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The government is warning companies to brace for a hard Brexit

Enterprise Ireland also announced that more than 200,000 people are employed by its client firms.

THE HEAD OF Enterprise Ireland and the jobs minister have warned companies to prepare to grow their exports outside the UK as the threat of a ‘hard Brexit’ looms.

The comments came as Enterprise Ireland, the state agency which focuses on developing indigenous Irish businesses, announced that 19,244 new full- and part-time jobs were created at Enterprise Ireland-supported companies in 2016.

Almost two-thirds of the new jobs were outside Dublin, and all regions recorded increases in employment.

After taking account of job losses, the figures translate to a net increase of 9,117 jobs. This is down from the net increase of just over 10,000 new jobs created at the agency’s client companies in 2015, although it is slightly more than the 8,500 recorded in 2014.

There are now 201,108 people employed at Enterprise Ireland-backed companies. 2016 was the first year that the agency broke the 200,000 barrier.

Enterprise Ireland has now set out its aims for the period from 2017 to 2020. The agency’s CEO Julie Sinnamon said that the agency wants to grow exports from its client companies s by €5 billion to €26 billion a year by 2020.

Infographics EOYS 13 Enterprise Irelad Enterprise Irelad

She added that two-thirds of the extra €5 billion will come from growth outside the UK market.

“(We will focus on) expanding our global reach, and that’s that global footprint outside the UK in particular,” she said.

“Companies are developing strategies to reduce their exposure, in terms of hedging and exchange rates. Long-term, what we are seeing is a strategic shift.”

Hard Brexit

Sinnamon also confirmed that the agency is taking an attitude of “preparing for the worst, and hoping for the best” in relation to Brexit.

UK Prime Minister Theresa May hinted yesterday that the UK is considering a ‘hard’ Brexit, where the region would have reduced access to the EU market but would have to abide by fewer of the bloc’s laws.

“What we have to do is plan for a hard Brexit,” Sinnamon said.

“If it turns out to be better than that, so be it, but we are telling our companies you have to plan for a hard Brexit and put in place the building blocks today to be able to deal with whatever Brexit throws up”.

Jobs Minister Mary Mitchell O’Connor echoed Sinnamon’s comments.

Asked if the government has been preparing for a ‘hard Brexit, she said: “Yes. We have been in preparation for the last year. We are making sure that Ireland will get the best deal whether it’s a hard or soft Brexit.

“I listened to Theresa May last night and heard her say what she feels will be the best deal for the UK. My department is working to make sure that we can combat whatever happens.”

UK move

Sinnamon also confirmed that UK agencies are trying to tempt some Irish firms to move across the Irish in the wake of Brexit, but added that Enterprise Ireland has not witnessed any significant exodus.

“Obviously, the UK is keen to use the opportunity to attract companies into the UK; (but) no companies have said to us that they are moving to the UK market. We haven’t seen companies closing up shop.”

Written by Paul O’Donoghue and posted on Fora.ie

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    Mute David Cullen
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    Jan 9th 2017, 6:36 PM

    so Ireland isn’t allowed to trade with the UK ??
    why not? can we not make own own deal ?

    77
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    Mute Tony Daly
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    Jan 9th 2017, 6:39 PM

    @David Cullen: so long as we are members of the EU, we are not permitted to do a bilatteral with the UK.

    Unless May is bluffing, she seems intent on a hard Brexit. Time will tell.

    65
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    Mute Awkward Seal
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    Jan 9th 2017, 6:48 PM

    We should come out publicly and say we’ll honour the existing trade deals within the EU with the UK post-brexit. It’s in our best interests and the interests of Europe to do so. The only reason the EU don’t want to do this is they don’t want the UK to be as successful outside of the EU because it might encourage more to leave. So they’re either being petty because they’ve been given the cold shoulder or they’re being callous because they’re worried.

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    Mute Fred Johnson
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    Jan 9th 2017, 6:52 PM

    @David Cullen:

    It’s the UK that is throwing its toys out of the pram and erecting borders with the EU.

    We’ll trade with them on the same terms as Germany and Denmark will trade with them. And if the UK wants to prevent itself from being impoverished it will come to its senses and strike a deal.

    28
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    Mute Francis Devenney
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    Jan 9th 2017, 7:02 PM

    @David Cullen: If we try and do or own deal, we are a market of only 4.5 million with no bargaining power, As part of the EU we are in a 360 million marketplace, so a much better deal can be got that benefits all member states.

