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Unseasonal budget a relative success – if still something of a shot in the dark

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Political World with Harry McGee – harrymcgee@gmail.com

It’s the middle of October and we should be thinking of leaves turning brown and the season of mellow mistfulness as the clocks go back at the end of the month. Instead, unseasonably, we are talking about the Budget.

It just seems strange. That event is always associated in my mind with dreary December and the shortest days and all the darkness before Christmas twinkles us out of it permanent.

But we have had an October Budget this year. Why? Well, it’s got nothing to do with us, Gov. It’s Europe and its bureaucratic ways. Part of the price for going into the European Stability Mechanism was that there was more uniformity and predictability about how European Union member States were running their affairs. And that mean that all EU countries must present their budgets in October.

We had a Budget in October once before. That was in 2008, when new Taoiseach Brian Cowen and his new Minister for Finance Brian Lenihan realised the jewel they had inherited from Bertie Ahern was really a fake.

In an act of panic, they introduced an early Budget with a lot of crude cuts. Most were tolerable. But the one that really riled the citizens was the decision to remove the automatic right of over-seventies to hold a medical card.

It provoked an outrage and for the first time ever the gates of Leinster House were being stormed by a silver-haired and blue-rinse mob.

So, after that experience, there was understandably not much appetite to repeat an October budget.

But now we have had one foisted on us. It must be said the atmosphere has changed markedly since then and a lot of water has flowed under the bridge and a lot of money has flowed out of the Exchequer.

As it happens, for the second year in a row, the Minister for Health James Reilly has tightened up the conditions for over-seventies to hold medical cards and thousands will now lost that right.

But is there an outcry this time? Not much, if any. So many groups have been hit hard by successive austerity budgets that the well of sympathy – so evident in 2008 – has dried up almost completely.

The worst thing is that the Government has made a budget for 2014 based on an incomplete picture of how 2013 has fared out. At least with a December budget you have almost all the details that are required.

Before this week’s document was drafted we knew what money the State had taken in and spent for the first nine months but not the last three months. For example, the returns for the self-employed are filed at the end of October and November (if online) so we can’t say at this stage if the news is good or bad. Ditto with corporation tax, where November is also a very big month. And the CSO figures that tell us how the economy is faring overall (whether it’s growing or in recession) only take us to the end of June.

We will not know until long after the Budget has been announced if the country was in recession in the second half of the year.

For more, read this week’s Connacht Tribune.

 

Connacht Tribune

Housing policy can make or break Fianna Fáil’s future

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Faded glory...the Corrib Great Southern Hotel.

World of Politics with Harry McGee

When you approach Galway City from the east, you come across it as soon as you clear Merlin Park – standing out like a sore thumb; a sentinel warning us that buildings like humans fall victim to the ravages of time and to fortune.

The Corrib Great Southern Hotel is the city’s biggest eyesore and has been for many years. It’s a huge hulk of a building; vacant for many years, heavily vandalised, its windows smashed or boarded-up, its once-pristine grounds now overgrown.

Built in 1970, it’s long way away from its heyday when, in an era of optimism, it became the CIE-owned Great Southern Hotel Group’s most modern hotel.

We were kids when it was operating fully and it seemed to be thriving, as a hotel, wedding venue and for dinner dances.

All of that seems a long time ago now. The hotel has been vacant for a hell of a long time (since 2007) and in a way has become a symbol of Galway’s housing crisis.

All the more so because it stands across a roundabout from the gleaming new Garda headquarters and also the wonderfully revamped GMIT.

It’s been due for demolition for a long time and has been on the derelict site register since 2015 – but no action has been taken despite statutory orders on the registered owners.

In one way, the hotel is a symbol of the inertia of successive governments in tackling the housing crisis in Ireland. The inaction in relation to it is replicated across the board in Galway and in all other Irish counties.

The roots of the current housing crisis have its beginnings in the Celtic Tiger years when local authorities stopped developing their own housing and left it to the private market.

A big part of the strategy was Part V housing, where developers had to earmark ten per cent of all new developments for social housing.

The second hammer blow was the recession. When the money ran out after 2009, one of the first casualties was capital funding for housing.

For more, read this week’s Connacht Tribune.

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Connacht Tribune

Labour’s awakenings will take time to reap any real reward

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Passing of the baton...Michael D Higgins with his successor Derek Nolan at the Galway West count at Leisureland.

