Andrew Doyle (Wicklow, Fine Gael) | Oireachtas source

There is a saying that Kilkenny used to be the capital of Ireland, Dublin is now and Cork will be in the future. If Deputy Buttimer has his say, that will happen sooner rather than later.

I welcome the opportunity to contribute to this debate, which is taking place in week one of the fourth year of this Government's term. It is a good time to review where we have come from and look ahead to what needs to be done in the coming years. Some speakers referred to job losses, the bailout and so on, while others focused on the improvements in the economy and State finances. Reference was also made to today's news regarding bonds. There are people who would decry Professor Morgan Kelly for shooting a precautionary arrow across the bows last week when he highlighted the fragility of the economy at this time, and the vulnerability of the small and medium enterprise sector in particular. While his comments might be a case of stating the blindingly obvious, it is important we keep in mind that factors which may not be within our control could at any time jeopardise the progress we have achieved to date.

One lesson we should all have learned from the so-called Celtic tiger years is that an arrogant and cocky Ireland was not a place that endeared itself internationally. When this Government assumed office, apart from restoring the economy, we had to work in parallel to restore our reputation as a country that is serious about doing business and doing what we do best. We had to show we could go back to looking after the basics that are fundamental to an export-driven open economy like ours.

A great deal of good work has been done in the past three years and we are in a position now to capitalise on that. However, there are areas which require a sustained focus. It is often said, correctly, that it is not possible to tax one's way out of a recession. Equally, however, the talk in recent weeks of some benefits for taxpayers in the next budget is a cause for some concern. We must avoid cutting taxes in such a way that we end up with another unsustainable boom. Having said that, we have seen how measures such as the VAT rate reduction for services industries, including tourism, have led to job creation and an overall increase in revenue for the State. In such cases, taxes forgone should be viewed as an investment in the economy, whether it be €200 million, €300 million or €500 million. If we get the balance right in this regard and proceed slowly and incrementally, we can create jobs and reduce the national deficit by growing the economy rather than imposing additional taxes, cutting services and reducing the public sector wage bill. We must be as efficient as we can - that goes without saying - but we also must consider the bigger picture.

Several speakers referred to the issue of housing, which is something I raised at a parliamentary party meeting last night. We are at a crisis point in Wicklow and other counties, especially those close to major centres of population. It is a problem that must be addressed urgently. Deputy Brendan Ryan made a very valid point about how community welfare officers manage rent support in the short term, but there is no long-term fix. The problem is we do not have vacant houses in any significant number in the areas where they are most needed. There are 2,500 people on the county waiting list in Wicklow, for instance, with probably another 2,000 on the town lists of Bray, Wicklow and Arklow. That is a serious problem.

Rural development, the Leader programme and the work of the Commission for the Economic Development of Rural Areas are issues on which we need to focus in the coming year. The status of An Post and the post office network was highlighted recently and is central to the restoration of the rural economy. I have written to every Minister seeking assurance that the post office service will be favourably considered as a front office of Government for the delivery of licences, certificates and forms.

I am glad to see the Minister of State, Deputy Brian Hayes, in the Chamber. Deputy Buttimer is right that he has proven to be a hands-on Minister of State who does not try to plámás people with quick-fix solutions that cannot be honoured. He tells it as it is and should be commended on so doing. I wish him well in his other endeavours, albeit he will be missed if he is successful. I am not saying this because his wife is from Wicklow but because it is genuinely my view.

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