Economic recovery - School plans blocked by ineptitude

EVEN though too many of life’s great charms are overshadowed, for the moment at least, by an unrelentingly dismal economic situation it is cheering that the European Commission believes we will overcome our difficulties and eventually return to being something more like a functioning society and economy.

It may not be entirely consoling but it is the kind of encouragement needed right now.

Speaking to the Oireachtas European Affairs committee yesterday morning Internal Markets Commissioner Michel Barnier — who succeeded one of the great and unrepentant architects of our downfall, Charlie McCreevy — said: “I see light at the end of the tunnel.”

He underlined a reality too when he said that our future depends on Europe. This challenges those who advocate extending the timetable agreed with Europe for reducing our budget deficit. Even if they are right, we hold such a tragically weak hand of cards that we are not really in a position to object.

A short-term readjustment will mean hardships but our situation has become so very perilous that our absolute focus must be on survival. Anything else, no matter how desirable, must wait.

Commissioner Barnier’s encouragement was echoed, though with a caveat, by one of his colleagues, Commission secretary general Catherine Day.

Speaking to business people in Dublin she reiterated what we already knew. Bringing the public finances back under control was a necessary starting point for economic recovery, she said. “There is no sound economic policy without that.”

It is not surprising that the EC, so involved with the December budget, would offer encouragement and solidarity at this point. They may not have as much to lose as we do but another implosion like Greece would be a great challenge to the entire euro project. Our situation may seem grim but a eurozone collapse would be a catastrophe of an altogether different colour for the weaker economies.

Though they were cautiously optimistic it is hard not to wonder what they thought of the story that broke on the very day they visited Dublin.

How would they have reacted to the news that almost half of the building budget allocated to the Department of Education for 2010 remains unused?

Despite Minister Mary Coughlan’s defence of a situation where, in November, 331 million earmarked for school buildings has not been used, it is impossible not to think that this shows us at our worst.

We, almost unbelievably, have the money; we need new schools or extensions to schools. We most certainly have the capacity within our construction sector to do the work but we can’t bring all the pieces together to get the job done. The dead hand of our public service prefers to leave building workers on the dole, children in crowded and dilapidated schools even though funds have been allocated for the work.

How else can it be described?

This kind of stasis has made a considerable contribution to our present crisis and threatens any prospect of a recovery. Unless it is rooted out it makes little difference what Minister Lenihan announces next month and it clouds all of the encouragement

Commissioner Barnier and Ms Day are prepared to offer.