Madam, – Through the impenetrable fog that is the pre-match analysis of the upcoming budget cuts, some clarity has finally appeared. Amid the hours of talk on the airwaves and yards of print columns, our public-spirited politicians, learned economists and assorted commentators-for-hire have arrived at a consensus: we must all share the pain.
It is surely mere coincidence that this harmonious choir that chants “pain, pain, pain” comprises the very ones who will not in any real sense be affected by the Minister for Finance’s cuts. – Yours, etc,
Madam, – Eleanor Jordan suggests that if the country were to be presented with each of the major parties’ budgets then “We could then vote in the party that makes the most sense” (October 28th). We could, but with the Irish electorate’s track record we wouldn’t. We would vote for the party that promised the least pain to each individual.
Her suggestion also implies that the three budgets would be properly designed to solve our problems, and that the parties which promulgated them would – once elected – execute them. Again, our track record on this is poor.
We will, as always, muddle through, causing untold misery to those least able to take it, and leaving alone those who are blanketed by accountants and tax advisers, and those who caused the problems in the first place. – Yours, etc,
Madam, – Eleanor Jordan (October 28th), says the solution to selecting of the next Government would be for the three main parties to present the country with budgets for the next two years and then we could vote for the party that makes the most sense.
Maybe I missed something, but essentially this is what we have always done. And look where we are! The problem is that most people in this country are selfish and will vote accordingly, in their own interests, for what is good for them. And we will be back to square one.
It is only now, when most people are suffering, that all of a sudden they have become socialists. – Yours, etc,
Madam, – British chancellor of the exchequer, George Osborne, has thrown down the gauntlet to Finance for Minister Brian Lenihan, with a radical overhaul of public sector spending by an average of 25 per cent, equating to around £83 billion. There are no sacred cows, even the Queen Elizabeth is being persuaded to tighten the royal belt. While there may be as many as 500,000 public sector job cuts, there is also to be a serious reassessment of benefits, and better allocation and use of departmental resources.
Health spending is actually going up, while education spending is only down 3 per cent. There is a lesson here that spending can be cut without sacrificing spending which is critical to our wellbeing and development.
There has been much confusion of cause and effect in respect of the sorry state of Government finances. The cost of borrowing has gone up because investors are demanding more return for the risk that the costs of the bank bailout and consequent lower growth prospects make it more difficult for the Government to pay back its debts. The scale of the borrowing requirement reflects the cold fact that the Government is spending a significant amount more than it receives in revenue. This reflects over-optimistic estimates of economic growth and future tax revenue before the crisis, and levels of Government spending which were out of control.
There are numerous approaches to rebalancing the Government finances, but one universal truth. The imbalance is unsustainable and must be addressed.
With an increasing proportion of the electorate in financial difficulty, further tax hikes will yield diminishing returns, and prolong the potential time to recovery. The real answer to resolving Government finances resides in making tough decisions around the privatisation of semi-state companies, putting in place tighter controls on spending, and ensuring that every euro spent by the Government yields benefit to the electorate. If there is a will to cut spending and improve accountability to the taxpayer, then there is most certainly a way. – Is mise,
Madam, – An Taoiseach insists that Government policy to address the fiscal mess will focus more on cuts than taxes (Front page, October 28th). This essentially means the poorest and most vulnerable are being singled out to carry the lion’s share, despite Brian Cowen, in the course of his Dáil address, claiming that we are all in this together.
Is it any wonder that the populous at large has lost all faith in his Government and is fast losing faith in the entire political apparatus? Instead of taking the golden opportunity that presents itself to redirect the course of the nation towards a fairer and more sharing society, this Government is stuck with the failed greed ideology that sees resources so unevenly spread.
After a decade of unprecedented growth, we stand today one of the most unfair and divided societies in the developed world. And the response of the Government is to make that situation much worse as it panders to the chosen few who now consider that this nation exists solely for their gratification and who indeed appear to regard the Government as their agents as they go about the business of amassing more and more of the national cake.
The only thing of worth this Government can give the people of this beleaguered nation now is a general election. To quote Shakespeare, “Stand not upon the order of your going, but go at once”. We cannot take much more of this. – Yours, etc,
Madam, – The IFA is asking the Government not to impose property tax on farms (Breaking News, October 27th).
Are these the same land-owning farmers who sold tracts of land for development at top prices? Are these the same farmers who extracted huge sums from the National Roads Authority during the State’s massive road-building programme? Are these the same farmers who demand money from the ESB for wayleave agreements and from others for various access rights? Are these the same farmers who get massive subventions from various Government departments and the EU? I rest my case. – Yours, etc,