Airport Expansion: The Case For And Against

The news that new runways at Heathrow and Gatwick are on a shortlist of airport expansion options has been welcomed by the airline industry as well as business leaders.

But green campaigners, local residents and some politicians are worried about the effects on the environment, as the options were outlined in an interim report by Sir Howard Davies's Airports Commission.

There are no firm long-term proposals in the report - they will come when the commission makes its final report in the summer of 2015, after the next general election.

PRO-NEW RUNWAYS:

Heathrow argues that a third runway would raise its capacity to 740,000 flights a year, from the current limit of 480,000.

The airport said it would be able to cater for 130 million passengers compared to 70 million today, "allowing the UK to compete with our international rivals and providing capacity for the foreseeable future".

Chief executive Colin Matthews said: "Britain needs a world-class hub airport with the capacity to compete against Paris, Frankfurt and Amsterdam. A third runway is the quickest, cheapest and surest way of connecting the UK to growth."

Some argue another runway at Heathrow will increase air pollution

The airport said a third runway would provide benefits to the UK worth £100bn and expansion would bring considerable benefits to the local community by protecting the 114,000 jobs already dependent on the airport and creating more than 70,000 new jobs.

Addressing environmental concerns, Heathrow said expansion could be met within EU climate change targets. Continued improvements to aircraft efficiency means air traffic could double by 2050 without a substantial increase in emissions, it argues.

Gatwick said expansion "can give the country the economic benefits it needs at an environmental cost it can afford with the lower fares and greater choice that passengers want. It can be delivered more quickly and at lower cost".

And the London Chamber of Commerce said: "Government should just get on and act on the short-term measures now. It will make no sense to delay any measures to enhance capacity until after the General Election.

"Businesses are crying out for aviation action now.  Political posturing would put the economic recovery at risk and threaten London's reputation as a world leading city."

ANTI-NEW RUNWAYS:

Local groups say the north-west runway plan at Heathrow will require significant demolition in the villages of Longford and Harmondsworth.

Anti-Heathrow expansion group Hacan have vowed to fight the Heathrow plans.

"We understand the strength of feeling of those living near Heathrow," Sir Howard said.

Countryside campaigners at the Campaign to Protect Rural England (CPRE) also voiced concern at the options set out.

Georgia Wrighton, director of the CPRE in Sussex, said: "A second runway at Gatwick, together with sprawling development and car parks anticipated on a massive scale, would concrete over cherished open countryside.

"A heady cocktail of increased flights, HGV traffic and cars would erode the tranquillity of rural communities, and the health and quality of life of people living under its shadow."

Keith Taylor, Green Party MEP for the South East, said: "The political opposition to airport expansion in South East England is sadly melting away.

"There's no doubt that the Government will be pleased with this report. It gives them the cover they need to go on avoiding answering difficult questions on airport expansion and to prepare themselves for a colossal U-turn on Heathrow expansion.

"This report will be of great concern to my constituents near Gatwick and Heathrow. We know that any new runways at either airport will increase air pollution, destroy homes and countryside and mean more people's lives are blighted by flight noise."

Tory MP for Richmond in west London, Zac Goldsmith, who has many constituents who live under the flight path, told Sky News: "The case for expansion is very weak.

"The case for improving our road transport, our rail links to existing airports is very strong. If we did that, we would have enough capacity for many, many years."

Last week, Mr Goldsmith said any decision by the Prime Minister to back Heathrow expansion would represent an "off-the-scale betrayal" and David Cameron would "never be forgiven in west London" .

London Mayor Boris Johnson, who wants a new airport in the Thames Estuary, said a third runway at Heathrow would be "completely crackers".

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New Runways For Gatwick And Heathrow Airports

Building a controversial third runway at Heathrow airport has been shortlisted as one of the options for expansion by the Airports Commission in its first report.

The interim findings of an independent inquiry led by the former head of the Financial Services Authority, Sir Howard Davies, has also recommended a second runway for Gatwick airport.

Sir Howard has also said he would consider the idea of building a new airport in the Thames Estuary, plans for which have been backed by the London Mayor, Boris Johnson, although he did not include it on the shortlist of options.

He warned if the UK did not expand its airports then it would cost the economy £45bn over 60 years and that to cope with increasing passenger numbers the first new runway should be operation by 2030, the second by 2050.

