Worse than even George Lee thought...

George has just said on RTE news that in order to meet current spending projections, the Government would be forced to borrow **24% of its budget ** for next year (Can that be correct? Somebody tell me Im picking this up wrongly). This is based on further amended economic projections published by the Government this evening. George said that we are now facing three years of negative economic “growth” (why isnt it simply described as economic decay?). I think he also said that this has never happened before, certainly in Ireland, but I think he may have said anywhere :open_mouth:

Story here…

rte.ie/business/2009/0109/budget.html

We seem to be even more fubarred than anyone thought.

This is NOT a pretty read finance.gov.ie/viewdoc.asp?DocID=5622

We are well fubar’ed XX and for a long, long time

What George Lee is getting is that of the now anticipated €20billion deficit about €12billion of this will be for current, i.e. day to day spending (public sector wages, social welfare payments etc), which will amount to almost a quarter of all current spending.

Good God. Its going to be a long, dreary few years.

It’s bleedin’ obvious… If extrapolated spend projection is X and income is Y - €10 billion than there are significant problems.

Tax base needs to be increased. I.E.> Corporation tax. We need a windfall tax to plug the losses for this next year alone, give it to Dell with both barrels and then we can get fighting fit over the course of 12 mths.

The problem with this state is that we don’t even have a decent military for a good old coup d’etat…

Could the state resort to “freezing” personal savings and replacing them with bonds?

What about nationalising private pensions?

I have no doubt that FF will steal whatever is left to plug the hole.

First off, good luck with my savings because they aren’t in Irish banks. Secondly, is there anything left in private pensions?!?

EDIT: I tell a lie. I have €100 in Bank of Ireland. :nin

Ah the Oul Argentinian option. Perhaps Menem is available to head up an 'oul quango to investigate…

In this senario your only hope is that the European courts would uphold your rights to private property if our own were too spineless.

Sure we have billions to give anglo irish, wont we be handing them a few billion at the end of the month?

like all boom busts the boom is longer and bigger and the bust is longer and worse than anyone estimates…
economically we are fucked alright but at least the lads gave themselves a pat on the back for their firm and immediate action…

Should such a turn of events take place, would the likes of Northern Rock (Ireland) and Rabo Direct be within the reach of the government i.e. is there a difference between non-Irish owned/regulated banks and outright offshore bank accounts?

The government has dropped the ball again. They cannot face making the deep cuts necessary so they have kicked the ball 5 years down the road. This ‘strategy’ will not convince the markets. We will have a debt to GNP ratio of somewhere north of 100% by that time, if there is anyone actually prepared to lend to us!

Common market. They can’t touch 'em… Without donning the berets and running the Red Flag up the GPO… Happy Days if so!

No I don’t think so.
Any change to communism would just be a change of mannerism rather than a change of culutre.
As it is we need somethings more fundamental, more basic and more pure than just Red Flag ideology to sort this nation out.

At it’s heart it can be stated in one word:

Responsibility.

oh crap.

That is communism. Don’t get bogged down in idealism, I made a flippant comment… Listen to me when I have an AK-47 jabbed in your back… :nin

I believe they would be within reach of the government. Whilst NR and Rabo may be regulated by the UK and Dutch financial regulators respectivly, their operations in Ireland are still governed by the laws of the Republic of Ireland.

If you are genuinly worried about this type of scenario (or Ireland leaving the Euro) then get your money out any bank account which is operated in Ireland. E.g. open up a bank account with a bank in mainland Europe, or buy German bonds or something like that which preserves your Euros. You won’t be hit for additional taxes, but you may be obliged to make a declaration to revenue.

They’d effectively be ending the common market… Free movement of goods, services, capital, etc…

They can’t do it.

Actually I think that they can do it.
But they won’t do it.
I’m being pedantic here but it’s important to get this right.
Especially with Lisbon round 2 in the offing.

And right now it looks like the rules are being set.
FG and going to be holding the cue on Lisbon while FF own the pool table. Labour is the “impartial” referee. It looks like we’re all snookered if this damn thing goes through.
I’ll be working hard against this.
I’ll use any method that works to push my cause of anti Lisbon.