The Better Europe Alliance response to the European Commission’s 2015 Country Specific Recommendations (CSRs) for Ireland. These recommendations were issued by the European Commission in May and with a final version endorsed by the Heads of State (European Council) as part of the European Semester process. This process includes the Europe 2020 Strategy so contains economic, social and environmental commitments. The aim of the CSRs is to focus Governments’ attention on a number of key policy priorities.
While the Better Europe Alliance acknowledges some positive proposals on low work intensity households and childcare it also highlights that economic priorities focused on addressing budget deficits and debt could undermine social and environmental goals. There are also missed opportunities to address issues related to housing and homelessness and the continued omission of a CSR on climate change. The Better Europe Alliance of Irish Civil Society Organisations for a Social and Sustainable Europe, involves a range of social and equality NGOs, the Environmental Pillar and the SIPTU trade union. Full submission is available here.
In December 2014 the Better Europe Alliance produced a publication with a range of articles by members and others on different areas related to Europe 2020 and the European Semester. This publication explains the whole process and why it is very relevant for those interested in an approach which will bring about balanced economic, social and environmental progress. This publication is available here.
The Country Specific Recommendations (as endorsed by the Heads of State) are:
1. Ensure a durable correction of the excessive deficit in 2015. Achieve a fiscal adjustment of 0,6 % of GDP towards the medium-term budgetary objective in 2016. Use windfall gains from better-than-expected economic and financial conditions to accelerate the deficit reduction and debt reduction. Limit the existing discretionary powers to change expenditure ceilings beyond specific and predefined contingencies. Broaden the tax base and review tax expenditures, including on value-added taxes.
2. Take measures to increase the cost-effectiveness of the healthcare system, including by reducing spending on patented medicines and gradually implementing adequate prescription practices. Roll out activity-based funding throughout the public hospital system.
3. Take steps to increase the work-intensity of households and to address the poverty risk of children by tapering the withdrawal of benefits and supplementary payments upon return to employment and through better access to affordable full-time childcare.
4. Finalise durable restructuring solutions for a vast majority of mortgages in arrears by end-2015 and strengthen the monitoring arrangements by the Central Bank of Ireland. Ensure that restructuring solutions for loans to distressed SMEs and residual commercial real-estate loans are sustainable by further assessing banks’ performance against own targets. Take the necessary steps to ensure that a central credit registry is operational by 2016.