Forget the national interest – name of the game is power at any price

AN Irishman’s notion of foreplay has been described as “Brace yourself, Bridget”. This aptly applies to next week’s budget. The yawning gap between public expenditure and revenue has grown over the past two years and is now at crisis levels.

Political inaction in most policy areas can be relatively harmless. However, business decision-making cannot afford such delays. This is the last chance for the Government to restore order to the public finances. Failure to do so will result in our creditors determining our fate.

The Government is not alone in preparing a budget for 2010. Commercial companies go through the same process each November. Across a range of sectors businesses have had a torrid 2009. For the past 18 months revenue has declined 20% on average. This twin squeeze on gross revenue and profits has resulted in drastic management action. The smart survival moves have focused on preserving cash flow. These have included: