Recommendation for a Council Decision abrogating Decision 2009/416/EC on the existence of an excessive deficit in Ireland

On 27 April 2009, following a recommendation from the Commission, the Council decided by Decision 2009/416/EC that an excessive deficit existed in Ireland. On the same date the Council, based on a recommendation from the Commission, issued a recommendation to Ireland to correct the excessive deficit by 2013 at the latest.

On 2 December 2009, the Council concluded that the Irish authorities had taken effective action in compliance with the Council recommendations of 27 April 2009, but that unexpected adverse economic events with major unfavourable consequences for government finances could be considered to have occurred in Ireland after the adoption of the original recommendation. Therefore, the Council, following a recommendation from the Commission, issued a new Recommendation to Ireland with a view to bringing the excessive deficit situation to an end by 2014.

On 7 December 2010, the Council considered that unexpected adverse economic events with major unfavourable consequences for government finances, notably with reference to the substantial banking sector support measures that had to be implemented, had occurred in Ireland. Therefore the Council, following a recommendation from the Commission, issued a new Recommendation to Ireland setting a 2015 deadline for the correction of the excessive deficit.

On 24 August 2011, the Commission concluded that Ireland had taken effective action towards correcting the excessive deficit by 2015 as recommended by the Council on 7 December 2010.

In the view of the Council, based on data provided by the Commission (Eurostat) following the April 2016 notification by Ireland, the 2016 Stability Programme and the Commission 2016 spring forecast, the excessive deficit in Ireland has been corrected and Decision 2009/416/EC should therefore be abrogated.