances back on a sustainable footing by 2014 as Labour’s commitment to this objective was already on the public record.
Mr Gilmore said the Government did not have a mandate for the next four years, and it was not credible to have a four-year budget plan without having in place a government which had a mandate to govern for that four-year period.
“Such a mandate can only be provided by the people. Therefore, in order to provide confidence and certainty, you should seek a dissolution of the present Dáil, and the holding of a general election as soon as possible.
“While I am always willing to meet with you to discuss any matter of national importance, including the budget, I remain to be persuaded that this exercise is intended to do anything more than prolong the life of your Government.”
Later at a press briefing at Leinster House, Mr Gilmore said it was unrealistic for anybody to believe that the talks involving the party leaders were going to lead to a consensus on the budget. “I don’t see any point in having some kind of phoney consensus.”
He defended comments made in a recent newspaper interview in which he ruled out tax increases for low or middle-income earners as well as cuts in social welfare, child benefits or pensions as part of the budget for next year.
He repeated his commitment for a new third rate of income tax for those earning more than €100,000 as well as the elimination of tax reliefs for property development, which he said were worth €1 billion.
Mr Cowen yesterday rejected claims that his invitation to Mr Gilmore and Fine Gael leader Enda Kenny to talks involved at least a change of emphasis on his party.
“I don’t agree. I’ve been saying what I’ve been saying, in Galway two weeks ago and what I said in Portlaoise, what I’m saying in the Dáil, and obviously reiterating by way of letter to the two Opposition leaders yesterday.”
Mr Cowen said he was very anxious to sit down with the other two party leaders to confirm they would reduce the deficit to 3 per cent by 2014. While there were differences between the political parties, he felt people would like to see the political system co-operate to the greatest extent possible.
“We need to take this step by step, allow the Opposition to discuss issues with the Department of Finance, they will be able to assess those matters and a meeting between us confirming that we are all on the same broad field of play if you like, is something that would be helpful as a signal to the international community that there is a determination within the political system to meet our obligations under the Stability and Growth Pact.”
Independent Tipperary North TD Michael Lowry yesterday backed the Taoiseach’s effort to find a consensus.
“I think it is a genuine effort to reach out to the political establishment. This is a very decisive moment in our history and we need to be responsible, and I believe the Taoiseach is doing that. I am quite confident from the utterances that I’ve heard from people like Michael Noonan and Joan Burton that the Opposition are up for the challenge and that they will contribute in a meaningful way.”