Howlin job-creation plans need approval, EC warns

The European Commission has refused to confirm whether it has changed its position on the sale of State assets to allow a portion of money raised to go towards job creation.

Minister for Public Expenditure Brendan Howlin had earlier stated that around €2bn of the proceeds of the sale of State assets are to be used for job creation.

However, Istvan Szekely, director of economic and financial affairs at the European Commission, said plans had not yet been finalised about the Irish proposals.

“We would like to understand their plans for asset sales and I understand this is in the process,” said Mr Szekely.

“When we see the plans we will encourage the authorities to be ambitious. Once we see an ambitious programme there then we can sit down and discuss matters.”

Mr Howlin revealed that a group is currently putting together a strategic plan for the sale of State assets, which he expects to report by the end of February.

The Minister earlier stated: “When we came into Government, the position was that no money could be spent on anything except freeing up our debts.

“We have been consistent in pushing that and I’m glad to say we made progress in that regard.”