Irish economy is now in a virtuous cycle of growth – Hayes

Speaking today (Friday), Fine Gael MEP for Dublin, Brian Hayes said: “The latest CSO figures are a clear indication that the Irish economy has now entered a new phase of development.  The economic recovery which began in 2013 accelerated in 2014. The economy grew by 5.2% in 2014 and the recovery has further accelerated in the first quarter of 2015. 

“Year on year to the end of the first quarter of 2015 the economy grew by 6.5%. The CSO figures indicate that the recovery is broad based and includes all sectors of the economy. It is now reasonable to anticipate a growth rate of 5.5% or even higher for 2015. For the second year in succession Ireland will have the fastest growing economy in the EU. 

“The Irish economy is now in a virtuous cycle of growth. With the right mix of policies Ireland can have a decade of strong sustainable growth.  If we can average close to 5% growth for a decade then the economy will grow by 50% over that period. High levels of growth will generate increased levels of public and private investment. 

“Improved government finances will allow for increased spending on public services and for a steady reduction in the current heavy burden of taxation. A growing and more productive economy will create more jobs and also bring wage growth. Disposable income levels will steadily improve as the economy continues to grow.  

“A strongly growing economy will also create the resources to allow us meet the increasing demands on the health system arising from an ageing population. We can also start to put some reserves aside to provide for future higher pension costs. 

“A stable government with coherent policies was central to the economic recovery.  Political stability is important for confidence and good for investment. Hard work, persistence and determination brought this country to a better place. Staying the course will deliver further success in the years ahead.”