Experts accuse Govt of 'La La Land' policies

Two independent economic and financial experts have slammed the Government today.

Colm McCarthy and James Fitzsimons have criticised the coalition for its "La La Land" approach to issues in the public sector and debt relief in Europe.

Colm McCarthy, economist and writer of the An Bord Snip Nua report, has laid into the Fine Gael / Labour government this morning, saying it has "failed dismally" to fight for Irish debt relief in Germany.

Writing in the Sunday Independent, McCarthy said Taoiseach Enda Kenny damaged the case for better bailout terms by suggesting Ireland could re-enter the bond markets next year.

According to McCarthy the statement creates the impression that the current terms are good enough to bring about such a successful outcome, hampering negotiations on a better package.

He also said: "It is time to admit that Ireland may never return to the markets unaided."

Meanwhile, independent financial advisor James Fitzsimons, also writing in the Sunday Independent, has said the Government has "created a Disney Land" for the public service through the Croke Park agreement.

Fitzsimons has blasted Minister Brendan Howlin's Public Service Reform proposal as "too little too late".

He said that Michael Noonan's plan to raise VAT by 2% in December will hit the most vulnerable hardest.