    30
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    Mute Jeffrey McMahon
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    Jan 9th 2017, 7:17 PM

    We can negotiate our own separate trade deals. We are just not allowed negotiate on behalf of the EU. Our “government” denies this because they simply don’t have the spine to stand up to Europe on behalf of the Irish people. Only on behalf of Apple or the church. Or when it suits them to hit the people with more charges such as minimum unit alcohol pricing, denied by EU but they say they will introduce it anyway. Or VRT which is in direct breach of EU law for tariffs between EU countries. Mind you, Brexit will at least now make VRT legal.

    15
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    Mute Ben Gunn
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    Jan 9th 2017, 7:56 PM

    Brexit does not mean an end to trade between the EU and the UK. It does mean that there may be import trade tariffs both ways. The amount, if any, will be the subject of the upcoming negotiations. Either way nothing will change before 2020 at the earliest.

    14
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    Mute Deborah Behan
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    Jan 9th 2017, 8:13 PM

    Our government in telling our export companies to prepare for hard Brexit have given more concrete advice to our companies than the British government has given to its own companies regarding Brexit! Shockingly!

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    Mute Gerry Glynn
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    Jan 9th 2017, 8:16 PM

    Nobody is listening to this goverment.you sold your people to vulture funds ,hope you enjoy your hidden millions

    18
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    Mute Gavin Power
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    Jan 9th 2017, 8:19 PM

    @David Cullen:@David Cullen: We are bound by Trade agreements EU agreements etc, we might love British beef , but it won’t be sold here unless it has an EU Traceability sticker on it for example , they are our biggest trading partners, it will be interesting

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    Mute Pat Stapleton
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    Jan 9th 2017, 8:38 PM

    @Fred Johnson: Time the Irish People were Asked if they wish to Leave the EU by Referendum.Way Past the Time.

    12
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    Mute Michael Clinton
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    Jan 9th 2017, 7:12 PM

    Would this “Hard Brexit” be anything like the “Soft landing” as we crashed headlong into a deep recession. The past two governments don’t exactly inspire confidence do they. If they say it’s dark outside I would want to see for myself. As for hogan !!!!!!!

    73
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    Mute John Smith
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    Jan 9th 2017, 8:53 PM

    @Michael Clinton:

    Jobs are up, across the country. The future is getting rosier, public spending is increasing, there is an air brewing of success. Yes there are major problems, but trying to fix them in a short span of time is an incredibly difficult proposition. We came from a very dark place in 2008, caused by excessive lending by our financial institutions with no control from our central bank under the watch of a horrendously dreadful FF government. FG have done a lot of good since 2008, not enough but repairing the damage of Bertie and his goons is a hard task.

    We should now be teaching European languages at the entry point to education, 4 or 5. Forget secondary school, we need a population with the ability to communicate with our European neighbours. And it needs to be thought in a practical way, where it is spoken rather than written, where it becomes of real value.

    15
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    Mute Bobby Phelan
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    Jan 9th 2017, 8:57 PM

    The world will keep going around no matter what brexit brings.we are a very wealthy state.fish oil gas fresh water we should have gone out on our own years ago.

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    Mute Bobby Phelan
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    Jan 9th 2017, 8:59 PM

    @John Smith: fg have done nothing only sell this state off to the cheapest bidder.

    36
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    Mute Carl Nolan
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    Jan 9th 2017, 9:55 PM

    @Bobby Phelan:

    “we should have gone out on our own years ago.”

    There actually was a time when we were “out on our own” and it wasn’t pretty.

    Ireland isn’t like some sort of tradesman who’d be better of working for himself. Free trade and co-operation are positive things.

    @John Smith: A completely fair and reasonable comment. No idea why everyone is downvoting. Irish people are masochists.

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    Mute Mike
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    Jan 9th 2017, 6:42 PM

    Are these comments from the minister and Enterprise Ireland and the comments from our turncoat commissioner Phil Hogan connected? It looks like Official Ireland have decided that currying favour with the EU is more important than the 1 billion euros in trade per week with the UK. It looks like we are being told to give up on our businesses and jobs, businesses and jobs built up over generations in many cases.

    Try telling the kids at Christmas time that it’ll be OK next year as we’re forging new markets in Europe.

    40
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    Mute Paul
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    Jan 9th 2017, 6:49 PM

    A responsible company would plan for a hard Brexit regardless of such comments if the UK is a big market for them.