Sir Howard said: "The UK enjoys excellent connectivity today. The capacity challenge is not yet critical but it will become so if no action is taken soon and our analysis clearly supports the provision of one net additional runway by 2030.

Heathrow dealt with 70 million passengers last year

"In the meantime we encourage the government to act on our recommendations to make the best of our existing capacity."

He said that politicians would have to chose which runway to build first - one at Gatwick or one at Heathrow - as work on them would not be able to be carried out at the same time.

A third runway for Heathrow has met with bitter opposition and the publication of the report will likely trigger a substantial political row.

The Conservative party made its opposition to plans for the airport's expansion – supported by the Labour government - part of its 2010 election manifesto and ruled a third runway out when the coalition came to power.

Among the most vociferous opponents have been Mr Johnson and the Conservative MP, Zac Goldsmith, a keen environmentalist whose constituency is in the flight path.

Mr Johnson told Sky News that building another runway at Heathrow would be "bonkers".

He said that both the new runway options for Heathrow would involve "concreting over the M25 probably closing that major artery for five years at the least".

Plans for a third runway at Heathrow have been controversial

And he said that a second strip for Gatwick would make no difference to dealing with the air traffic.

He said: "A new airport in the inner estuary is the only credible hub option left, and the only one that would uphold this country's claim to be the natural financial, commercial and economic capital of Europe."

Last week he threatened to call for a judicial review if plans for the four-runway airport on the Isle of Grain, which at £112bn would cost five times as much as Heathrow expansion, were not included in the commission's report.

The commission said it had not shortlisted the Thames Estuary plan "because there are too many uncertainties and challenges surrounding them at this stage".

However, it will undertake further study of plans to see whether it was a "credible proposal" and may include it on the shortlist next summer.

Gatwick is running at 85% of its total capacity

The Airport Commission's final report will be submitted in the summer of 2015, after the next General Election, and the Transport Secretary, Patrick McLoughlin said the Government would not indicate a preference on options until after that.

Mr Goldsmith, who has suggested he would leave the Tory party over the issue, said last week that any decision by the Prime Minister to back Heathrow expansion would represent an "off-the-scale betrayal".

Heathrow is currently operating at 98% of its capacity with 65m travellers using it in 2012 but the report pointed out that it was so busy passengers suffered "a high level of delay and unreliability".

If it is not allowed to expand, those in favour of a third runway claim that travellers to Europe will opt to fly into airports at Frankfurt, Paris and Amsterdam instead, at a cost to the UK economy.

Heathrow representatives told the commission that a third runway could be operating by 2029 allowing 260,000 more flights a year.

Boris Johnson says a third runway for Heathrow would be "crackers"

There are two options for the extra runway - to build a 3,500m (11,500ft) strip to the north west of the site or to extend the northern runway to 6,000m (20,000ft) and use one half for take-offs and the other for landings.

The north west option would see 1,500 homes demolished and the loss of 30 listed buildings, the extension would see 720 homes flattened and affect eight listed buildings.

Heathrow chief executive Colin Matthews welcomed the report saying: "I think the report we received today is good news for trade, for jobs and for the UK as a whole."

However, Keith Taylor, Green Party MEP for the South East, said: "The political opposition to airport expansion in south east England is sadly melting away.

"There's no doubt that the Government will be pleased with this report. It gives them the cover they need to go on avoiding answering difficult questions on airport expansion and to prepare themselves for a colossal U-turn on Heathrow expansion."

The idea of expansion at Gatwick, which is currently running at 85% of its capacity and full capacity at peak times, has also met with opposition. It would be built to the south of the existing runway.

Georgia Wrighton, director of the Campaign for the Protection of Rural England in Sussex, said: "A second runway at Gatwick, together with sprawling development and car parks anticipated on a massive scale, would concrete over cherished open countryside."

The report did not include options for a new runway for Stansted or Birmingham airports, as had been suggested.

:: Watch Sky News live on television, on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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Motor Insurance Premiums Could Be Cut

Car insurance premiums are too high, says the competition watchdog which is to look at ways of reducing them.

The Competition Commission said there could be caps on the cost of accident repairs and providing replacement vehicles for drivers.

The watchdog also said in its provisional report that too many accident repairs were not carried out to the required standard.

Deputy chairman Alasdair Smith told Sky News: "We were surprised when we did a survey of cars that had been repaired after an accident to find that of the 100 cars inspectors looked at, 45 hadn't been repaired properly."

