Cowen to give ‘state of the nation’ Dáil address

TAOISEACH Brian Cowen is expected to make a “state of the nation” style address outlining challenges facing the country in a two-day Dáil debate on the economy, starting tomorrow.

During a five-hour meeting of the Fianna Fáil parliamentary party yesterday, TDs and senators promised to “rise above” the bad publicity of recent weeks on how the Government is handling economic problems.

Members told the Taoiseach that an address spelling out what action was needed would be timely as part of an overall plan to convince the public that the Government is dealing with economic challenges.

Following the meeting, Government Chief Whip, Pat Carey, said: “The Taoiseach will be addressing the Dáil on Wednesday and Thursday on the economy, and I expect he will lead the debate and he will clearly outline his thinking in relation to it.

“As to having a specific address to talk to people directly, that is something I suspect the Taoiseach may well contemplate, but he certainly made no commitment that he will do so.”

TDs also widely supported the idea of taking a 10% pay cut which will form part of an overall package on a possible new pay deal with social partners.

There was also consensus that some action is needed by the banks to free up credit for small and medium businesses.

Cork North Central TD, Noel O’Flynn, who raised the issue, said “a clear signal” must be sent to banks, and that a division should be established to help small businesses in Anglo Irish Bank which has been nationalised.

Mr Cowen gave a “sombre” address about the state of the economy at the start of yesterday’s meeting.

He then took notes for a full five hours as 45 members gave their views.

Mr O’Flynn said: “The party are full square behind the Taoiseach and the Government, but we made it clear that we do not want the vulnerable targeted in any way.”

Minister for Social and Family Affairs Mary Hanafin made it clear that she was not in favour of making any changes to the carers allowance — something which has been suggested for cutbacks.

Mr Carey said: “If we take the decisions now, it is entirely possible that in three to four years we will be on a path of growth. If we don’t it could take 10 years or more for us to recover from this particular recession.