    32
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    Mute Mr Phil Officer
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    Jan 9th 2017, 6:49 PM

    It’s going to take the better part of a decade for the Brexit related negotiations to finalise, we can’t afford to sit back and do nothing. The U.K already tried to poach Apple with no regard for economic damage that would have caused and threatened to tax our truckers in Wales, they are clearly looking out for themselves, we need to be doing the same, hedging our bets is a smart move.

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    Mute Fred Johnson
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    Jan 9th 2017, 6:54 PM

    @Mike:

    Mike most of the profit from that 1 billion per week trade goes to the UK, when they rip us off with overpriced food at Marks & Spencers for example. Less trade with the UK and more with the rest of the world is not necessarily a bad thing.

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    Mute Mike
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    Jan 9th 2017, 6:59 PM

    @Fred Johnson: So your fancy sandwiches in Marks and Sparks are overpriced and therefor the 1 billion in trade is worthless to us?

    17
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    Mute Christopher Gardiner
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    Jan 9th 2017, 7:00 PM

    @Mike: Nobody cares what hogan thinks. He is a S**m Bag.

    23
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    Mute Lar Cooney
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    Jan 9th 2017, 6:41 PM

    Get big Phil stinky finger on the phone from brussells he knows what to do !

    39
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    Mute Christopher Gardiner
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    Jan 9th 2017, 6:58 PM

    @Lar Cooney: Hogan. The most disgusting animal in politics.

    47
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    Mute Enda Ireland
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    Jan 9th 2017, 7:02 PM

    Lets set up an expert group of advisors to look into possible outcomes and impacts of Irexit ensuring they all get big pensions and pay, Then ignore any results they publish.

    39
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    Mute Revolting Peasant
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    Jan 9th 2017, 6:46 PM

    The problem for Ireland is that it will be the European Commission who will be negotiating with the UK, the very commission that Hogan is appointed to and who will want to show how tough they are with the disobedient Brits and demonstrate to the remaining EU members what a bad choice they made. This will mean a very bad deal for Ireland as we have all seen and felt the compassion they have for this country, we can have no faith in the commission’s ability to negotiate with Irelands interests in mind and no faith that they will not damage us in their want to hurt the UK. The EU commissions negotiating stance, objectives and competence needs to debated in the Dail before we’re sacrificed.

    36
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    Mute Mike
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    Jan 9th 2017, 6:46 PM

    I am really mad right now. If this is really the attitude of the government, Enterprise Ireland and OUR EU Commissioner we are proper f**ked.

    27
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    Mute Paul
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    Jan 9th 2017, 6:54 PM

    Would u give over, WE CANNOT NEGOTIATE WITH UK.

    There is no attitude just been honest the UK will pick immigration over Single Market hence such comments.

    19
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    Mute Mike
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    Jan 9th 2017, 7:00 PM

    @Paul: We could assert ourselves rather than proclaim loudly that we do the EU’s bidding.

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    Mute Francis Devenney
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    Jan 9th 2017, 7:07 PM

    @Mike: So we put the 14% of trade we do with the UK ahead of the 86% we do with and through the EU ? How does that make sense?

    13
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    Mute Jeffrey McMahon
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    Jan 9th 2017, 7:21 PM

    We can negotiate with the UK. Think it was Regina Doherty made the same claim as you have before xmas and a fact check article debunked it. We are allowed negotiate our own treaty but we cannot negotiate on behalf of the EU.

    10
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    Mute Mike
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    Jan 9th 2017, 7:27 PM

    @Francis Devenney: Francis, just because a previous poster got a number used a number (the 14%) that’s not a good excuse to assume that all the rest of our exports go to the EU! Our trade with the UK and USA exceeds that of our trade with the EU for instance. Our trade with the UK is responsible for proportionally more jobs than say Belgium which takes the |big pharma exports, high value but less jobs involved, profits go abroad, foreuign owners etc.

    10
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    Mute Francis Devenney
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    Jan 9th 2017, 8:52 PM

    @Mike: I did not assume the rest of our trade is to the EU. I said ” with and through the EU” as many of our deals are predicated on us being a gateway to the EU.

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    Mute David Fülöp
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    Jan 9th 2017, 9:19 PM

    @Mike: well you can’t do anything if that’s what the Brits decided for themselves.

    There is no “operating” in the single market as May put it: she doesn’t understand what she is talking about. The single market means guaranteeing the free movement of people, capital, goods and services.