World of Politics with Harry McGee

The film Awakenings was based on the experience of the psychiatrist Oliver Sacks with patients who had contracted a disease called encephalitis lethargica during and shortly after World War I.

Thousands contracted it around the world. How they got it has remained a mystery but it could have been connected to the Spanish Flu outbreak at the time.

It essentially left them in a catatonic state, sleeping, unmoving, like zombies for decades. By the time Sacks came across a group of them in New York, they were all residents of an institution called the Beth Abrams Home for the Incurable.

That did not leave much to the imagination. Some of these people had been essentially sleeping for over 40 years.

He experimented with a drug called L-dopa, which had been used successfully for the treatment of Parkinson’s Disease.

The effect was extraordinary; the drug was like an electric shock that jolted the patients back to life and to sentient existence.

The ‘miracle’ had its drawbacks, however. After a while, it became difficult to control the patients as they became increasingly manic. Ultimately a tough decision was taken to withdraw the drug and the patients relapsed into their catatonic states.

All of that is a bit of a stretched way of saying ‘flash in the pan’, but life sometimes teaches us that success can be very temporary indeed.

There is a long pattern in Irish politics, for example, of a winner in a by-election going on to win a seat in the subsequent general election. However, less than six months after winning a by-election in Wexford, Malcolm Byrne of Fianna Fáil got turfed out in the general election.

Look at it the other way. Sinn Féin were the big losers of the 2019 local elections but turned the ship around completely less than nine months later. The lesson to be learned is success or failure is never a permanent phenomenon in politics.

For more, read this week’s Connacht Tribune.

Connacht Tribune Digital Edition App

Download the Connacht Tribune Digital Edition App to access to Galway’s best-selling newspaper.

Click HERE to download it for iPhone and iPad from Apple’s App Store, or HERE to get the Android Version from Google Play.

Or purchase the Digital Edition for PC, Mac or Laptop from Pagesuite  HERE.

Get the Connacht Tribune Live app
The Connacht Tribune Live app is the home of everything that is happening in Galway City and county. It’s completely FREE and features all the latest news, sport and information on what’s on in your area. Click HERE to download it for iPhone and iPad from Apple’s App Store, or HERE to get the Android Version from Google Play.

 

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Connacht Tribune

Changing political landscape fast becoming Double Dutch

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Big winner...Ivan Bacik after her by-election victory.

World of Politics with Harry McGee

Holland is so used to enduring a perennial political log-jam – where every election just digs you deeper and deeper into a rut – that they’ve actually come up with their own name for it.

It’s called Dutchification – when society has become so urbanised, and globalised, and fragmented, and lacking cohesion, that no party, or parties, can expect to win any more.

The former RTÉ journalist Peter Cluskey wrote a very interesting article last week about this continued electoral limbo they have in Holland, where he’s been based for many years.

And truth be told, the same is happening here; the day of overall majorities is long gone.

We have gone from having two large parties to having three medium sized ones (and with the demise of Fianna Fáil it could even by two medium sized ones, or one large and one medium).

The reality is that it will be difficult for the foreseeable future for any two parties to form a coalition, and it could be difficult for any three parties to do the same.

The old fealties to the three long-established parties have been blown out of the water.

The biggest pool of voters now has no permanent loyalty. They are the floaters.

And there is a growing ‘none of the above’ contingent too, possibly spurred on by the cynicism, empty populism and downright lies, of social media.

They will vote for a party that opposes the government. And once that party they support goes into government, they immediately withdraw their support for it. Short of coming up for an elixir that guarantees everlasting joyous life, these voters will never support a party in government.

I know it sounds cynical but if you talk to enough people around the country – as I always try to do – the person with a deeply cynical disposition and a hate of politicians is no longer a rarity.

Sinn Féin is the growing party at the moment and – from this vantage point – looks like it will be in government for the next spin.

For more, read this week’s Connacht Tribune.

Connacht Tribune Digital Edition App

Download the Connacht Tribune Digital Edition App to access to Galway’s best-selling newspaper.

Click HERE to download it for iPhone and iPad from Apple’s App Store, or HERE to get the Android Version from Google Play.

Or purchase the Digital Edition for PC, Mac or Laptop from Pagesuite  HERE.

Get the Connacht Tribune Live app
The Connacht Tribune Live app is the home of everything that is happening in Galway City and county. It’s completely FREE and features all the latest news, sport and information on what’s on in your area. Click HERE to download it for iPhone and iPad from Apple’s App Store, or HERE to get the Android Version from Google Play.

 

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