Maria Bailey (Dún Laoghaire, Fine Gael)
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I am sorry that I was not present to hear Mr. Coffey's opening statement. The benefit of being the last contributor is that most of my questions have been asked and answered already but I seek clarification on a number of issues. While we must bear in mind that our GDP figures can be exaggerated slightly because of the multinationals operating here, we can still see a strong recovery through other indicators including tax receipts, employment figures and so on. Eight out of every ten jobs created last year were outside Dublin which indicates that regional growth is starting to happen now, on foot of the Action Plan for Jobs. We are heavily dependent on foreign direct investment and international companies but is that sustainable in the medium term? I do not believe that many of the multinationals located here could just leave the country at short notice, causing a sudden downturn, although some may do so. Google, for example, employs between 6,000 and 8,000 people here which represents a substantial investment in our small island. I do not see a company like that being able to just leave the country. Data centres are being developed here. I do not want to get into the situation in Athenry which ended up being an issue to do with the courts rather than the planning system. The proposed data centre project seemed to go through the local authority and An Bord Pleanála processes at an acceptable pace. That case showed how one person rather than the planning system itself can hold up a planning application.

I have heard Mr. Coffey being interviewed on numerous occasions. In an interview last August, he spoke about the benefit to Ireland of American companies being located here. He said that they employ approximately 250,000 people directly and another 100,000 indirectly through logistics and other services like catering. Apart from the corporation tax receipts, there are other benefits to be gained from US companies locating here. Overall, FDI based employment has been hugely beneficial for this country.

Deputy Pearse Doherty raised the issue of funding for housing infrastructure earlier. Money is being allocated for that. There is no need to ring-fence funding because it has already been allocated. The local authorities have just published their targets and money is being allocated to specific areas. In some cases, development will begin as soon as the design and tender appraisals are completed. Under the Project Ireland 2040 plan, for the first time we will link a spatial plan with an investment plan. We want to see regional growth, with 75% of new jobs being created in the regions rather than in Dublin. We want to continue to be competitive as an island. In that context, does Mr. Coffey have any concerns or worries? Are there areas to which he would direct funding immediately?

Mr. Coffey has already responded to questions raised about research and development and tangible tax so I will not go back over those areas. He spoke of the sustainability of corporation tax receipts in the medium term but what are his predictions after that? I have read most of the reports he has produced and have a number of podcasts by him which I listen back to on a regular basis. He has the type of voice that is easy to listen to, which is beneficial.

There has been huge investment across our public sector. However, there are deficits in particular sectors and additional funding will be required for front-line staff in education and other sectors. That funding is being made available because everyone agrees that education underpins equality. However, we must recognise that the fiscal rules determine how we deal with windfall taxes or new tax revenues. Decisions that we make in the context of any budget must be based on income that sustainable and not one-off in nature. Mr. Coffey has said that sustainability is not an issue in the medium term but what are his predictions beyond that?