The Fine Gael leader accused the Government of squandering the economic boom.

Mr Michael Noonan said the financial policy of every government in the State's history was to do the best they could with the limited, inadequate amount of money available. but all that changed in 1997 when the full benefits of the Celtic Tiger started to flow into the Exchequer.

"The Government abdicated from making choices that would safeguard our future, in favour of taking the easy way out - spending money for short-term, opportunistic gain, or to gratify the egoistic whim of a leader with an edifice complex. These gains are now, of course, turning to dust, and we are still left with the future to face."

Mr Noonan was introducing a Private Member's motion condemning the Government for its failure to use the fruits of economic success to improve critical public services, or to achieve value for taxpayers' money. The Government, he said, had failed to realise that the dictates of prudent government applied in good times as well as bad.

"It has thrown prudence to the wind - spending unbelievable amounts without a care for the results, if any, that they produced. 'Value for money' is a concept this Government has swept under the carpet, at enormous cost to the people.

"It has failed to apply even the most basic checks and balances in the administration of public money, the full consequences of which are only just beginning to appear above the surface.

"The shambles at Abbotstown is a scandal in itself, all the more so because it comes home to roost right at the Taoiseach's own door. But it also comes in a long line of misadventures that include, to mention just one, the €50 million over-run on the Iarnród Éireann signalling project."

The Government, said Mr Noonan, had failed in even the most basic of housekeeping tasks, which was to make sure that the money going out the door did not exceed the amount coming in. "Public spending is not alone out of control, it is getting further out of control every day that passes. The cutbacks in spending promised at Budget time are simply not being realised."

Defending the Government's record, the Minister for Finance, Mr McCreevy, said his philosophy relating to public spending was clear. "Where there is money available, I am willing to invest in our public services. but I am not prepared to stand over an approach which would set our public finances on an unsustainable path.

"We cannot spend what we do not have. Significant pressures for additional spending over the next few years already exist - we must all work to ensure that the response to those pressures is based on the long-term interests of our economy. We need to achieve an appropriate match between spending and resources going ahead."

He said that at Budget time he had indicated he expected a GDP growth rate this year of just under 4 per cent. This was still a reasonable estimate, comparing favourably with the European Commission's forecast for this year for the EU as a whole of about 1.5 per cent GDP growth.

Debate on the motion continues today.