THE OUTCOME of last week’s European summit had been misrepresented, Tánaiste Eamon Gilmore has told the Dáil.

He said Ireland had signed up to “a political statement” emerging from the summit and rejected assertions that it was an austerity agreement. “Deputies should read it,” he added.

“It states that it will rest on an enhanced governance to foster fiscal discipline and deeper integration in the internal market as well as stronger growth, enhanced competitiveness and social cohesion.”

Mr Gilmore said there would be an additional €500 billion for the EFSF and €200 billion for the IMF, adding that one TD had claimed it was all about a “bloody currency”.

“Let me the tell the House about a ‘blood currency’. People are worried about the value of the euro in their pocket,” said Mr Gilmore.

During sharp exchanges in a debate on the outcome of the summit, the Tánaiste insisted Ireland had to deal with the problem in the euro zone if it wanted to attract and secure investment in the State and in job creation. Another objective was to get the best deal for Ireland, he added.

Fianna Fáil leader Micheál Martin said people would be repelled by the spectacle of assorted euro-haters dancing with joy at the idea that the European Union was under threat.

“This is not just a British phenomenon; throughout the union, there are reports of those who have fought it at every turn claiming that they are being proven right,” he added.

However, one of the greatest failings of Europe’s leaders was their encouragement of the idea that to be pro-European one had to support their agenda or be seen to be eurosceptic.

“We want Europe to be strong and successful,” he added. “That is why we believe the agreement reached at this summit to be both foolish and damaging.”

Taoiseach Enda Kenny said that what existed as of now was a political agreement. “Given the nature of what is involved, there are some very detailed technical and legal considerations that will need to be teased out carefully, or analysed by experts, before any legal text is adopted,” Mr Kenny added. “This is an important process in which Ireland will be fully and actively involved.”

Sinn Féin leader Gerry Adams said the agreement was not a fiscal compact.

“It is an austerity compact. It seeks to impose right-wing austerity policies in perpetuity.”

Mr Adams said the agreement had not been imposed on Mr Kenny and he had not been coerced or cajoled into it. “It reflects his policies and political stance as leader of the Fine Gael party and vice-president of the EPP,” he said. “It also reflects the position of the Labour Party.”

Shane Ross (Ind) said the people who were pulling the strings in Europe wanted Ireland to lose its corporation tax rate. “President Sarkozy and Chancellor Merkel made it plain yet again last week that the 12.5 per cent rate was in their sights,” he added.

John Halligan (Ind) said the vast majority of Irish people saw the EU deal as a transfer of a significant amount of power from the House to the European Commission, the European Council and the European Court of Justice.