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Fianna Fail MEPs vote against calls for Irish debt deal

Three Fianna Fáil MEPs have voted against calls for a debt deal for Ireland. They rejected...
Newstalk
Newstalk

15.58 13 Mar 2014


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Fianna Fail MEPs vote against...

Fianna Fail MEPs vote against calls for Irish debt deal

Newstalk
Newstalk

15.58 13 Mar 2014


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Three Fianna Fáil MEPs have voted against calls for a debt deal for Ireland. They rejected a proposal from Sinn Féin and Socialist MEPs explicitly calling for a deal on Irish legacy banking debts.

MEPs Liam Aylward, Brian Crowley and Pat 'The Cope' Gallagher all voted against the call, despite the support of their party for a deal on Irish legacy debts.

The MEPs have claimed their vote was undermined at the last minute.

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In a statement, they say "A coalition of socialists and Sinn Féin's Northern Ireland MEP chose to undermine this work and tabled another amendment for the simple purpose of trying to generate media attention in advance of European elections. We believe this late change may have undermined support for the original amendment".

Mr. Aylward, Mr. Crowley and Mr. Gallagher say they reject this approach, adding that "the issue of a fair deal on legacy debt is bigger and more important than any individual or party election campaigns".

Meanwhile the Sinn Féin Midlands Northwest MEP candidate, Matt Carthy, has called on Pat 'The Cope' Gallagher to explain why he voted against the amendment.

The proposal was an amendment to a report which criticised the role of the Troika in the four Eurozone bailout countries.

The European Parliament report into the actions of the Troika has found a number of problems in the way it behaved in countries that were bailed out.

The inquiry into the European Central Bank (ECB), International Monetary Fund (IMF) and the EU looked at their activities in Greece, Ireland, Cyprus and Portugal.

The report notes that around 40% of Irish GDP was injected into the banking sector by the taxpayer at a time when bail-in was not available.

The Parliament says it notes the non-existence of fiscal imbalances before the crisis here and to the extremely low level of public debt. It also stresses the extended level of flexibility of the labour market and that the Troika initially requested the lowering of wages.

It also says there should be further examination of the Irish financial sector "in a manner that substantially alleviates Ireland's heavy burden of bank debt".

The report says it "regrets the inclusion in the programmes for Greece, Ireland and Portugal" of a number of detailed prescriptions for health system reform and expenditure cuts.

 'Burden should be shared among all'

The document adds that it "regrets that the burden has not been shared among all who acted irresponsibly and that the protection of bondholders was seen as an EU necessity in the interests of financial stability".

It believes that, in the longer term, the distribution of costs should reflect distribution of the protected bondholder and that it "takes note of the Irish authorities' demand for a transfer of a share of public debt corresponding to the cost of the bailout of the financial sector to the ESM".

The report was presented dually by the Economic And Monetary, and the Employment And Social Affairs committees, who recently conducted their in-depth analysis in programme countries: Portugal, Greece and Spain as well as Ireland.

Independent MEP Nessa Childers said the report findings prove that the Troika was undemocratic and unaccountable.

"I strongly believe that this was nothing more than a merciless social experiment - and one that Ireland was on the receiving end of" she said.

"And I am bitterly disappointed that the report did not clearly state that Troika measures were a breach of the EU's Charter Of Fundamental Rights" she added.

Labour MEP Emer Costello was involved in contributing to the reports, and says it shows the Troika got it wrong.

Read the full report here 


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