Taoiseach pledges to keep lid on Budget spending

The Government will not increase State spending wildly in next month's Budget despite general election pressures, Taoiseach Bertie…

The Government will not increase State spending wildly in next month's Budget despite general election pressures, Taoiseach Bertie Ahern has claimed. Mark Hennessy, Political Correspondent, reports.

Speaking following a successful Fianna Fáil Ardfheis, Mr Ahern said: "We won't do anything zany. We will continue to be well-managed. We will continue to be prudent but we have resources, and we are very glad that we have those."

State pensions will rise next year above the €200-a-week target promised in 2002, he declared, while significant extra money will be given to education, health and infrastructure.

However, Mr Ahern said Minister for Finance Brian Cowen would be careful about committing money to projects and schemes "that may not be sustainable in the long term. We just won't do that," he said.

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Meanwhile, Mr Ahern accused elements of "persistently trying to bury me" during the recent controversy over payments he received in the 1990s from friends and others in Dublin and Manchester.

"I watched a lot of people batting very hard for me - my colleagues did, a lot of people in the media did, a lot of the public did, and a lot of people who rang in to chat programmes did. There was one group out to bury me, very persistently to bury me," he told TV3's The Political Party.

Asked by presenter Ursula Halligan if he meant The Irish Times, Mr Ahern replied: "Well, yeah, there were elements. They tried day-in, day-out, but you just had to get on with it and just had to keep on doing your job and I did it to the best of my ability."

Mr Ahern made only the briefest of references to the controversy during his presidential address to the 5,000 ardfheis delegates on Saturday night, in the course of which he was roundly cheered.

"I became involved in politics because I wanted to make a difference in the life of my own community. And while we would all, I am sure, lead perfect lives if hindsight were foresight, I am proud of my record and grateful for the chance you have given me to serve Ireland," he told delegates.

Asked if he believed that there was "some big, bad enemy out there waiting to get" him, Mr Ahern replied: "Yes, I do. I do. This wasn't just off the back of a truck. This was a sinister, calculated set-up, there's no doubt about that."

Mr Cowen, the man tipped to replace Mr Ahern in time, described the Taoiseach as "astute and brilliant", "noble" and as the "consummate politician" of his generation.

Introducing Mr Ahern, Mr Cowen said his achievements over 10 years had been "astonishing".

Leading Ministers repeatedly attacked Fine Gael but, most particularly, the Labour Party, warning that taxes would rise if both parties came to power next year.