Skip to main content

Irish Unity – achievable and affordable


The issue of Irish unity is now a matter of almost daily conversation. Despite the negativity of both governments there is growing support for a referendum on unity and for a united Ireland. 


But there is much work to be done. Republicans have a responsibility to map out the kind of shared new Ireland, we are working to build. A key element of any strategy of persuasion requires republicans address the issues of affordability and prosperity.
Of course, there will be some unionists who will remain opposed to unity on ideological, cultural, or historical grounds. Or for emotional reasons. Some may also have fears about the future. But there are others who are open to persuasion that unity makes sense in the context of Brexit. These voices were heard in the recent Féile debates. These citizens believe in the equal provision of rights for every citizen. And they are open to positive arguments around economic growth and greater prosperity.
There are also some nationalists, north and south, who also aspire to unity but are nervous, uncertain, and who similarly need to be persuaded. The issue of rights and the EU will be important for them, but so too is the question of affordability and prosperity.
The claim is regularly made that the north’s economy is entirely reliant on ten billion pounds of a subvention that comes from the block grant from Britain. In a united Ireland it is claimed that Dublin would have to find this money and that as a result public services would suffer from cutbacks. This is not true.
The reality is that since partition decisions taken around the management, investment and development of the north’s economy were the responsibility of the Ulster Unionist government at Stormont up to 1972 and subsequently by British governments. Even under the Executive almost all of the key economic levers – taxation, welfare, immigration and more – were and are directly controlled by Westminster.
British Treasury Figures relating to the north and to the block grant are deliberately misleading and are purposely used as a source of misinformation to defend the union with Britain. The British Government claims that it allocated 24bn (billion) of public spending to the north for the year 2015-16.  This figure is used by political unionism and others to argue that there is a £10bn deficit.
Of this 24bn figure 3.7bn is spent on British defence, overseas representation, and debt.  This spending does not relate to the north. It is a matter for the British state and is not our debt. That leaves 20.3bn.
The British Government estimates revenue generated within the north at 16.7bn. That means that the gap between what is spent and what is raised in the north is closer to 3.6 bn.
In addition British Government Departments claim that they spend 1.8bn of this on the north.  Aspects of this spending may or may not be considered to be essential. It is Sinn Féin’s position that this spend cannot fully be considered to be local debt until it is devolved to local budgets.
Therefore the local spending deficit - which is the difference between the amount of money spent and raised in the north by the Executive and local authorities - is £1.8bn. To summarise, based on official British Treasury information the fiscal deficit in the north is at most in the range of £1.8bn to £3.6bn.
In the context of Irish unity, in which the entire island is part of the EU, where the additional costs relating to the duplication of services are ended and with Irish control of our economic strategies, investment and growth, it is clear that Irish unity makes economic sense and is affordable.

Support for this is contained in peer reviewed paper published in November 2015 by Professor Kurt Huebner of Vancouver University which is titled Modeling Irish Unification’. It concluded that Irish unity would likely result in a sizable boost in economic outcomes and incomes north and South, with the most aggressive unification scenario estimating a boost in all island GDP of €35.6 billion Euro over eight years. That’s an increase in each of those years of €5,500 per person north and south.
More recently in July a report researched by Gunther Thurmann, who worked in the German Desk for the International Monetary Fund (IMF) during German reunification, along with Senator Mark Daly of the Oireachtas Good Friday Implementation Committee, entitled 'Northern Ireland's Income and Expenditure in a Reunification scenario' concluded that the north would cease to be a financial dependency in the event of a united Ireland. It said that the six counties would save £8.5bn a year by leaving the British state and uniting with the rest of the island. This would bring the North close to a balanced budget.
So, it’s all to play for. Achieving a referendum on Irish unity is no longer a matter of if but when. Winning that referendum and creating a new, shared Ireland inclusive of every citizen who lives on this island is similarly no longer a matter of if but when. Our task as united Irelanders is to achieve these objectives in the shortest possible time with the maximum level of popular support. That means planning for a referendum and planning for unity. Now isn’t that a challenge worth working to achieve?


Comments

Popular posts from this blog

Turf Lodge – A Proud Community

This blog attended a very special celebration earlier this week. It was Turf Lodge: 2010 Anois is Arís 50th Anniversary. For those of you who don’t know Turf Lodge is a proud Belfast working class community. Through many difficult years the people of Turf Lodge demonstrated time and time again a commitment to their families and to each other. Like Ballymurphy and Andersonstown, Turf Lodge was one of many estates that were built on the then outskirts of Belfast in the years after the end of World War 2. They were part of a programme of work by Belfast City Corporation known as the ‘Slum clearance and houses redevelopment programme.’ The land on which Turf Lodge was built was eventually bought by the Corporation in June 1956. The name of the estate, it is said, came from a farm on which the estate was built. But it was four years later, in October 1960, and after many disputes and delays between builders and the Corporation, that the first completed houses were handed over for allocation...

Slán Peter John

Sinn Féin MP Conor Murphy, Fergal Caraher’s parents, Mary and Peter John, and Sinn Féin Councillors Brendan Curran and Colman Burns at the memorial in South Armagh dedicated to Fergal Caraher It was a fine autumn morning. The South Armagh hilltops, free of British Army forts, were beautiful in the bright morning light as we drove north from Dublin to Cullyhanna to attend the funeral of Peter John Caraher. This blog has known Peter John and the Caraher family for many years. A few weeks ago his son Miceál contacted me to let me know that Peter John was terminally ill. I told him I would call. It was just before the Ard Fheis. Miceál explained to me that Peter John had been told he only had a few weeks left but had forgotten this and I needed to be mindful of that in my conversation. I was therefore a wee bit apprehensive about the visit but I called and I came away uplifted and very happy. Peter John was in great form. We spent a couple of hours craicing away, telling yarns and in his c...

The murder of Nora McCabe

Nora McCabe was murdered almost 29 years ago on July 9th 1981. She was shot in the back of the head at close range by a plastic bullet fired from an RUC armoured landrover. She died the next day in hospital from her injuries. It was the same morning Joe McDonnell died on hunger strike. Nora was aged 33 and the mother of three young children, the youngest three months old. Over the years I have met her husband Jim many times. He is a quiet but very determined man who never gave up on getting the truth. Jim knew what happened, but as in so many other similar incidents, the RUC and the Director of Public Prosecutions office embarked on a cover up of the circumstances in order to protect the RUC personnel responsible for Nora’s murder. At the inquest in November 1982 several RUC people gave evidence, including James Critchley who was the senior RUC officer in west Belfast at the time. He was in one of the armoured vehicles. The RUC claimed that there were barricades on the Falls Road, tha...