The also commission found the way add-on insurance products were sold made it difficult for customers to find the best-value products.

It said overall the £11bn market was not working well for drivers and believed too many were footing the bill for unnecessary costs incurred during the claims process after an accident.

These costs are initially borne by the insurers of at-fault drivers, but they feed through into increased insurance premiums for all motorists.

The watchdog was also concerned about the relationship between price comparison websites and insurers.

Alasdair Smith, who is leading the investigation, said: "We are now considering a range of possible measures, some of them far-reaching reforms, to ensure that the market better serves the interests of customers."

Mr Smith said that in most cases the party managing the accident claim - typically the non-fault insurer or intermediary - was not the party liable to pay the costs of the claim.

He added: "There is insufficient incentive for insurers to keep costs down even though they are themselves on the receiving end of the problem."

The commission estimates the extra premium costs due to the separation of control and liability on replacement cars and repairs to be between £150m and £200m a year.

It is considering whether to make a driver's own insurer responsible for providing a replacement vehicle or to give at-fault insurers greater opportunity to take control over managing claims.

:: Watch Sky News live on television, on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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Airport Expansion: The Case For And Against

The news that new runways at Heathrow and Gatwick are on a shortlist of airport expansion options has been welcomed by the airline industry as well as business leaders.

But green campaigners, local residents and some politicians are worried about the effects on the environment, as the options were outlined in an interim report by Sir Howard Davies's Airports Commission.

There are no firm long-term proposals in the report - they will come when the commission makes its final report in the summer of 2015, after the next general election.

PRO-NEW RUNWAYS:

Heathrow argues that a third runway would raise its capacity to 740,000 flights a year, from the current limit of 480,000.

The airport said it would be able to cater for 130 million passengers compared to 70 million today, "allowing the UK to compete with our international rivals and providing capacity for the foreseeable future".

Chief executive Colin Matthews said: "Britain needs a world-class hub airport with the capacity to compete against Paris, Frankfurt and Amsterdam. A third runway is the quickest, cheapest and surest way of connecting the UK to growth."

Some argue another runway at Heathrow will increase air pollution

The airport said a third runway would provide benefits to the UK worth £100bn and expansion would bring considerable benefits to the local community by protecting the 114,000 jobs already dependent on the airport and creating more than 70,000 new jobs.

Addressing environmental concerns, Heathrow said expansion could be met within EU climate change targets. Continued improvements to aircraft efficiency means air traffic could double by 2050 without a substantial increase in emissions, it argues.

Gatwick said expansion "can give the country the economic benefits it needs at an environmental cost it can afford with the lower fares and greater choice that passengers want. It can be delivered more quickly and at lower cost".

And the London Chamber of Commerce said: "Government should just get on and act on the short-term measures now. It will make no sense to delay any measures to enhance capacity until after the General Election.

"Businesses are crying out for aviation action now.  Political posturing would put the economic recovery at risk and threaten London's reputation as a world leading city."

ANTI-NEW RUNWAYS:

Local groups say the north-west runway plan at Heathrow will require significant demolition in the villages of Longford and Harmondsworth.

Anti-Heathrow expansion group Hacan have vowed to fight the Heathrow plans.

"We understand the strength of feeling of those living near Heathrow," Sir Howard said.

Countryside campaigners at the Campaign to Protect Rural England (CPRE) also voiced concern at the options set out.

Georgia Wrighton, director of the CPRE in Sussex, said: "A second runway at Gatwick, together with sprawling development and car parks anticipated on a massive scale, would concrete over cherished open countryside.

"A heady cocktail of increased flights, HGV traffic and cars would erode the tranquillity of rural communities, and the health and quality of life of people living under its shadow."

Keith Taylor, Green Party MEP for the South East, said: "The political opposition to airport expansion in South East England is sadly melting away.

"There's no doubt that the Government will be pleased with this report. It gives them the cover they need to go on avoiding answering difficult questions on airport expansion and to prepare themselves for a colossal U-turn on Heathrow expansion.

"This report will be of great concern to my constituents near Gatwick and Heathrow. We know that any new runways at either airport will increase air pollution, destroy homes and countryside and mean more people's lives are blighted by flight noise."

Tory MP for Richmond in west London, Zac Goldsmith, who has many constituents who live under the flight path, told Sky News: "The case for expansion is very weak.

