Chutzpah from on high… First we give them the money, now we get the lecture. Chairman of Anglo Irish Bank argues against universal child benefit, State pensions and Medical Cards for the over 70s.

Let me write this carefully. Actually I’m amazed to be writing it at all, I’m fairly busy at the moment and the opportunity to write more than one post a day is limited. But then I read something that catches my eye and/or I want to get my head around and the fingers start tapping. Anyhow…the Chairman of the Anglo Irish Bank, an institution “close” to the crises of the last week in Irish finance is reported in the Irish Times as having…

….called on the Government to reduce corporation tax and tackle the “sacred cow” of universal child benefit, State pensions and medical cards for the over 70s.

Mr Fitzpartick said the forthcoming budget needed to be bold and “brave” and not revert to a tough budget.

He continues:

Tough budgets were part of the failed economic policies of the 1980s which taxed employment out of existence, he said, adding “let’s not go back”.

Well, we could all echo that sentiment.

Speaking at the annual La Touche Legacy seminar in Co Wicklow at the weekend, Mr Fitzpatrick said there had been talk in political circles of a tough budget. A better option was a clear and honest plan on what measures were needed to stimulate growth.

Which are?

He said a policy to cut corporation tax to 10 per cent if announced now, would mean that people who are already here wouldn’t go, while it would encourage other foreign firms to set up here.

Really? And then what happens when the next crisis of capitalism occurs, do we cut down to nothing, or explain if he can, why it is that other states with higher levels of corporation tax (which let’s be clear is a financial gift by national states to private institutions) manage to get by.

But unpleasant as all that is it is when he proceeds to shift towards the following areas of social policy that his argument demonstrates the ‘take…take…take’ attitude of some.

He said availability of child benefit, the State pension and the medical card for over 70s should be assessed on a “wealth basis”.

This from a man whose chosen profession perhaps probably has a continued existence due to the largesse (or foolishness) of the Irish state and behind that the unconfirmed acquiescence of the Irish taxpayer (unconfirmed since none of us have yet been asked our view). Whose institution could perhaps also be assessed on a similar basis, and perhaps found wanting… at least if it were subject to the cold scrutiny of the market – but curiously isn’t due to the more than proficient lobbying of that sector on government. But then corporate welfare is – naturally to those who propose it – always exempt from the rigours applied to those of us unlucky enough to exist beyond its reach.

Mr Fitzpatrick acknowledged these issues will take courage to tackle. Clear and courageous leadership is needed this week coming up to the budget, he said.

I’ve a strong stomach for rhetoric from business and political establishments, I have to, but I’m pretty revolted by this. In a week where the institutions that he is a representative of have failed comprehensively it is almost beyond belief that he would feel he had any authority to opine on any area relating to said institutions, let alone on areas well beyond his remit. To then talk of courage when the pusillanimity and greed of the financial sector is a matter now of public record… And here’s the thing. To talk of further inflicting the muddle-headed and frankly ignorant policies that we’ve already had quite sufficient of – thanks Mr. Fitzpatrick – over the past number of decades in a bout of further social experimentation to, presumably, get it ‘right’ this time is breath-taking.

Let’s be clear. He is the Chairman of a private enterprise, one in a sector that has demonstrably failed. For him to lecture us in this fashion as if we can take any lessons from that sector, to suggest directions for social policy in this Irish state is – to be blunt – profoundly offensive. Better by far to keep quiet and thank his lucky stars that he lives in a state which would sooner bow to the demands of the banking establishment that failed enterprises be propped up by public guarantee for fear that nationalisation would lead to a run on the banks (as quoted in yesterdays Sunday Business Post).

Better by far.

The intellectual bankruptcy of a financial elite, who appear not merely indifferent to the situation they are directly responsible for creating and exacerbating but actively disdainful of those who assist them when they can turn nowhere else, is a sight to behold. Now, it would cheering to think that Fitzpatrick is the equivalent of a World War Two Japanese soldier emerging years after the war has ended – still fighting the same battles long after the conflict has moved on. That in effect his rhetoric, finely honed after decades of having these pat little answers is merely a reflection of his inability to countenance that the world has changed. But talking of pusillanimity, we have a political establishment which appears to believe that it is also business as usual and that the national economic and the interest of individual financial institutions – including Anglo-Irish bank – are coterminous. And we have a left which while making great play about disagreeing with the ‘solutions’ proposed has, so far, neglected to indicate what alternative there is to the current cant about there ‘being no alternative’ but to underwrite this sector of the economy.

And in that intellectual and activist void one further guarantee can be counted on – that of the job security of those who propelled our economies towards this crisis.