Irish budget is “charter of exploitation”

The General Secretary of the Irish Trade Union Congress has called the Irish budget a "charter for exploitation." It was praised by a number of Conservatives.

The General Secretary of the Irish Trade Union Congress has spoken out against the controversial Irish budget announcement last week, describing it as “charter for exploitation.”

In an exclusive article for Progress, David Begg writes:

“The Irish economy is currently the subject of a rather dangerous experiment, of the sort that might be nurtured in thinktanks or the minds of obsessive ideologues.

“As the rest of the world combats the downturn through judicious stimulus and state support, Ireland will attempt to deflate and cut its way out of the crisis. There is only one modern precedent for this policy – Japan – and it endured a decade long slump as a result.

Left Foot Forward outlined last week how the Irish budget was praised by Daniel Hannan MEP as well as the think tank, Reform who claimed that Irish Minister for Finance, Brian Lenihan, had “again grasped the nettle on the Irish public finances.” Tory bloggers including Guido Fawkes and Iain Dale also lauded the package.

Writing for this blog, Duncan Weldon said the budget “gave a taste of what a future Tory budget might look like.” He went on to say:

The results of Ireland’s policy are plain to see:

• Irish unemployment is 12.5 per cent;

• The country is experiencing deflation at –6.6 per cent;

GDP has fallen 7.4 per cent over the past year and 10.5% from its peak;

• And despite the cuts they have still had their credit rating downgraded.

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