Minister attacks Sinn Féin spending plans

Sinn Féin’s plans for public spending would turn Ireland into the European economic equivalent of North Korea, it was claimed today.

Environment Minister Martin Cullen launched a no holds barred attack on Gerry Adams’ party for demanding in its European Election manifesto that social spending levels match the EU average.

The Waterford TD asked how Sinn Féin proposed to do that, asking the party if it was proposing to double income tax or increase taxes and jobs in a bid to swell the public expenditure budget by €10bn a year.

“Who would pay if ever this madness took hold?” he asked.

“We would all pay in lost income, lost jobs and lost opportunities.

“Do they realise our low unemployment rates means less social expenditure? Do they not realise that even while we halved unemployment, we have simultaneously doubled the social welfare budget?

“They simply recycle all the failed and empty mantras of central command economies. They would transform Ireland into a depressed economic ghetto, the North Korea of Europe.

“An island of equals: equally poor, equally miserable.”

In a section of its manifesto entitled ‘Eliminating Poverty,’ Sinn Féin argued the European Union has been primarily focused on stimulating economic growth and free market competition as a means of eradicating poverty.

However, the manifesto claimed the widening poverty gap under the Celtic Tiger economy had disproved that theory.

“Between 1994 and 2000 the number of people living in poverty in the 26 counties rose to nearly a quarter of the population,” the party said.

“In 2004, while the 26-county state is the fourth-wealthiest in the world, it has the lowest level of social spending and the highest poverty rate in the EU.

“In the north (of Ireland), the situation is, if anything, worse. Thirty-eight per cent of children live in households in poverty.”

Sinn Féin said job creation and economic growth on their own would not tackle poverty.

If elected to Strasbourg and Brussels, Sinn Féin said its MEPs would campaign for:

:: An agreement of EU wide targets and timeframes for poverty reduction and elimination.

:: A target and timeframe for the elimination of homelessness across the EU.

:: Poverty-proofing of all EU law and policy

:: An end to EU restrictions on borrowing for investment in capital projects aimed at providing improved public services such as hospitals and schools

:: Increased protection for public services from privatisation to ensure access to healthcare, education, housing, childcare and elderly care as essential basic rights

:: Social spending increases to at least the EU average

Mr Cullen lambasted Sinn Féin today for failing to acknowledge how low tax and free trade policies had slashed unemployment in Ireland.

The Fianna Fáil minister also accused Sinn Féin of suggesting Ireland would be better off outside the euro, claiming the single currency was hindering economic development.

“Do they really believe that we would be better off outside the euro?” he asked.

“They claim that infrastructural investment is being hindered by euro membership.

“Do they not realise that Ireland’s level of capital expenditure is 5% of GNP - a rate that is twice the European average?

“It’s time for Sinn Féin to face the realities of the world around us. Their regressive and backward economic policies offer no future for anyone.”