Ireland has a new Chief Secretary

Posted on Tuesday, November 09, 2010 at 11:47 AM

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The position of Chief Secretary for Ireland was abolished following the establishment of the Irish Free State in 1922. From that moment Ireland has had varying degrees of independence, but it was basically independent. Until now.

There can be no more argument on the matter. Many people have claimed with each new European Union treaty that Ireland was no longer an independent nation, that we were just a state in a vast European federal union. Others argued otherwise and it is, or was, a complex matter.

However, this week all pretense of independence evaporated as the Irish people got to meet our new Chief Secretary, Olli Rehn {photo}. Unlike the last Chief Secretary, Canadian Hamar Greenwood, Rehn is not a member of the British Government, but is the European Union's Commissioner for Economic and Monetary Affairs. However, the roles are similar enough because the Chief Secretary's role was to see that British policy was enforced in Ireland as Mr. Rehn's is to see that the EU's policy is followed by this state.

Rehn dropped in for a visit this week. With the budget due in only a few weeks, Rehn's presence is a signal to all in the parliament that the real power here demands that Ireland toe the line on deficits, spending and taxation. Rehn reiterated his view that Ireland can no longer be a "low tax country" but must move towards being a "normal tax country," which means overall taxation rates should be similar to what applies in other EU countries.

Rehn helpfully offered the support of the European Commission to "Ireland and its citizens as they faced into the challenges ahead," but he offered nothing else other than "thou shalt comply" and get the deficit under 3% by 2014.

This is the price of being the good Europeans, the English-speaking country that was enthusiastic about the European project. We adopted the euro, unlike the bad Europeans across the Irish Sea. We opened our borders to the work‑hungry Latvians and Poles, unlike the Dutch, French and others. We showered love on all that was European, blindly ignoring that the powers that be were eying us coldly the whole time, waiting for an opportunity to punish us for our foibles and weaknesses.

For a while we thought we were rich, but it was a mirage. No, it was a trip, like we were on LSD. We were the debt addicts and we thought our wealth was real, but it was illusory.

Now it's not just cold turkey for us, but punishment. The EU is punishing us for our addiction, but the pushers, the German and French (& others') banks and investment funds who threw money at our banks and property developers, who fed our addiction, are not only getting away with it, but are being protected by the same people who are now dictating how Ireland is to run its affairs.

So we're stuck with stern-faced Olli, accepting his lectures like the bad children the EU always knew we were and, it seems, people here are taking it. The only question is how much longer before the people decide to send Olli to join Hamar Greenwood.

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Towngate | Nov 11, 2010, 09:08 PM EST

It's a clear indication of how far Ireland has come when the Presidentess- who comes from a foreign country, lives in the Vice-Regal Lodge - the bastion of British power in Phoenixer Park!

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bogsidebunny | Nov 11, 2010, 06:29 AM EST

Kudos GeorgeDillon, Great (and truthful) post!

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killowen | Nov 10, 2010, 02:43 PM EST

a people like this are incapable of being responsible custodians of a land. The Brits are inching in - inch by inch - row by row. Queenie next year what a party. Rehn's presence is a signal to all in the parliament that the real power here demands that Ireland toe the line on deficits, spending and taxation. Rehn reiterated his view that Ireland can no longer be a "low tax country" but must move towards being a "normal tax country," ...... For a while we thought we were rich, but it was a mirage. No, it was a trip, like we were on LSD. We were the debt addicts and we thought our wealth was real, but it was illusory

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TheYank | Nov 10, 2010, 05:33 AM EST

Well, the old Chief Secretary's residence is in the Phoenix Park, but it's currently inhabited by Dan Rooney.

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TheYank | Nov 10, 2010, 05:22 AM EST

seamusmoore,

I agree to an extent. However, by 1999 the interest rates were already too low thanks to the fact that the markets had built in our joining the euro and the Irish Central Bank's decision to move our rates towards German rates, where they would have to be from the end of 2000 once the euro was a reality.

But the overall thrust of your comment is accurate. Between 2002 and 2006 our economy became increasingly artificial and from the end of '06 onwards, those who knew we had a house of cards built on excessive debt and property investments hid the truth from us, but made decisions that we will now have to pay for for decades.

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seamusmoore | Nov 10, 2010, 03:38 AM EST

Good article on Ireland now having to submit to the EU wishes as a result of embracing the EU, particularly the euro. There is,however, a mistaken notion that the whole Celtic Tiger was an illusion and that is not so. The first half (1994-2000) was very real because of the technology boom which meant jobs, rising incomes and, thus, rising real estate prices. When the tech bubble in the US burst, due to 5 years of IT spending compressed into one (1999)because of the Y2K fear, Ireland faced an economic downturn. The adoption of the euro and the consequent surrender of the Central bank's ability to control interest rates set the stage for the real estate bubble of 2001-2007. The Irish government (i.e., Financial Regulator)contributed to this bubble by permitting 110% mortgages beginning in 2005. Ireland is now indeed paying for its past sins.

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GeorgeDillon | Nov 10, 2010, 02:51 AM EST

Good Article, Yank. Maybe they should kick McAleese out of her Palace in the Park and set up living quarters there for the Chief Secretary. As regards Mass Immigration by Poles, latvians etc. I am amazed (well, no, becuase I know they're fools) that the Irish government does not remind the EU of the many hundreds indeed thousands of millions that Ireland has spent on education, housing, health care, translation etc. for these people. And throw in the huge remittances that these people have extracted out of the Irish economy and sent out of the country. Any smart Irish government (oxymoron?) would be reminding the EU of what Ireland has contributed. Poland and those Eastern countries should be especially grateful, yet the Irish have never heard a word of thanks from them.

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