Today’s quarterly figures will come as a cold dose of reality and a bitter disappointment to a besieged government.

These numbers show that far from having turned the corner earlier this year, the Irish economy suffered a ‘dead cat bounce’.

Having increased 2.2% in the first three months of the year, GDP has gone into reverse, falling 1.2% in the second quarter.

GNP continued its slide, falling 0.3% in the three months to June, and extending its losing streak to nine straight quarters.

These disappointing numbers come in the wake of yesterday’s labour market data, which showed unemployment continuing its relentless rise. We may now have over half a million people on the dole by Christmas as the unemployment rate spikes above 14% for the first time since the early nineties.

Taken together, these numbers must be deeply embarrassing for government Ministers who have been constantly trumpeting a message that the worst was over.

They highlight too, the utter failure of the Government to take measures that would restore confidence domestically or internationally, or to put in place a coherent and effective jobs strategy. Yesterday’s meeting with the heads of state agencies, was more reminiscent of one of Vladimir Putin’s publicity stunts, than the beginning of a coherent response on jobs

Today’s figures show some of the impact of the difficult adjustment that is being made to our public finances. While corrective action is necessary, Labour has repeatedly argued that further measures are needed in order to restore confidence among consumers and investors. But nothing has been done, and consumer spending continues to decline.

At this stage, the best thing they can do to restore confidence in the economy is to pack up their tent and call an election