The Chairman of the Special Group on Public Service Numbers and Expenditure Programmes, also known as ‘An Bord Snip Nua’, has responded to criticism of the report published this week.
Listen to the full interview
Read the full report and appendices
Speaking on RTÉ Radio’s This Week, economist Colm McCarthy said it is necessary to get the current level of Government borrowing down.
Mr McCarthy said the Government is this year borrowing nearly €400m a week and that level cannot continue.
He said it is feasible to get out of the current situation by controlling the expenditure better.
Mr McCarthy added that the areas of health, education and social welfare account for more than three quarters of Government spending and this has to be reduced.
Separately, the Fine Gael spokesperson on Enterprise, Trade and Employment has said that the Government deliberately withheld publishing the ‘An Bord Snip Nua’ report until the Dáil went into recess.
Leo Varadkar said this was done so that Ministers could avoid answering questions on the cutbacks proposed to their departments and agencies.
He said the report calls for some cuts that have already been announced and refers to pieces of legislation which has already passed through the Dáil and Seanad.
Mr Varadkar called for the Dáil to be recalled to discuss the report from economist Colm McCarthy and the forthcoming report of the Commission on Taxation.
Director General of IBEC Danny McCoy said the report has shown the scale and magnitude of the financial problems facing the Government.
On the issue of social welfare cuts, Mr McCoy said the only solution to the current social welfare expenditure is to get people back to work.
He added that it is important that Ireland's reputation internationally is restored.
Patricia King of SIPTU said she is concerned about the effects of what is being proposed in the report.
She said politicians were the cause of our economic problems and now people who have virtually nothing will have to pay for them.
She also said social welfare payments should not be cut.
