Ministers accused of U-turn on deal

Fianna Fáil has accused Minister for Finance Michael Noonan and Minister for Public Expenditure and Reform Brendan Howlin of making an about-turn in their attitude towards the EU-IMF bailout.

The party's finance spokesman Brian Lenihan said the ministers had been two of the most vocal critics of the €85 billion deal, which he was involved in the negotiation of during his tenure as minister for finance, and that he was surprised to hear them now speaking of their satisfaction at the programme's progress.

"This is the same deal, with the same political priorities identified by the last government," Mr Lenihan said.

"Yet again, the Irish people will be reminded of the shrillness and negativity of these parties while in opposition and will contrast it with their adoption of the same policies and priorities as the last government when faced with the same choices."

The Ministers had undergone a "remarkable transformation", he said.

Mr Lenihan said the only difference between the deal negotiated in December and its current incarnation was that an additional €400 million would need to be found to fund a reduction in PRSI.

The Government said it intended to reduce employer PRSI by 50 per cent on the tranche of income up to the minimum wage to offset a €1 increase in the minimum wage.

Mr Lenihan called on Mr Noonan and Mr Howlin to explain how they would pay for the reduction in PRSI.

"What tax raising or service cutting deal have they already agreed with EU-IMF officials to fund any jobs initiative?" he asked.