    We will trade with the UK for sure but not on the same terms.

    2
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    Mute Mike
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    Jan 9th 2017, 9:33 PM

    @David Fülöp: There’s all kinds of options if we push for a deal with our so called European partners. They don’t give a damn about us. If we leave it to them and sign off on anything they want re Brexit we will be ruined. We have to stand up for our own national interest which is certainly ad odds with the French national interest. The last thing we want to do is leave the EU but if we make enough people unemployed and poorer by cheerleading a harsh, nasty vengeful Brexit then they will likley be voting us out of the EU first chance they get.

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    Mute Mike
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    Jan 9th 2017, 10:04 PM

    @Francis Devenney: Fair enough, I didn’t cop that. “With and through” is a bit tricky to digest but I get you mean that we are members of the EU and provide access to the EU marketplace. This would still only account for a portion of our exports.

    1
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    Mute Mike
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    Jan 9th 2017, 6:57 PM

    If we can’t trade freely with the UK we are sadly much better off outside the EU. If the UK have a hard time economically after Brexit we will be ruined. I’ve always believe that we’d assert our interests but it’s looking like the bank bondholders fiasco all over again. It also resembles the promissory note fiasco.. so many time to look back on in recent history where Irish governments have acted in the EU interest and not the Irish interest.

    25
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    Mute Mr Phil Officer
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    Jan 9th 2017, 7:11 PM

    These are changing times Mike, we have to adapt if we want to stay competitive, if we play our cards right we can have the best of both worlds.

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    Mute Mike
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    Jan 9th 2017, 7:15 PM

    @Mr Phil Officer: Yes, we need to play our cards right, my point is it looks like we’re playing for the EU!

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    Mute Mr Phil Officer
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    Jan 9th 2017, 7:32 PM

    We’re in the EU.

    3
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    Mute David Fülöp
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    Jan 9th 2017, 9:23 PM

    @Mike: well the balance is 25 billion with the UK vs 109 billions with the rest of Europe in trade. No question here.

    Exports from Ireland to the UK are roughly the same as to Belgium.

    What is maddening here is that the UK will be causing everyone else substantial damage as well.

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    Mute Mike
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    Jan 9th 2017, 10:00 PM

    @David Fülöp: The Belgium figures are high due to the pharmaceuticals. The UK trade supports hundreds of thousands of jobs here. The Belgium trade supports a fraction of that. I’m not suggesting we leave the EU, in fact I’m suggesting an angry and poorer electorate may well take us out of the EU if we don’t stand up to a vengeful EU and protect our interests.

    5
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    Mute Mike
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    Jan 9th 2017, 10:39 PM

    @Mr Phil Officer: All the other EU countries act in their narrow self interest regarding Brexit. If we tow the EU line we are acting in other countries interests instead of our own.

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    Mute Christopher Gardiner
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    Jan 9th 2017, 6:57 PM

    Sure the goverment are all on their holidays. Who is ‘the government|’

    19
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    Mute Willy Malone
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    Jan 9th 2017, 6:49 PM

    Just watched Noonan on news. No such panic from him.. Who’s right…

    17
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    Mute Paul
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    Jan 9th 2017, 6:52 PM

    Both kind of, they have over 2 years to put plans in place.

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    Mute Adrian
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    Jan 9th 2017, 7:20 PM

    They’ve already had years to put plans in place for most things. You wouldn’t want to be waiting. I don’t see them starting now.
    They promised to sort the homeless thing by 2016, the nationwide broadband rollout thing, still waiting, and that Labour guy Howlin, said they had no contingency plans for Brexit.
    They launched the post codes thing, nobody uses it.

    8
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    Mute John Considine
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    Jan 9th 2017, 7:24 PM

    May isn’t making a choice, this was always going to be a hard Brexit, the way Article 50 was designed left no room to negotiate alternatives. This is merely the first, public acknowledgement of this fact.

    It’s not a surprise it’s come now either. In order to make something of the 2 year period they do have talks will have to be extremely focused on stuff that can actually be agreed in that time. Which is essentially nothing, they’ll need to agree on Oil & Gas Transmission, visa-less travel (akin to the US model I suspect) and Financial Services co-operation or there will be a lot of pain. for everyone. But I suspect even that much is pushing it in two years.

    Hence the early start here by May. Let’s hope it’s enough to get something decent agreed.

