Sinn Fein warn treaty will impose €6 billion in cuts ahead of public meeting

Sinn Féin say they will use Monday's public meeting in Cavan to "highlight the dangers of a Yes vote" and through advocating a No vote, will "offer realistic alternatives to the permanent austerity measures cited in the treaty". However Deputy Joe O'Reilly (FG) has insisted that a No vote will jeopardise funding for public services, while Deputy Brendan Smith (FF) has accused Sinn Fein of "deliberately misleading" voters. Sinn Fein's public meeting on the upcoming referendum takes place in the Farnham Arms Hotel on Monday, May 14. Speakers on the night include Senator Kathryn Reilly and local councillors. This will be followed by a question and answer session. Speaking in advance of the meeting, Senator Reilly said: "It is quite clear austerity doesn't work. We have had six austerity budgets in the last four years and the deficit has grown, not reduced. "Despite the government's calculated scare tactics, citizens are increasingly realising that a No vote in the referendum does not mean this state is locked out of the European Stability Mechanism or that we will not have access to funding, should it be needed. "This is nothing more than an empty threat being used to get people to support a treaty that judged on its own merits would not secure popular support. "The government parties and Fianna Fáil are trying to distract citizens away from the real issues in this campaign which have to do with austerity policies and their impact and writing austerity into the constitution. "If passed, this Treaty will also impose an additional €6 billion in cuts and taxes on households and citizens struggling to survive at this time. That is an additional €6billion to the €8billion of cuts currently being dealt under the current Troika deal. "The choice in the referendum is simple. It is between austerity policies that have failed and are crippling families across the state, or economic stimulus, growth and job creation. "I am encouraging people to come out to this public meeting and to listen to the realities of what a Yes vote will mean and why a No vote is not detrimental to Ireland's economic future." Responding to the comments made by Senator Reilly, Deputy Joe O'Reilly (FG) told The Anglo-Celt: "It is interesting that Sinn Fein should raise the question of austerity as a No vote could leave us facing severe austerity measures. This would call into question our ability to fund the running of our state including vital public services such as health and education. Our public sector wage bill, our social welfare and capital spending projects could all be at risk. "A No vote will mean we will not have access to the E.S.M. This is beyond doubt. "We are in the EU/IMF programme until 2015, where we will be working towards bringing the budget deficit down to 3% of GDP anyway. The Government's plan is to go back to the markets next year in 2013. "Where the 1/20th rule for reducing our debt towards 60% is concerned, the rules are that Ireland will not be fully subject to this rule until 2019, given that we have a three year grace period after exiting the programme. "Where the structural deficit target of 0.5% is concerned, there is flexibility built into the Treaty. The Treaty states that it is country-specific, that the details and time frame would be agreed with the Commission, and that national governments will be allowed to measure the structural deficit. There is also a provision for 'exceptional circumstances'." Deputy O'Reilly challenged Senator Kathryn Reilly to outline how she arrives at the €6billion figure and concluded "For jobs and the capacity to borrow at a reasonable interest rate, we must vote Yes." Deputy Brendan Smith (FF) accused Sinn Féin of "deliberately misleading voters" on the impact of a No vote for Ireland saying: "Sinn Féin continues to falsely claim that if we vote No, Ireland will still have access to funding from Europe through the European Stability Mechanism should we need it. This is simply untrue. "The present programme of funding from Europe ends at the end of 2013. After that we will need more money to fund our hospitals, gardaí, infrastructure, transport and social welfare. The only way we can guarantee additional funding from Europe through the ESM is by voting Yes. In fact, it is less likely that we will even need funding from Europe if we vote Yes. The markets are much more likely to have confidence in Ireland's economic future and to lend to us at cheaper rates, if they know that we have the backing of Europe and the ESM should we need it. "By voting Yes to this Treaty, we will be strengthening the controls to prevent large government deficits and rising debts. By voting Yes we are helping to restore confidence in Ireland's future and the future of the Eurozone. By voting Yes we are saying to multinational companies that Ireland is a safe and attractive place to do business. By voting Yes, we will be providing Ireland with the financial backing to go back to the markets to fund our vital public services. Sinn Féin and the No side have been unable to explain where we will get the money we will need to run the country if the Treaty is rejected. "The Stability Treaty is only one part of the larger solution, but it is a necessary part. Ireland needs to push for further changes including increased investment in job creation by the EU, pro-growth reforms and measures to stop banks behaving recklessly."