Irish bail-out bill set to pass

The Green Party has pulled out of the government

A crucial finance bill is going to the vote in the Irish Republic, with doubts over the minority government’s ability to muster a majority.

Three independent members of the Dail (parliament) have not said they will back the bill, a key commitment under Ireland’s international bail-out.

If the bill does not pass, the government will fall, the Irish state broadcaster RTE reports.

The ruling Fianna Fail party is due to elect a new leader after the vote.

The finance bill is the final legislative commitment that the Irish Republic must pass as part of its 85bn euro ($113bn; £72bn) EU/IMF bail-out package.

It is the last piece of legislation in the country’s 2011 austerity budget.

Tax measures in the finance bill are already being implemented but Dublin has a deadline of the end of March to pass the budget in full.

Any delay would worry investors, already sceptical that Ireland can meet its fiscal and debt goals due to weak economic growth, Reuters news agency reports.

Although the Greens have quit the government, they have indicated they will back the bill.

According to the Irish Times newspaper, Prime Minister Brian Cowen can count on the support of 80 Dail members (TDs) while the opposition can muster 79.

That leaves the three independents, who usually back Mr Cowen’s government, in a decisive position.

One of them, Mattie McGrath, told RTE he was concerned about measures in the bill dealing with property relief, bankers’ bonuses and higher tax for the self-employed.

On Tuesday, TD Michael Lowry said he was likely to vote against the finance bill if four outstanding issues of concern to him were not addressed.

He had, he said, no “obligation or responsibility” to support a dysfunctional Government.

A third TD, Jackie Healy-Rae, said his position on the bill was the same as that of Mr Lowry.

The four candidates vying to succeed Brian Cowen – who remains prime minister – are Micheal Martin, Brian Lenihan, Eamon O’Cuiv and Mary Hanafin.

Mr Cowen announced he was stepping down as Fianna Fail leader on Saturday, after a week of political turmoil which saw him lose his coalition partner the Green Party.

With the next general election now being brought forward to late February, opinion polls suggest his party will be badly hit.

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