"The case for improving our road transport, our rail links to existing airports is very strong. If we did that, we would have enough capacity for many, many years."

Last week, Mr Goldsmith said any decision by the Prime Minister to back Heathrow expansion would represent an "off-the-scale betrayal" and David Cameron would "never be forgiven in west London" .

London Mayor Boris Johnson, who wants a new airport in the Thames Estuary, said a third runway at Heathrow would be "completely crackers".

:: Watch Sky News live on television, on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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New Runways For Gatwick And Heathrow Airports

Building a controversial third runway at Heathrow airport has been shortlisted as one of the options for expansion by the Airports Commission in its first report.

The interim findings of an independent inquiry led by the former head of the Financial Services Authority, Sir Howard Davies, has also recommended a second runway for Gatwick airport.

Sir Howard has also said he would consider the idea of building a new airport in the Thames Estuary, plans for which have been backed by the London Mayor, Boris Johnson, although he did not include it on the shortlist of options.

He warned if the UK did not expand its airports then it would cost the economy £45bn over 60 years and that to cope with increasing passenger numbers the first new runway should be operation by 2030, the second by 2050.

Sir Howard said: "The UK enjoys excellent connectivity today. The capacity challenge is not yet critical but it will become so if no action is taken soon and our analysis clearly supports the provision of one net additional runway by 2030.

Heathrow dealt with 70 million passengers last year

"In the meantime we encourage the government to act on our recommendations to make the best of our existing capacity."

He said that politicians would have to chose which runway to build first - one at Gatwick or one at Heathrow - as work on them would not be able to be carried out at the same time.

A third runway for Heathrow has met with bitter opposition and the publication of the report will likely trigger a substantial political row.

The Conservative party made its opposition to plans for the airport's expansion – supported by the Labour government - part of its 2010 election manifesto and ruled a third runway out when the coalition came to power.

Among the most vociferous opponents have been Mr Johnson and the Conservative MP, Zac Goldsmith, a keen environmentalist whose constituency is in the flight path.

Mr Johnson told Sky News that building another runway at Heathrow would be "bonkers".

He said that both the new runway options for Heathrow would involve "concreting over the M25 probably closing that major artery for five years at the least".

Plans for a third runway at Heathrow have been controversial

And he said that a second strip for Gatwick would make no difference to dealing with the air traffic.

He said: "A new airport in the inner estuary is the only credible hub option left, and the only one that would uphold this country's claim to be the natural financial, commercial and economic capital of Europe."

Last week he threatened to call for a judicial review if plans for the four-runway airport on the Isle of Grain, which at £112bn would cost five times as much as Heathrow expansion, were not included in the commission's report.

The commission said it had not shortlisted the Thames Estuary plan "because there are too many uncertainties and challenges surrounding them at this stage".

However, it will undertake further study of plans to see whether it was a "credible proposal" and may include it on the shortlist next summer.

Gatwick is running at 85% of its total capacity

The Airport Commission's final report will be submitted in the summer of 2015, after the next General Election, and the Transport Secretary, Patrick McLoughlin said the Government would not indicate a preference on options until after that.

Mr Goldsmith, who has suggested he would leave the Tory party over the issue, said last week that any decision by the Prime Minister to back Heathrow expansion would represent an "off-the-scale betrayal".

Heathrow is currently operating at 98% of its capacity with 65m travellers using it in 2012 but the report pointed out that it was so busy passengers suffered "a high level of delay and unreliability".

If it is not allowed to expand, those in favour of a third runway claim that travellers to Europe will opt to fly into airports at Frankfurt, Paris and Amsterdam instead, at a cost to the UK economy.

Heathrow representatives told the commission that a third runway could be operating by 2029 allowing 260,000 more flights a year.

Boris Johnson says a third runway for Heathrow would be "crackers"

There are two options for the extra runway - to build a 3,500m (11,500ft) strip to the north west of the site or to extend the northern runway to 6,000m (20,000ft) and use one half for take-offs and the other for landings.

The north west option would see 1,500 homes demolished and the loss of 30 listed buildings, the extension would see 720 homes flattened and affect eight listed buildings.

Heathrow chief executive Colin Matthews welcomed the report saying: "I think the report we received today is good news for trade, for jobs and for the UK as a whole."

However, Keith Taylor, Green Party MEP for the South East, said: "The political opposition to airport expansion in south east England is sadly melting away.

