Parties have 'good discussion' about housing as focus turns to National Economic Plan
Agreeing on a multi-billion euro National Economic Plan aimed at rescuing the economy will be the focus of government formation talks on Wednesday.
Officials from the departments of finance and public expenditure are to brief negotiators from Fine Gael, Fianna Fáil and the Green Party with Finance Minister Paschal Donohoe also set to brief TDs.
But according to sources, the primary aim of the talks is to develop, if possible, just how a national recovery plan would work and deliver the pathway back to good-quality jobs and income growth.
There is likely to be a discussion about how EU resources can be tapped to develop the plan.
Sources have said the plan will include a prioritisation of capital investment, which is to be funded by borrowing, if necessary, to stimulate demand domestically, grow employment, respond to social need; and improve our national health, transport, education and housing infrastructure.
The teams will also discuss the need to develop a series of sector-specific responses through the National Economic Plan - retail, tourism, hospitality, agriculture, manufacturing and construction.
Wednesday's talks will follow a day-long discussion on housing which, according to sources, focused in on increasing the powers of the Land Development Agency.
Sources say it was a “good discussion” with much progress made but given the scale of the issues at play, not everything was reached and further discussion on housing and addressing homelessness will be needed.
Meanwhile, Fianna Fáil leader Micheál Martin has dismissed concerns that some members of his party are waiting in the long grass to replace him. “It doesn’t faze me, that’s not part of my calculations,” he told Newstalk’s Pat Kenny show.
Mr Martin also refused to be drawn on who will be the first Taoiseach of the new government. “Both parties agree it has to be a genuine partnership, that is accepted from Day One irrespective of who is Taoiseach.
It is still early days on negotiations, he said. “We will know a lot more at the end of this week.”
A new government needs to be formed soon because of the significant challenges ahead for Irish society and the economy. The country needs a government that is able to make decisions for the long term “without too much short-termism.”
Mr Martin warned that Covid-19 is going to have an impact on emissions which can no longer just be a Green Party issue. Climate change is no longer just an existential crisis, he said. “We have to deal with it.”
Fianna Fáil and Fine Gael have both committed to a 7% reduction in emissions. “There is work to be done, we need to go through sector by sector.”
Mr Martin added that lessons will have been learned because of the Covid crisis and that concepts such as remote working are just one of changes that might come about because of the impact on congestion and energy use.
He acknowledged it will be a challenge to meet the 7% target, but he said actions speak louder than words and politicians will have to show commitment not just intent.
I think there is an appetite for this. There is a lot of common ground.
The Green Party are not anti-rural Ireland, he said. “They hate that stereotype.”
The Programme for Government is what will bind all the political parties together, he said.
Mr Martin said that Fianna Fáil will have to hold a postal ballot about any agreement on entering coalition.
The party’s rules specify that a special ard fheis would need to be held, but that cannot happen now so a postal ballot will be held.
