A wind at Fine Gael's back

Fine Gael has taken the first deliberate steps towards establishing its credentials to form the next government by offering distinctive…

Fine Gael has taken the first deliberate steps towards establishing its credentials to form the next government by offering distinctive and challenging approaches on issues that are likely to dominate for the foreseeable future.

It was a refreshing development when the party chose to concentrate on alternative policies, particularly in relation to the economy, health and the public service at its annual conference in Wexford rather than criticise specific Government failures and wasteful expenditure.

Of course, there was plenty of negative campaigning by party spokesmen during the course of the weekend. After all, Fianna Fáil has led three minority governments during the past 11 years and has the prospect of remaining in office for another four. Normally, opposition parties would keep distinctive policies under wraps at this stage. But, emboldened by Government indecision and buoyed up by opinion polls that place the party ahead of Fianna Fáil for the first time in decades, the Fine Gael leadership has responded by identifying difficult but necessary reforms and by taking its political arguments to the public.

Enda Kenny built his televised address around what he described as the "painful truth" that the country can no longer afford the terms of the national pay agreement. Calling for its suspension for 12 months and a subsequent review, he argued that a wage freeze in the short term was preferable to job losses in the long term. He promised a universal healthcare plan, higher investment in education, measures to increase productivity and a massive expansion of renewable energy. Fine Gael would immediately recapitalise the banking system through a system of preferential shares funded by Government and private individuals. International venture capitalists would be excluded, failed banking managers held to account and funding provided for enterprise. And, of course, Fine Gael remained the party of law and order.

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Many in the packed hall must have sighed with relief that they had failed to gain power in 2007 and narrowly avoided having to take responsibility for the economic recession that has seen unemployment rise by 50 per cent.

Had it been otherwise, the pre-election "contract" offered by Mr Kenny to voters last year that he would lower both income tax and stamp duty or not offer himself for re-election as Taoiseach, might have had extreme consequences. He will have to tread that fine political line of being assertive without being strident, critical without being destructive, if he is to create greater confidence in his leadership.

His conference speech was a good start. And he has time on his side. His leadership is not under threat within the parliamentary party, as Richard Bruton made abundantly clear. Fine Gael is expected to make further gains in next year's European and local elections because of Fianna Fáil's mishandling of the economy and falling standards of living. No leader in recent times has had such a wind to his back.