Sign in. It’s quick, free and it’s up to you.
An account is an optional way to support the work we do. Find out more.
THE EUROPEAN COMMISSION has approved the latest €1 billion bailout loan to Ireland – while publishing a report which confirms that Ireland will introduce water charges far earlier than had been previously expected.
The latest quarterly report, published by Brussels this afternoon, sees the European Commission agree to release the latest instalment in Ireland’s loans under the €67.5 billion funding programme with the Commission, the IMF and the European Central Bank.
The formal report confirms data included in a draft copy leaked last month – and says the Irish government has outlined plans to levy for domestic water charges will be in place “for domestic users from 1 January 2014″.
The legislation to establish Irish Water, the body responsible for collecting the charges, would be enacted “in the third quarter of this year” under the timetable supplied by the Department of the Environment, Community and Local Government.
Elsewhere, the document affirms previous reports that the European Commission would seek action from Ireland on tackling “the broadly flat and open-ended unemployment benefits that do not diminish with the duration of the unemployment spell” – that is, cutting welfare payments for the long-term unemployed.
The report offers a mixed appraisal of Ireland’s economic outlook – and cuts its expectations for economic growth in 2013 as a result of “continued uncertainties in the outlook for trading partners’ growth”.
The report says Ireland’s economy, measured in GDP, will grow by 0.4 per cent this year (compared to 0.5 per cent previously) – but the impact will be felt next year, when growth falls from 1.9 per cent, as previously expected, to 1.4 per cent.
Meanwhile, unemployment will be higher than previously expected – and will peak at 14.8 per cent this year before falling to 13.1 per cent over the next three years.
There is some good news, however: the European Commission believes Ireland’s government deficit will stand at 8.4 per cent of its GDP this year, ahead of the previous expectation of 8.6 per cent.
The report also sees Brussels complement the government’s draft Personal Insolvency Bill, though it asks for amendments on how it values collateral given for loans, and ensuring that creditors have the right to seize collateral on loans which have been defaulted upon.
To embed this post, copy the code below on your site
They can dress it up as much as they like but essentially we are borrowing 1 billion from Europe and will be pouring that 1 billion back into the pockets of unsecured European bondholders.
Sad to say, but we’d be in a much better place if we were still under British rule.
In fairness I’d prefer not to have Irish soldiers fighting in British wars.
We would have no economy at all of we were under British rule! We were their garden and farm , that’s all!
Eileen
I’m just sick of you repetition and predictability . Would you ever grow up and get some friends.
..and now we’re their golf course…they go straight down the fairways to the oligopolised offshore hoard..we’re bogged in the rough with the diminishing returns…
What ‘s another empire might be a Eurovision entry yet.
Another example of Irish under-confidence. We can’t always be looking for the father and mommy figure to bail us out.
Just in time to hand the exact same amount out to unguaranteed bondholders on 1st October.
Not another red cent eh?
I dont think even a fraction of it made it into cash. digital in, 1hr later, sent digitally back out to the same people who lent it to us, again with interest. They didnt even incur the cost of printing it.
Has ti be one of the biggest heists in history.
I wish the government would gropw a spine and tell the ECB to go and get lost .
Agreed, why do we need €1bln for if we can afford to give many millions more to the IMF, we are “borrowing it ” to repay it with interest, , it might make sense to some , but not to me.
Let me get this right! The people of Ireland are getting taxed for owing a house and for drinking water while getting NOTHING!!!….NOTHING..in return…yes other countries have it on place but they get compensated with free medical or dental..they also get cheaper prsi and free bin collection and live in country with better infrastructure, transport cheaper rents. Well what do the people in ireland get in return for all this? If you keep bending over people you will keep getting it were the dun dont shine. When are we going to say enough is enough?
In fairness you are getting water in return for the water tax!
Actually David, we get water, and always have, from the taxes and indirect taxes we already pay. We are being charged twice for the same service.
Those other taxes are needed for the abundance of other things this country needs to finance. People should have to pay for the collection, storage, treatment and distribution of water.
Your right David they are being used to pay off debts run up by banks to the tune of over €3 billion in interest every year. Just imagine what we could do if that money was available to help stimulate the Irish economy.
But it’s not available…therefore we need it. Until such time we have that money to inwardly invest, this is unfortunately required.
@David W, how do you mean its not available, where are we getting it to send to Europe then,??
Well said Martin but just to many people in Ireland won’t stand together. Just hope this government is voted out in next election.
You’re utterly deluded David…’until we have the money’????…cop on son!!!!
Scrap all taxes and charges and levies ete. then have just one tax on % of income for all. regardless of paye or self employed. at least we would know how much tax we are actually paying.
