Labour leader Eamon Gilmore has today told a meeting of his party that the economic crisis provided an opportunity to rebuild the State based on sustainable prosperity rather than boom-and-bust economics.
Addressing the opening session of a special meeting of the party in Waterford, Mr Gilmore also repeated his support for a temporary nationalisation of the country's main banks and welcomed Siptu's move to support a Yes vote in the upcoming Lisbon referendum.
Noting that the recession had put issues on the agenda "that would have been almost unthinkable a mere 12 months ago," Mr Gilmore said increasing numbers of people "are now looking to Labour to lead Ireland out of its distress".
"Our increased opinion poll ratings are expressions of hope - no more than that - and we must respond. Labour, once required by history to stand aside, is now called on to step forward.
"Opinion polls are consistently putting support for Labour at twice what it was in the last general election. So consistently, in fact, that it no longer seems to be news when Labour pushes Fianna Fáil into third place in an opinion poll," he said. "Fianna Fáil is incapable of leading Ireland out of the recession, because they are hopelessly compromised by the mistakes which they made in getting us into this mess in the first place."
In dealing with the banking crisis, Nama, and Ireland’s relationship with Europe, the Labour leader said there was now "the opportunity to build a New Republic, rooted in quality and fairness".
"To make our society more equal, and more fair, and so more at ease with itself. To reform our public services so that all our people have access to health, education and economic opportunity according to their needs and their abilities, not their wealth or pedigree. To strengthen our democracy through the political reform for which
Labour has a proud track record. To take our place among the nations of the earth, by restoring our relationship with Europe, and leading on issues such as climate change, peace and development aid," Mr Gilmore told his audience.
Referring to Nama, Mr Gilmore reiterated Labour's opposition "because we want to resolve the banking crisis, but at the least cost, and least risk, to the taxpayer".
He said State ownership of the two biggest banks would do away with the incentive to over-value enormous loans for assets that may never realise their original value.
"It also gives the State the power to get as accurate a picture as possible of the health of the loan books in the banks covered by the bank guarantee.
"Temporary nationalisation is not something to be undertaken lightly, but I believe that it would offer the best security for the taxpayer, and hold out the potential for a return to the exchequer when the banks are eventually sold on the open market."
Mr Gilmore also argued that December’s budget had to take into account the need to create jobs, and the need to protect people. "Families and businesses are already
under intense strain. So though we cannot escape the pressure of our deficit, nor should we get hung up on the target of reducing the deficit to 3 per cent by 2013."
On the subject of the October 2nd referendum on Lisbon, he said Labour was seeking a European Union that offers opportunities for new jobs and new markets, "but which is underpinned by strong workers’ rights, and robust social protection from Galway to Gdansk. The Lisbon Treaty advances that social agenda."
"I welcome the decision by Siptu to campaign for a Yes vote in the referendum. They agree that, on balance, the Lisbon Treaty is a platform on which to build a stronger social Europe, and to further the advances already made since Ireland’s membership in 1973."
He also urged the party to be on an election footing. "We are ready for a general election, whenever it is called. Our staff have made contingency plans for a snap election. Let me put it this way: the plan is that if an election is called on a Wednesday, you should have your posters by the weekend!"
