Fine Gael and Labour prepare distinct election pitches

Fine Gael and Labour are preparing to outline individual general election packages to protect each party from being outflanked on key issues on their right and left respectively.

Figures in each party say the difference in emphasis between them in the election campaign will fall along tax and spending lines, and have ruled out a joint platform as suggested by some party elders.

As new parties emerge on the right and left of the political spectrum, those at the top of Fine Gael and Labour are also adamant the general election will not be until February 2016 at the earliest.

The last possible date in the life of the 31st Dáil is March 8th, 2016, while the latest date for a general election is April 9th.

Sources said factors that will affect the choice of election date include the St Patrick’s Day ministerial trips, the 1916 centenary commemorations – with Easter Sunday falling on March 27th – and a long school break over the St Patrick’s and Easter period.

Schools will finish on Wednesday, March 16th, and not reopen until Monday, April 4th.

Fear

Fine Gael sources said the party’s offering to the electorate will include a commitment to use the majority of resources available to future governments to cut taxes, and fear too close an alignment with Labour could dilute that message.

However, a transfer pact between the two parties is likely.

The Rainbow Coalition of Fine Gael, Labour and Democratic Left offered a joint platform to voters when seeking re-election in 1997, but senior Fine Gael figures in particular believe this allowed Fianna Fáil under Bertie Ahern to makes gains with a simpler tax-cutting message.

Mr Ahern promised cuts to the rates of income tax, easily understood by voters, while the Rainbow proposed a compromise tax package, including changes to tax bands.

A senior Fine Gael source said the feeling in the aftermath of that election was the joint platform damaged the message each party in the Rainbow government was trying to sell.

Labour sources, meanwhile, say the current 50-50 split between tax cuts and spending increases for the forthcoming budget is not sustainable for future governments.

More money must be diverted into areas such as childcare, and at least 60 per cent of resources should be allocated towards public spending, one source said.

Trick

“One big point of distinction between us and Fine Gael in the election will be composition of future fiscal space. We don’t think a 50-50 split between tax and spending is sustainable for the next government. The trick will be highlighting that while remaining committed to tax cuts for low and middle income workers.

“If you keep the ratio at 50-50 throughout the next government then you cannot do the spending that will be needed, let alone spend more on new public services like childcare and free primary care.”

Fine Gael figures maintain the opposite position, but no specific ratio between tax cuts and spending increases has been suggested by sources.

The number of seats won by each party would decide the tax and spending balance in a possible successor coalition, and could move back towards the current 50-50 arrangement.

At the outset of the Coalition’s term of office, it was agreed the austerity budgetary adjustments would be split on a ratio of two thirds spending cuts to one third tax rises.