"There's no doubt that the Government will be pleased with this report. It gives them the cover they need to go on avoiding answering difficult questions on airport expansion and to prepare themselves for a colossal U-turn on Heathrow expansion."

The idea of expansion at Gatwick, which is currently running at 85% of its capacity and full capacity at peak times, has also met with opposition. It would be built to the south of the existing runway.

Georgia Wrighton, director of the Campaign for the Protection of Rural England in Sussex, said: "A second runway at Gatwick, together with sprawling development and car parks anticipated on a massive scale, would concrete over cherished open countryside."

The report did not include options for a new runway for Stansted or Birmingham airports, as had been suggested.

:: Watch Sky News live on television, on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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Motor Insurance Premiums Could Be Cut

Car insurance premiums are too high, says the competition watchdog which is to look at ways of reducing them.

The Competition Commission said there could be caps on the cost of accident repairs and providing replacement vehicles for drivers.

The watchdog also said in its provisional report that too many accident repairs were not carried out to the required standard.

Deputy chairman Alasdair Smith told Sky News: "We were surprised when we did a survey of cars that had been repaired after an accident to find that of the 100 cars inspectors looked at, 45 hadn't been repaired properly."

The also commission found the way add-on insurance products were sold made it difficult for customers to find the best-value products.

It said overall the £11bn market was not working well for drivers and believed too many were footing the bill for unnecessary costs incurred during the claims process after an accident.

These costs are initially borne by the insurers of at-fault drivers, but they feed through into increased insurance premiums for all motorists.

The watchdog was also concerned about the relationship between price comparison websites and insurers.

Alasdair Smith, who is leading the investigation, said: "We are now considering a range of possible measures, some of them far-reaching reforms, to ensure that the market better serves the interests of customers."

Mr Smith said that in most cases the party managing the accident claim - typically the non-fault insurer or intermediary - was not the party liable to pay the costs of the claim.

He added: "There is insufficient incentive for insurers to keep costs down even though they are themselves on the receiving end of the problem."

The commission estimates the extra premium costs due to the separation of control and liability on replacement cars and repairs to be between £150m and £200m a year.

It is considering whether to make a driver's own insurer responsible for providing a replacement vehicle or to give at-fault insurers greater opportunity to take control over managing claims.

:: Watch Sky News live on television, on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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Carrefour Plans £1.7bn Shopping Malls Deal

Carrefour has announced plans to buy 127 shopping centres across Europe in a €2bn (£1.69bn) deal.

France's largest retailer, which already owns nearly 10,000 hypermarkets, supermarkets and convenience shops across the continent, has joined forces with eight investors to buy the centres in France, Spain and Italy.

Many of the Klepierre sites, which are located in France, Spain and Italy and generate an annual rental income of €135m (£114m), are close to its existing stores.

They will sit alongside its existing 45 malls in a new company, 42% of which will be held by Carrefour with the rest held by investors.

Carrefour has been struggling for years, even before the European debt crisis hit its biggest markets.

Georges Plassat took over as chief executive last year, pledging to cut costs and improve the fortunes of the company's 1,300 hypermarkets.

Carrefour's share price climbed more than 1.5% in the hours following the announcement.

The deal, which Carrefour said would make it one of Europe's leading shopping mall companies, is subject to regulatory approval.

The company is expected to close the deal in March or April next year.

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Airport Row: New Runway Shortlist Revealed

A shortlist of airport expansion options that could include a third runway at Heathrow will be announced today.

New runways at Gatwick and Stansted airports could also be on the list in the first report of a government-appointed commission chaired by former Financial Services Authority chief Sir Howard Davies.

London mayor Boris Johnson, who is bitterly opposed to expansion at Heathrow, will be hoping his preferred new Thames Estuary airport plan - dubbed "Boris Island" - makes the Davies shortlist.

Sir Howard's team will also announce measures to deal with capacity problems in the short term.

These could include making more use of the two existing runways at Heathrow, where homes will be lost if a new runway is built.

A protest sign on display near Heathrow Airport

But there will be no firm, long-term announcements or final runway decisions in today's report.

Those will come when the commission makes its final report in summer 2015 - after the next General Election.

As with the HS2 high-speed rail project, the airport expansion debate has been heated.

While bosses at both Heathrow and Gatwick have made the case for runway expansion, Mr Johnson has described the building of a third runway at Heathrow as "environmentally disastrous and wrong for London and the UK".