    16
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    Mute David Fülöp
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    Jan 9th 2017, 9:08 PM

    @John Considine: isn’t it ironic that the mechanism was designed by an Englishman?

    11
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    Mute Carl Nolan
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    Jan 9th 2017, 9:57 PM

    @John Considine:

    “this was always going to be a hard Brexit, the way Article 50 was designed left no room to negotiate alternatives”

    Not really. A soft Brexit would be similar to the relationship Norway has with the EU which I have no reason to believe has been ruled out by the EU.

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    Mute Tony Canning
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    Jan 9th 2017, 11:52 PM

    Carl, you’re high. You’re operating by the notion that all options would have similar support.

    You have close to 50% who don’t want brexit and of the remaining 50% there are divisions in what brexit means. Regardless of what form brexit takes it will have the support of about 25% of voters and that’s being optimistic given there is a difference between those who voted and those who can vote. Not to mention the couple of percent who will be of voting age by the time it’s all through.

    1
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    Mute Stephen Maher
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    Jan 9th 2017, 7:17 PM

    Well of their soft landing is anything to go by we have nothing to worry about.
    What about when Bertie told people to commit suicide or that time when labour told us about the red cents.

    Ironically Pat Rabbite has turned out to be the most honest politician of them all when he said
    ” sure isn’t that what politicians do, They Lie.”

    If your running a business ,working either employed or self employed don’t listen to them keep at it, you will be grand.

    15
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    Mute Adrian
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    Jan 9th 2017, 6:57 PM

    Sur we’re already pretty used to being pounded by our own gov!

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    Mute Jeffrey McMahon
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    Jan 9th 2017, 7:12 PM

    Good luck to us ever getting support from the UK again for throwing our staunchest ally in the EU to the wolves. They might even ask for us to pay back with interest their donation to our bailout.

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    Mute Mike
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    Jan 9th 2017, 7:31 PM

    @Jeffrey McMahon: I’m with you except with the bailout part. It looks like the term “bailout” fooled lots of people, as it was meant to I’m sure. We are paying them interest on the bailout, otherwise known as a loan. Calling it a donation is simply nuts.

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    Mute Fred Johnson
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    Jan 9th 2017, 6:55 PM

    Diversify lads. The UK is only 14% of our exports but we need to get it down further below 10%. We export €500 million per year of baby milk to China. Let’s export our farm products to the world. Never mind the Brits.

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    Mute Mike
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    Jan 9th 2017, 7:09 PM

    @Fred Johnson: Coming from a non farmer I’m sure. Unfortunately the first part of your post may well happen, our trade with the UK may well drop, that is the fear. As it stands right now we are better off in the EU. But if our own government, commissioner etc. are pushing the UK away and they succeed then a lot of people here will be better off out of the EU. Maybe this is just posturing to pressure the UK, I don’t know. In another time I’d believe our politicians knew what they were doing but since the bank guarantee, paying the bondholders etc. I don’t have faith in them to be smart enough or brave enough or straight enough to fight for for us.

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    Mute Alois Irlmaier
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    Jan 9th 2017, 8:34 PM

    The EU will break apart because those who run it can not stop themselves being greedy or power mad like Merkel, the next crash will finish it off…
    So the UK will be lucky then and we will be lucky to have them as a life raft, when the euro fails?

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    Mute David Fülöp
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    Jan 9th 2017, 9:05 PM

    @Alois Irlmaier: yes of course the EU has been failing since the seventies. It is a coincidence that in the meanwhile its member states ended up much better off being part of it.

    Take the UK for example what a lovely prosperous country it was in the sixties.

    Or Ireland for that matter.

    The EU is ran by its members it is not a magical kingdom pulling laws out of thin air. For incompetent governments it is convenient to use as a scapegoat but since all countries can veto major decisions it is ridiculous to speak of it as an entity that we have no control over.

    I’m also wondering how an Irish person comes to think of the UK as a life raft.

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    Mute JustMade Ireland
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    Jan 10th 2017, 1:38 AM

    All comes down to greed and and the few that control us, governments are just a front to cover those who really control us, and the real truth of our democracy is hidden by the debt and social welfare they give is.

    I know Ireland has come along way, but I know very few in the bad days who couldn’t buy a home, get a mortgage, had a home repo, sure we had less but with that we had more. We didn’t need what we got, we just need to our governments to run the country for the people not the big players.

    Have bailiffs in balaclavas protect by the Garda,

    https://m.facebook.com/AntiEvictionTaskforce/

    3
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