A historical division began to mend as Fine Gael and Fianna Fáil entered government together five years ago. This was quickly eclipsed by the series of other momentous events that Ireland confronted.
A pandemic, wars and the effects of soaring inflation led to little time for reflection on such an important political moment.
I am the only politician remaining in office from the negotiation teams that forged the confidence-and-supply agreement in 2016 and the agreements that led to the last government and to the new one. The journey between the two parties meeting nearly nine years ago in Trinity College, and now, is striking.
The current phase of this journey is equally momentous. Incumbent governments are now rarely re-elected. A study of national elections held across 2024 concluded that sitting governments in all major democracies lost support. This is the first time this has ever happened.
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The significance of Ireland going against the global political trend will quickly fade as the new administration gets to work. It does, however, merit reflection, for two reasons: the health of the political centre and the continued need to maintain economic stability to enable social progress.
The acknowledgment of these points is particularly appropriate given the scenes in our Dáil this week. Stability was obviously absent in our parliamentary business last Wednesday. But the recognition of the value of stability was present in our election results and in the formation of a new Government.
In a recent collection of essays, The Centre Must Hold, edited by Yair Zivan, centrism is defined as a clear set of values that include “moderation and pragmatism” and the belief that progress is possible through the balancing of tensions within a nation, not by their heightening.
As political divisions deepen, as lives are lost through war and famine, and as our climate changes, making the case for moderation and the need to avoid the risks of radical change can be challenging. But the case must be made, as it is this approach that has transformed Ireland.
Moderation must be accompanied by a commitment to economic stability. My defining experience continues to be the effects of the global financial crisis.
Economic stability is not an academic pursuit, it pays for the homes we need to build and for the public services we must improve. So what does this mean for this new Government?
Due to the nature of my constituency in the heart of Dublin’s northside, I am acutely aware of the social and economic needs not only of those who do not vote for me, but of those who do not vote at all
Tone matters. Words make a difference. A raised voice, full of certainty, rarely offers a solution. The acknowledgment of trade-offs, the recognition that we cannot achieve everything at once should not be seen as a weakness but a strength. We are fortunate to have two leaders at the heart of this administration who understand this and who aim to serve all in our country.
Due to the nature of my constituency in the heart of Dublin’s northside, I am acutely aware of the social and economic needs not only of those who do not vote for me, but of those who do not vote at all. Humility in the acknowledgment of this, and in the recognition of an uncertain future, should be our hallmark.
But words matter only if they are matched by action. In the programme for government some themes will be vital.
First, we must continue to run budget surpluses and ensure that the “rainy day” funds that will protect our future are fully funded. This is an imperative as international risks heighten. This safety net allows Ireland to maintain confidence in our ability to invest in homes, health, energy and public transport.
Second, we must restructure our economy. We will have to compete harder for international investment and work harder to support those who create jobs at home. We must change our economy while ensuring that it meets important aims within our society.
We must redouble our efforts to fulfil our climate commitments. The green energy transition also has the potential to transform our economy in the same way that international investment has in recent decades.
Third, we must deliver. We must build homes and a metro, and show households and employers that we can meet their energy and water needs.
Finally, we have to find our place in the artificial intelligence revolution, a rare moment of profound change. An architect of this transformation has described The Coming Wave, where biology and AI integrate and this technology becomes a tool that advances the rise and fall of national powers. This era is upon us.
We must show that the centre is not the same as the status quo and that through stability we can secure positive and permanent change for everyone
Ireland is at its best when we have clarity of policy and competitive strength at moments of economic transition. With this technology, we have work to do.
We have built our prosperity in a stable order that originated in the aftermath of second World War. This consensus has now fundamentally shifted. “Make America great again” is now a detailed policy agenda with real momentum. China has reshaped the global economy and is changing its role in international affairs. Europe is not growing quickly enough and is confronted by war and a clear challenge to our role in the world. We must play our part in the transformation and strengthening of the European Union. It is our best framework for the maintenance of political liberties, social freedoms and economic prosperity.
But all of this begins and ends with the voter. I always carry an old polling card in my wallet. It reminds me of the electorate that I serve and that explaining is not losing. It is how you win support.
When Fontaines DC sing of the gall and fail of the parties that lead this government I know that they have a receptive audience. As politicians we must speak to that audience and not be distracted by the recent roaring. We must show that the centre is not the same as the status quo and that through stability we can secure positive and permanent change for everyone.
That the political centre held is of great value but this can only be the beginning. It must deliver, again, and guide our country through an era of great change, where both risks and opportunities abound.
Paschal Donohoe is the Fine Gael TD for Dublin Central and Minister for Finance
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