All down to debt

What is not appreciated is that this €3.5bn of cuts and tax hikes are permanent and that the €2.5bn cuts next year and minimum €1bn of cuts and taxes the following year are also permanent until and unless there is growth in the domestic market.

There will be no growth until people start spending, and that will not happen until their and Ireland’s debt levels are reduced significantly. There will be no significant reduction in our collective debt (and interest) levels until and unless we get a debt deal, the most significant elements of which must be a reduction in the interest rate on the bubble debt (dead money) to a sensible level, 0.5% or less, and repayment deferral until we have significant growth and ability to repay.

Kevin T Finn