A plan B that can ensure sustainable recovery

The rejection of the renegotiated Public Service Agreement (Croke Park II) has reignited a familiar debate within Irish political discourse. Once again we all have to ask how to get the country’s finances back onto a sustainable footing.

Some talk of more taxes being needed to close the gap. Others maintain that tax increases, coupled with a spike in joblessness, have driven the collapse in demand that is so affecting business and, ultimately, the State in terms of revenue collected. They suggest that recovery is only possible through substantial reductions in public expenditure.

However, all sides would accept that a thriving small and medium enterprise (SME) sector is a vital component that will help drive our economic recovery.