Government accused over economy

The Government has been accused of not having a plan to deal with the economic downturn.

Fine Gael leader Enda Kenny says there is palpable evidence of a leaking of confidence from the economy and there is no evidence the Government has a strategy to manage the country through the challenge ahead.

Mr Kenny accused the Government of not having a plan to deal with the economic downturn

He told the Dáil: “The country is facing a serious economic challenge with growth projected at just over 1 per cent, over 200,000 on the Live Register and a shortfall in taxes of over €3 billion.”

People are becoming increasingly anxious, he said, that the Government does not have any plan to manage the economy in their interests to protect their income and livelihoods.

But Taoiseach Brian Cowen claimed the Opposition’s critique was contradictory, “on the one hand they complain not enough is being spent and on the other hand they complain not enough is being down to curb spending”.

Mr Cowen said the Government was focused on maintaining budgetary discipline.

“The reduction in growth in the economy requires us to revise our budgetary position,” he said.