Taoiseach accuses Opposition of 'rewriting history'

Taoiseach Brian Cowen accused the Opposition of rewriting history tonight after Fine Gael and Labour launched withering attacks on his record in Government.

Enda Kenny claimed Mr Cowen was guilty of creating an economic disaster while Eamon Gilmore described the Taoiseach‘s stock defence of his fiscal policy as shameful.

Facing a no confidence motion in the Dáil, Mr Cowen repeated claims he made last week after two damning reports into the banking crisis criticised his actions while at the Department of Finance.

He said he accepts full responsibility for decisions he took, as Finance Minister and as Taoiseach.

But he added: “Accepting due responsibility as I do, does not however, oblige me to accept the re-writing of history and the bare-faced denials about their record on the part of the opposition.”

Mr Kenny, who is in the midst of a confidence crisis in his own party, launched a bitter attack on elite Fianna Fáil backers and supporters.

“I accuse you of hijacking our Republic and handing it over to a toxic circle of bankers, developers and speculators who, like a cancer, have sought to destroy our Republic from the inside out,” Mr Kenny said.

“I accuse you of attempting to deceive the Irish public about the causes of this crisis and your own responsibility for it.”

Mr Kenny, who will face a confidence motion and leadership struggle on Thursday, said the Taoiseach was guilty of creating an economic disaster.

“You, Brian Cowen, are guilty. Guilty of creating an economic disaster that will forever carry the logo: ‘Made by Fianna Fáil‘,” he said.

“If you had any integrity you would already have resigned. If you had any respect for the people whose lives you have destroyed you would already have called an election.

“But for you, the supreme political virtue, the only virtue, is loyalty to party. Party before country. Party before people. That is the Fianna Fail way.”

Mr Kenny sat next to allies James Reilly and Alan Shatter. But the frontbench rebels facing the sack were not relegated to the back benches, where former deputy leader Richard Bruton sat.

Mr Gilmore opened his challenge with a harsh attack on the Taoiseach’s defence, asking: “Have you no shame Taoiseach?”

The Labour leader said Mr Cowen was preoccupied with justifying the Government’s past.

And he continued: “You have given us a half hour of the most shameful speech I have ever heard in this house. The choicest exercise in hard neck politics that I have heard in a very long time.”

He also accused the Government of being far removed from reality and clinging on to power.

Mr Gilmore added: “The reason why the people want change is clear. The verdict on this Government is in. The two reports on the banking crisis are a clear statement of the damage done to this country by Fianna Fáil.”

Mr Cowen, who diverted from his lengthy script on two occasions to challenge the opposition, acknowledged his actions to reform tax and reduce reliance on construction were ultimately insufficient.

The Taoiseach added: “I want to emphasise that prior to the crisis, the Government took action to reduce the vulnerabilities of the economy to the property market, although I fully accept that, in hindsight, it was not sufficient.”

Mr Cowen accused the opposition of criticising him for not spending enough during the boom but now, in economic downturn, revising their arguments and criticising for spending too much.

“When I was Finance Minister, I was described by Fine Gael as ‘Ebenezer Scrooge‘,” the Taoiseach said.

“Fine Gael also described my budgets as ‘measly‘. Enda Kenny said my budgets ‘did not give people enough‘.

“The Labour party described my spending as ‘hopelessly inadequate‘ and ‘totally insufficient‘.

“So let’s be clear, the opposition certainly didn’t ask us to spend less. They were suggesting we spend more.”