# The National Forum's plans for the economy



## Brendan Burgess (5 Dec 2010)

I heard Marc Coleman on the Front Line saying that he had set up this think tank. [broken link removed]

I haven't had a chance to study it  yet, but here is a summary of what they are proposing on the economy.  

The reform of the political system is probably the most important. For someone like myself who does not support any particular party, I want an end to the current system whereby the main opposition parties disagree with all government proposals just for the sake of disagreement.  


*POINT 1: A CREDIBLE BUDGETARY PLAN*


2011: 2,750 million by implementing the McCarthy measures (see Annex I.B )
2011: 620 million by benchmarking public pay over €35.5k to EU norms (see Annex I.D)
2011: 1,500 million – without net rises in taxation – from tax buoyancy from reforms (see Annex II.B)
2011: 950 million from University fees, means testing and reform of welfare
2011: 380 million from cuts in public pension incomes over €35k p.a.    (see Annex I.E)
2011: Offset by 325 million on extra spending on areas of social need in 2011
2012: 4,500 million from haircuts to senior debt holders of government owned banks (see Annex I.C)
2012: 350 million in tax buoyancy from tax reforms (see Annex II.B)
2012: …Offset by 91 million on extra spending:
2013: 1,600 million from privatisation of semi state companies (see Annex I.F)
2013: 500 million from local authority taxes after & as corollary of savings from reforms (see Point 2)
 *Point 2 REFORM OF POLITICS*


Multi seat constituencies must be replaced by single seat constituencies, to end endless infighting and clientelism
The single transferrable voting system must be replaced by a List  system of Proportional representation where voters can choose from a  national list of candidates selected to provide a diverse range of  experience, skills and abilities.
To ensure effective local representation – and make local government  more efficient and effective -  local authorities must be reduced in  number but increased in size and power.
Women must be brought into politics not by quotas but on merit by  incentivising parties to put women on candidate lists for local and  national elections.
The Senate must be strengthened and subjected to universal franchise.
TDs and Ministers must be subject to fixed terms.
Political funding must be drastically reformed to end the current bias towards existing political parties
 *Point 3   REFORM OF THE TAX SYSTEM*


Net increases in the tax burden must be avoided
Income tax bands and credits must be rebalanced to ensure a fair  contribution across the income spectrum and to protect taxpayers against  future stealth taxation
Stamp duty must be abolished to restore a sustainable normality to the housing and property market
Tax individualisation must be phased out to end discrimination against women
Tax reliefs of ordinary families must be given constitutional protection
The introduction of Tolls on roads – for which taxpayers have already paid through the nose – must be strenuously opposed
Taxpayer subsidy of third level fees and welfare entitlements for the well off must come to an end
Only once local authorities have been drasticially reformed – see point 6 – modest local service taxes should be introduced
 *Point 4 REFORMS FOR FULL EMPLOYMENT*


In tandem with a credible and well implemented privatisation  programme, reform of the private sector must strengthen competition  throughout the economy
FAS must be reformed to channel the unemployed quickly and  efficiently into suitable job vacancies as they arise. Welfare  entitlements must then be made more clearly dependent on inability to  find suitable work
A sensible debate must take place on how Ireland can balance its  traditional welcome to outsiders with its duty to provide full  employment to its citizens
 *Point 5 URGENT ACTION TO HELP THOSE LEFT BEHIND IN THE CRISIS*


A Task Force and accompanying measures to help families affected by severe debt or mortgage arrears relating to the family home
A Task Force to assist those at risk of long-term unemployment
A Task Force to assist those at risk of youth poverty
A Task Force to assist emigrants in returning home, and also to  fully exploit the diaspora as a helpful resource for them while they are  away
 *Point 6 STABILISATION OF THE BANKING AND PROPERTY SECTOR*


Proper national planning of the pricing and use of land, of urban and spatial planning and of our housing market
Incentives to shift house buyers to fixed rate mortgages
Monitoring of credit flow to small business and a comprehensive state policy on bank lending
Sensible guidelines on home loans that are neither excessively loose nor tight
 *Point 7 BUILDING AN INDIGENOUS SMART ECONOMY*


Overhual the maths and science curriculum
Improved targetting of Research and Development spending
Clear prioritisation of resources towards primary school teaching and facilities
A national system of innovation and innovation business parks
Extension and improvement of taxation incentives for applied research and development for the crucial traded services sector.


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## Purple (5 Dec 2010)

I like most of that and would certainly vote for a party that proposed it as a reform programme.

I just read their website and I find myself agreeing with what they are saying while at the same time being slightly frightened by it.


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## jpd (5 Dec 2010)

2013 1,600 million from privatisation of semi state companies

Isn't this only a once off saving/income? So a further 1.6 bn to be found in future years..

Apart from that, all very laudable and inspirational - now if only we could live on inspiration!

We need more down to earth ideas with real budgeting figures behind them.


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## Purple (5 Dec 2010)

jpd said:


> 2013 1,600 million from privatisation of semi state companies
> 
> Isn't this only a once off saving/income? So a further 1.6 bn to be found in future years..
> 
> ...



I agree with Brendan, and I have made the point several times; 'till we change the our electoral system we will solve nothing else.


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## Brendan Burgess (5 Dec 2010)

> I just read their website and I find myself agreeing with what they are  saying while at the same time being slightly frightened by it.



That's my gut feeling about it as well. Maybe what needs to be done is actually frightening. I suppose any change is frightening.


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## Teatime (5 Dec 2010)

Purple said:


> I agree with Brendan, and I have made the point several times; 'till we change the our electoral system we will solve nothing else.



How can this be done? Can the IMF do it? Or do we have to hope that we elect enough TDs (within existing electoral system) who support large scale political reform and hope that those TDs push forward that political reform without getting too power hungry - I would imagine that a referendum will be needed to achieve it too.


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