Commission outlook -More cuts, taxes, and emigration

At the half-way point in Ireland’s onerous three-year bailout deal, the economy has come under the EU microscope and the signs are far from encouraging.

The blunt message underlying yesterdays overview of economic performance in the 27 EU members conducted by the European Commission, is that more austerity is the order of the day for Ireland and throughout Europe. With hopes of growth dwindling, it appears there is no escaping hairshirt policies.

According to the latest health check on the state of European economies, the bleak warning for Ireland is that it must “steadfastly” stick to the targets of the €85bn EU/IMF bailout programme. That, says the commission, is the best way to minimise the serious risks posed by adverse developments in the euro area where storm clouds are gathering over Italy and Spain, while Greece remains on the brink of disaster, and both Ireland and Portugal struggle to meet bailout targets.