Ard Fheis

Mitchell McLaughlin: Building A Prosperous And Equal Economy - Motion 205

Published: 1 March, 2008

Sinn Féin has long held the view that to build a sustainable and prosperous economy it needs to be in an all Ireland context. I welcome the fact that more and more political and economic opinion throughout Ireland is accepting the validity of that.

The 6 county economy has been retarded by its dependence on British fiscal policy. It has no economic independence and has been cut off from the recent expansion which has characterised the rest of Ireland.

This motion is a statement of intent and a reaffirmation of basic principles for Sinn Fein. It is all the more important as across the island we face into the most difficult economic conditions for over 20 years.

Too often in the past when the economic outlook is bleak it is the ordinary families, the mortgage holders, the low wage workers who suffer most. Passing this motion makes clear Sinn Fein's commitment to policies that can lead to better government, better spending of the taxpayers money and better protection for the most vulnerable in the economy.

Across Ireland many families are working longer hours than ever before but on low wages, with no pensions and creeping stealth taxation as they face higher bills for mortgages, health insurance, energy and public services.

We must protect the workers wage packet, one way is by delivering real tax reform an issue Sinn Fein put on the wider political agenda when Caoimhghin O'Caolain entered Leinster House in 1997. In this motion we are calling for a just and fair system across the island, with no loop holes for the rich and real enforcement of tax law for all citizens.

Only this week the 26-County Revenue Commissioner reported the over 900 million Euro has now been collected in tax from wealthy citizens who had illegal offshore bank accounts. Sinn Fein believes that much more needs to be done to ensure fair and effective enforcement of the tax code.

At the same time there is the issue of how well government is spending our money and we have made this a priority in the assembly and in Leinster House that funds must be spent fairly, effectively and efficiently.
In the 26 Counties we face billions wasted in overruns across the Port Tunnel, the Luas, the M50 and in the Health Service. More efficient spending should mean more investment in the communities that desperately need schools, special teachers, affordable homes and many other services.

It also means more funding for investing in economic development.

The key problem facing the North is that economic policy such as tax and public expenditure are dictated in Whitehall. Essentially, partition and union with Britain is economically disastrous for the North. The admission by former British Secretary of State,Peter Hain, that the 6 county economy is unsustainable would indicate that British government also accepts that partition retards the North's economy.

Competition between north and south and neglect of all Ireland opportunities is economic madness. The most efficient response to the infrastructure deficit outside of Dublin and Belfast is to deal with it on an all island basis. What better way to ensure efficiency, avoid duplication and make the most of finite resources than to engage in island wide strategies?

Infrastructure should be developed on an integrated basis. Roads and transport, energy and telecommunications, agriculture and the environment for example, all need a clear island-wide perspective.

Research and development, also needs an all Ireland approach drawing on the strengths and resources of institutions and businesses North and South. Already there are some excellent examples of what can be done but they are lacking an overall comprehensive approach.

We need to work towards harmonising income and corporation taxes across Ireland. Incentives for investment should be complementary and used to encourage enterprises to take advantage of the availability of labour mobility throughout the island to create a single Irish labour market.

Invest NI and IDA Ireland should amalgamate. In the short term, rather than being competitors, they should work together on harmonising investment regimes, sectoral development strategies and the geographical share out of inward investment in a regionally balanced manner.

Equality

While building an island economy, it is our view that equality and social benefits must be central to all Ireland economic development strategy. While the 'Celtic Tiger' has created a successful economy, it has also failed to redress the glaring inequalities and growing poverty and it has failed to ensure the provision of basic public services on an equitable basis. The benefits of the all Ireland economy should not be confined to entrepreneurs, speculators and shareholders. It needs to be shared by everyone - in Donegal, Cork and Kerry, in Antrim, Fermanagh and Derry - and it must put people, not profits, at its core.