Dáil debates

Wednesday, 13 October 2021

Financial Resolutions 2021 - Financial Resolution No. 2: General (Resumed)

 

8:20 pm

Photo of Marc Ó CathasaighMarc Ó Cathasaigh (Waterford, Green Party) | Oireachtas source

At this point in the debate we have probably all filled in our debate bingo cards. We have the biggest spend in the history of the State on one hand; we have a missed opportunity on the other. We will hear "unprecedented" or "unambitious" depending on whom we listen to or whom we believe. We have had our lines filtered through our various focus groups. They are packaged and pushed out now on social media in their various sound bites.

I am not sure, however, how much nuance I have heard during the course of the debate. According to the Opposition, this budget is almost unreservedly bad and there are few redeeming features, this despite total public spending of more than €87 billion, with an additional budget package of €4.7 billion. However, the call still from the Opposition benches is for increased spending but, somehow, reduced taxation. We are not immune to populism in this country, and I am not convinced that pushing a simplistic narrative does much to advance either our body politic or society in general.

The truth, as usual, lies somewhere between the two extremes. On the whole, this is a good budget. It is expansionary and, as somebody of the politics of the left who believes in the positive role the State can play in the lives of people, I welcome that. If we want a larger State, and I do, we should have an honest conversation about how to pay for it in the longer term. The work of the Commission on Taxation and Welfare, which was a programme for Government commitment, will provide an important context for that debate when it reports and as we go forward.

One possible genuine criticism of this budget is that it tries to do too much and, in doing so, spreads itself too thinly. That is a flawed analysis for a number of reasons. First, it is no bad thing for a Government to try to help as many people as we can. Second, the numbers in real terms are in no way inconsequential: €700 million for capital investment in climate action, €558 million in the social protection package and €716 million in childcare. This is serious money and much of it is aimed at protecting and enhancing the well-being of some of the most vulnerable in our society. Third, this budget should not be viewed in isolation. It builds on the work done in last year's budget as part of our ongoing programme for Government. In social protection terms, that means provisions to increase the rate for a qualified child, for example, building on progress made last year, likewise targeted interventions aimed at benefiting lone parents, people living alone and children. All these consolidate and expand the work done last year to protect people we know to be at most risk of poverty. Most importantly to me, in the broad sweep this is a progressive budget. It is the bottom 30% in income terms who will benefit most from this budget. It is a step along the road for this Government in building a fairer society.

Comments

No comments

Log in or join to post a public comment.