Bertie Ahern would have stayed on as taoiseach for another 18 months had it not been for the distraction his involvement with the Mahon tribunal was causing his government colleagues, the Oireachtas banking inquiry was told on Thursday.
Mr Ahern resigned as taoiseach in May 2008 after 11 years and three general election wins, paving the way for Brian Cowen to take the reins.
He told Fianna Fáil’s Michael McGrath that while the tribunal, which investigated planning corruption and later Mr Ahern’s financial affairs, did not affect him personally, it was a distraction for the government at the time.
“It became a daily issue not just for me but for my cabinet colleagues,” he said.
“It was a serious time, serious economic problems, and the attention had to be on them and not on me.
“I would have stayed on, not like some former leaders until they were 80, but I certainly would have stayed on for another 18 months.”
During more than four hours of evidence, Mr Ahern rejected suggestions his governments “squandered” the Celtic Tiger boom, saying 10 of 11 budgets during his time as taoiseach recorded surpluses.
“The downturn did have a very hard impact on individuals and families, especially those who lost their jobs, and of course that saddened me and I wish the recession did not happen,” he said.
“However, it is disingenuous to suggest that all the gains this country made have been wiped out.”
Mr Ahern accepted that during his time as taoiseach the State was too dependent on property, which accounted for about one-quarter of the economy.
“That was ghastly when you look back at it,” he said, adding that he wished he had reintroduced a property tax in 1997 to help cool the market.
Zero credibility
But he said the international financial crash played a major role in the State’s economic problems from late 2008.
“There is zero credibility in suggesting that an open economy like ours could withstand a global recession and the collapse of the global investment banking system. Talk about all the cards being played against you in one go.”
He acceptedthe State lost its competitiveness during his time as taoiseach but rejected suggestions he was “irresponsible” with budgets, particularly in the run-up to general elections in 2002 and 2007.
He also would not accept blame for the failures of the financial regulatory system here.
“I take no responsibility, none, for what was happening in the Central Bank or the financial regulator, because I had no knowledge or control over it,” he said, adding later that there was “hardly any regulation as far as I can see”.
In response to a question from Senator Seán Barrett, Mr Ahern said Irish banks should be forced to “pay a levy on their profitability for ever more” given the problems they have caused the country.