At this stage it would be better to scrap government and just have a free for all. It couldn’t possibly get any worse with the unelected representatives of the monied sector dictating government policy. It’s f@cking crazy!!!
Imagine if you went for a loan and the lender said “ok, you can have the money you need, but I am going to control the rest of your finances for lending it to you, on top of interest you have to pay” You’d tell them to go f@ck themselves.
Crazy, crazy crazy.
Scrap government, scrap taxes and scrap democracy. It’s all bullsh1t.
This so called economic crisis is the biggest con in history. It’s just the rich getting too f@cking greedy. I’m surprised how stupid people are in putting up with it. You’re being robbed blind and you’re all just sitting around moaning about it, muppets.
well said hugh.best comment ive seen on here in a while.would give you 100 thumbs up if i could.
This country likes double taxation on items… VRT & VAT on cars enough said. We get very very very little service for our taxes. Bond holders happy out again. I thought it wasn’t our fault, he did say it was immoral to tax a persons home too
I paid ?3500 to sink my own well I will not be paying
So did that come with another pat on the head for Enda?
Could all the people who are telling the ECB to go shove it mind telling me where we are going to get the money fund the deficit without them.
Why don’t you go ask the people of Iceland Pierce? I’m pretty sure they will be able to enlighten you.
Kerry, I will stop myself from giving you a supermarket answer. We could absolutely not pay anybody back for nationalised bank debts like Iceland. Ireland is trying to keep living standards reasonably high unlike Iceland. It’s a choice thing.
That would be the Iceland that experienced this crises at the same time as Ireland in 2008. The Iceland which is back in the bond markets, has a lower % unemployed rate that is dropping?
What do you think will happen to living standards in this country when the government introduces house tax, water charges, increased car taxes, more indirect taxes. Then add to that escalating costs coming from increased electricity, oil, gas & petrol, health if you have private health insurance. Factor in those living with negative equity and I think for many people living standards have dropped and continue to drop. I see the IMF have instructed the government to address the issue of the long term unemployed by cutting their benefit in their latest report. Sounds good in principle and I’d normally agree until you consider that for a lot of the long term unemployed there are no jobs to apply for.
Interesting article in the Irish Times today.
http://www.irishtimes.com/newspaper/frontpage/2012/0918/1224324122326.html
@Pierce, all those billions being sent to the ecb would go a very long way to run our country, then tackle political corruption from the top down.
Yeah people, what would we do without all the free money that our kindly uncle ECB is after giving us???? Party on dudes!
If I was as annoyed as some of the commenters above, I would march to the nearest FF TDs office and complain.
We are contractually obliged to pay fund the banking debt. FF put us in that predicament.
We are lucky enough to have someone to lend us the money after the childish mess they made of handling our economy.
Remember them …. Haughey, McCreevy, Lynch, Ahern and Lenihan, et al. They caused this mess, not the Government
True jim but, remember also this current governments promises and claims before the election and then look at their record since taking power and understand that they are just the other side of the coin and not far removed from FF.
jim jim jim
You are clueless. This government lied when they had NO need to .
then they ignored our fears and worries and told us all to F**k off …
This is what they are doing. Liars one and all . I am ashamed for them.
By the way I have never and will never vote FF ,but I gave FG my number one .How sorry am I.
Eileen and Kerry,
I’m not sure what you expected. That FIne Gael could just magic away the problems ???? (That is The FF approach)
Lets be serious about this. We are so bankrupt it is beyond the worst 3rd world country you can think of.
Now we can do a FF and pretend it doesn’t exist or we can all take the hit and rebuild the country that FF ruined.
What did you think you would get after the election?? Life would continue and you might pay a Euro more for your services ??
Nope jim I expected FG to stick to their election promises. Not a red cent more etc., I also expected Lab to do the same. Silly of me I know. I had hope but I was wrong. Didn’t expect them to magic the problems way but I didn’t expect them to sell Ireland down the river and ignore the reasons why we are bankrupt. Yes FF ruined us the sad thing is those who are now in government are continuing to do the same. Today we got 1 billion from the troika on October the 1st we pay 1 billion to unsecured bond holders. No connection at all I’d imagine.
They are the gov…idiot
One of these days the word bailout will be used in the correct context.
@jim ahh jim ahh jim Fianna Fail and now Continuity Fianna Fail under Enda Kenny.
This democracy lark is getting under my wick. may be as well be living in China. Never voted FF, FG, SF, Lab or Green but have to suffer the consequences. Give us the Swiss system quick!
Socialism fail….
have your say