Oireachtas Joint and Select Committees

Tuesday, 17 November 2015

Committee on Finance, Public Expenditure and Reform: Select Sub-Committee on Finance

Finance Bill 2015: Committee Stage

4:00 pm

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael) | Oireachtas source

The argument is that the Deputy's way of doing things has the potential to make things worse, regardless of how well-meaning he is. The way to make things better is the way we have been doing it. If we can get the economy growing at very strong rates, the economy will throw up resources that we can use not only to provide better services but also to reduce tax and balance the budget. In the last budget, allocations were made to those three areas or methods of expenditure. When we balance the budget, there will be just two areas to focus on - reducing tax and providing services. We will see what the balance is then. I fundamentally disagree with the policy that has been presented by Sinn Féin because I do not think it passes the economic literacy test. I am not saying that in an offensive way. I am suggesting that there are loads of internal contradictions to it. Any fair analysis of Sinn Féin's proposals will find that on more than one occasion, one bit collides with another bit. Such an approach will not achieve economic growth. By contrast, there is a coherence in Government policy. Our primary objective is to keep the recovery going by maintaining growth rates of more than 4% and by getting more and more people back to work. In this country, the big differential between being in poverty and being reasonably well off is having a job. We should do everything we possibly can to get people back to work. In response to the argument about a marginal tax rate of 62% for self-employed people, I would ask how many people will start a small business if they can go across to Manchester or Liverpool and get all sorts-----

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