The last Labour government had supported a third runway at Heathrow, but expansion at the west London airport was ruled out by the coalition Government when it took power in May 2010.

Boris Johnson is bitterly apposed to expansion at Heathrow

Last week, Tory MP Zac Goldsmith said any decision from the Prime Minister to back Heathrow expansion would represent an "off-the-scale betrayal" and Mr Cameron would "never be forgiven in west London".

Transport Secretary Patrick McLoughlin has said the coalition's pledge was not to build a third runway "in this Parliament" and stressed any decision would come after summer 2015.

He said the decision would be in the best interests of the UK, not just London, and pointed out that aircraft are becoming quieter and more fuel-efficient.

:: Watch the announcement from 7am live on Sky News on Sky channel 501, Virgin Media channel 602, Freeview channel 82 and Freesat channel 202.

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Ticket Rip-Off: Prices 'Marked Up' Online

Theatre-goers and music fans face mark-ups of as much as 38% on the value of some online tickets, according to a Which? study.

Compulsory charges are added to 72% of tickets sold online, said the consumer group, which is launching a campaign to bring down the cost.

Buying online is convenient, offers variety and quick transactions, but nearly half of those surveyed (49%) said the charges had put them off buying tickets for an event altogether.

In one study, only 3% of tickets were being sold at face value without any additional compulsory fees like booking or delivery charges.

Which? says in some cases the practice is illegal.

Which? says that many consumers feel ripped off by ticketing charges

Richard Lloyd, executive director of Which?, said: "Consumers tell us they are feeling ripped off by the level of ticketing charges and the lack of transparency means it is almost impossible for people to compare prices when booking online.

"We want to see the ticketing industry play fair on ticket fees, so that all charges are displayed up-front and with a clear explanation of what they're for."

A Ticketmaster spokesperson told Sky News: "To suggest that ticket fees are hidden is utterly misleading and factually incorrect. 

"Before a customer purchases a ticket, any additional fee is always displayed clearly.

"The fees cover a wide range of costs to provide the services which ensure the best and easiest possible experience for our customers from purchasing a ticket to accessing the event."

One explanation for the additional fees may be the acts themselves. They want their ticket prices to seem as low as possible, leaving the ticket agency to tack on the fee.

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Ireland Exits Bailout As Economy Turns Around

Ireland has become the first country in the eurozone to exit a bailout programme it was forced to take when it fell on hard times.

The country's economy, previously dubbed the Celtic Tiger because of it incredible growth, needed the emergency measure because its revenues fell and expenses increased in the wake of the financial crisis.

Taoiseach Enda Kenny said the exit sent out a "powerful signal internationally, that Ireland is fighting back, that the spirit of our people is as strong as ever".

He said: "Ireland is now moving in the right direction. Our economy is starting to recover. While we still have far too many people out of work, jobs are being created."

The bailout programme allowed the country access to £72bn (85bn euros) in cash to help pay its bills.

But the ready supply of money, from the International Monetary Fund, European Central Bank and EU, came at a price.

Experts from the IMF, ECB and EU were able to take partial control of Ireland's economy.

It led to a period of austerity, with taxes being raised and government spending cut, resulting in thousands of public jobs being lost.

It was also viewed as a national humiliation, with the public appalled that its leaders had been forced to go 'cap in hand' to outside bodies.

The government claims that the measures have helped Ireland's economy and jobs are now being created at a faster rate than for years.

The amount of interest Ireland was paying on its government debt began to increase as uncertainty over the country's future intensified and this is widely seen as the main reason for the problems.

The rate at which it borrows money has now fallen, which has allowed it to bring public expenditure under control.

Ireland is some distance ahead of other countries that suffered a similar fate.

Portugal is predicted to complete its programme next year, but Greece could be many years away yet. Other EU countries that are not members of the euro also face controls on their economies for some time.

Despite the bailout exit, Ireland's finance minister has warned the country is not out of danger yet.

He said the signs of sustained improvement were good, but it depended on the country's economy continuing to grow.

Michael Noonan said on Friday: "This isn't the end of the road. This is a very significant milestone on the road. But we must continue with the same types of policies.

"The real heroes and heroines of this are the Irish people. People are beginning to spend. Property prices are improving... it's fragile.

"But in my view things are building well and I would hope that next year would be better for a lot of people who have made a lot of sacrifices."

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