Local TDs react to IBRC debt deal

IBRC (formally Anglo Irish Bank) went into liquidation as part of the promissory notes deal Photo courtesy of informatique via flickr

Labour TD Michael Conaghan has said that last week’s promissory notes debt deal “is another huge step on the road to rebuilding our broken economy”.

He said: “[The deal] puts our debts on a more sustainable footing. It will help us grow our economy and create jobs.”

Mr Conaghan responded to criticism from People Before Profit, saying that the party’s “warped view of economics” will not allow them to accept the promissory note deal.

He said: “Unfortunately, [the Government’s] success is too difficult for People Before Profit to swallow. For their own narrow political reasons, they have been hoping that the Government would fail to get a better deal on our banking debt. Now that a better deal has been secured, their warped view of economics will not allow them to accept the Government’s success.”

Joan Collins TD of the People Before Profit party called the Government’s deal a “three card trick” and has accused the Government of “stroke politics at its worst”.

In a statement, Ms Collins said that “nobody should be fooled by the Government’s spin on the deal negotiated with the ECB…a €64 billion bank bailout has been placed squarely on the shoulders of the Irish people, and in particular on those who can least afford it.”

Ms Collins claimed that the Labour party has “been part of a huge transfer of wealth from the poorest to the richest”.

Reaction to last week’s debt deal was generally mixed on the Southside.

Mary Mitchell O’ Connor of Fine Gael said the deal will improve Ireland’s long-term economic sustainability and “our prospects for growth and job creation”.

Richard Boyd Barrett backed his People Before Profit colleagues, describing the deal as “another Government attempt to hoodwink the people.”

Legislation that will liquidate IBRC (formerly Anglo Irish Bank) and transfer its assets to NAMA was signed off last week, and the Government will now seek to avoid the immediate €3.06 billion promissory note repayment due next month.

The deal means that the promissory notes debt becomes sovereign debt as Ireland looks to pay it back over a longer period of time.