The Cabinet held its first meeting since the summer break today and the fate of Anglo Irish Bank was high on the agenda.
A Government statement issued after the meeting said that it was united in its determination in relation to the resolution of the Anglo Irish Bank issue. The statement said the resolution 'must be done at the least practicable cost to the taxpayer and in a way that gives finality'.
'The Government is working with the EU authorities to that end; it is also in active discussion with the EU Commission about the future of the bank guarantee,' the statement added.
Finance Minister Brian Lenihan said he would be visiting Europe next week to discuss with European authorities the problems facing the Irish banking industry. He added that the Government has had tremendous support from Europe.
He said Europe has stood firmly behind the Irish banking system and the country needs to address and resolve the difficulties in Anglo Irish Bank in co-operation with the European authorities.
Asked about whether any Cabinet colleagues had expressed concern about events related to Anglo that had arisen in recent weeks, Mr Lenihan said they are all concerned as a Government about any threats to Ireland's fiscal position. He said they were also concerned about the appalling cost which the events at Anglo has inflicted on the state.
He said their common purpose was to reduce that cost to the taxpayer, and there was no rift and complete unity of purpose in the Government.
Mr Lenihan said that he, as the accountable Minister, is satisfied he has the confidence of his colleagues in this matter.
Lenihan eyes stabilising public finances
Meanwhile, Mr Lenihan also said that Exchequer Returns to be published tomorrow would indicate that the public finances have stabilised.
Speaking at the opening of the upgraded M50 motorway in Dublin, the Finance Minister said the assessment is that we are having economic growth this year and this could be seen in many respects.
Mr Lenihan said he recognised that the country has some difficulties, but added it is important that we look at the positive assets that we have.
'We can surmount those difficulties', he said. We have opportunities and it is important we realise them,' he added.
Commenting on today's Live Register figures, the Minister said it is clear that unemployment will peak in the next few months and will reduce thereafter.
He said that there is complete unity of purpose in the Cabinet about the top priority in economic terms, which is jobs.
He said the Government has to put in position a credit system which can support an economic recovery. He said the question of funding the state and funding banks also arose at Cabinet and he briefed ministers on the up-to-date position.
