Odds on an autumn election are shortening

The Labour Party is preparing a by-election writ; Fianna Fail and Fine Gael are in corruption-challenging mode; the Progressive…

The Labour Party is preparing a by-election writ; Fianna Fail and Fine Gael are in corruption-challenging mode; the Progressive Democrats are drawing lines in the sand, and the smallest Dail parties are taking advantage where they can.

As TDs got down to debating a Labour Party Bill on the funding of political parties at Leinster House last night, election fever fizzled. The pending suspension of Denis Foley from the service of the House was a contributing factor. The former Fianna Fail TD was due to be sent to the sin bin today for failing to declare a conflict of interests. And Liam Lawlor and a colleague had serious funding questions to answer before a special Fianna Fail committee.

Political nerves were at full stretch. The rumour machine was in overdrive. The sound of tumbrils and the cackle of Madame Lefarge wafted through the air. Bloodied victims were guaranteed in this climate of sleaze and disclosure. The only question was whether a general election would take place before or after the summer recess.

Last night, the odds on an autumn election shortened as Fianna Fail and the Progressive Democrats joined together to kick proposals for the reform of party political funding towards the end of the year. The exercise led to shouts of protest from Ruairi Quinn and John Bruton who were certain the Coalition parties were on the run and had to be confronted with their own contradictions. Even then, however, the Opposition leaders were themselves singing off differing hymn sheets.

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It was a fascinating exercise in political positioning as the parties prepared for a general election. Just when that election would be was uncertain. That there would be one was definite. In that regard, some people believed that evidence due to be given by property developer Tom Gilmartin before the Flood tribunal in June could bring the coalition Government crashing down. But it was only one informed guess. Many outcomes were possible.

Confusion and uncertainty can help Opposition parties. But they can also help themselves. In that regard, the Labour Party is likely to ratchet up the pressure by moving the Tipperary South by-election writ for next month. Ellen Ferris, widow of Michael Ferris, is expected to stand for the party and, in the current climate, she stands a very good chance of being returned.

A by-election victory would be of great help in raising the somewhat glum spirits of the Labour Party. And it would be a neat move to capture an uncertain seat in advance of a general election. Strategy and positioning direct the political engine. But money oils the wheels. In that regard, the funding of parties and politicians moved centre stage. With the wind behind him, Mr Quinn tabled a private member's Labour Party Bill that would ban all corporate funding of politics and limit contributions to those from individuals and associate organisations such as trade unions.

John Bruton, with an eye to the possibility of a second term as Taoiseach, engaged in a bit of serious political bonding and announced Fine Gael's support in principle for the Bill. The offer was made in spite of the fact that Fine Gael - just like Fianna Fail and the Progressive Democrats - favoured the continuation of corporate funding. In politics, a man's got to do what a man's got to do.

If Ruairi noticed, he wasn't fazed. Instead, he lashed Fianna Fail and the Progressive Democrats for failing to recognise that the days of corporate funding were past. The public was demanding reform and even within the Government parties, the light was beginning to dawn. Private donations would have to be reduced to a maximum of £22,000 for a party and £1,000 for an individual; public disclosure would have to kick in at £1,000 and £250 levels and State funding would have to be increased to make up the shortfall.

The Taoiseach and the Tanaiste offered an all-party committee that would try to reach a consensus on funding that would include corporate donations. It would report by September on a range of issues, including corruption, tax clearance certificates for politicians, the control of lobbyists and local government. After that, they hoped to pass legislation by the end of the year.

It didn't butter any parsnips for the Opposition parties. They saw the offer as a time-buying mechanism designed to protect the Government parties from any potential embarrassments that might follow from the Flood tribunal. The parties had failed to rise to the challenge, they maintained. Fianna Fail, in particular, was behaving in time-honoured fashion and was dragging its feet on reform.

Fine Gael and the Labour Party were also determined that Fianna Fail should feel pain. After the song and dance that had been made over donations to Pat Rabbitte, Cathal Boland, Liam Cosgrave and Ann Devitt, they wee looking forward to identifying Fianna Fail's central place in the big picture.