Mary Harney (Dublin Mid West, Progressive Democrats)

If people would listen, it might be helpful. I wish to make it clear that I am not saying that any or all of these Ministers acted in the knowledge that the charges were not on a sound legal footing. I am confident that Mr. Travers's forthcoming report will give the definitive position, since he is carrying out a thorough and comprehensive analysis of the files in the Department and is interviewing many people.

At this point, however, I would like to make one comment. In my statement to the House last December, I stated that the charges had been levied in good faith. The Taoiseach made similar statements, both of us on advice and on the basis of the information available to us at that time. It was reported to the House that the Department acted throughout on the basis that the charges were legally defensible.

The Supreme Court decision today does not make a judgment whether the charges were made in good faith or bad faith but in the light of the Supreme Court judgment, and in the light of information that came to light in preparing for the hearings at the court but not available in December, I would not now characterise the levying of these charges in the way I did last December. For example, legal advice was provided in 1978 by then senior counsel Keane and McCann that the basis of charges was not sound.

I intend to await the report of Mr. Travers to reach a definitive assessment on the issue. We can only make judgments on the basis of all the facts, and I would ask Members of the House to do so also. I will, as I have undertaken, make available Mr. Travers's report to the House as soon as possible after I and the Government have considered it. I am confident that his report will help us address some important reforms in the way we do business in the public service and to learn the lessons from what has been a significant failure of public policy.

We will now study the court's judgment in detail. We will take on board all the consequences for policy and law arising from today's judgment. We will make repayments in the order of at least €500 million, as indicated by the court, to people who were charged illegally and to their estates. Together with the Minister for Finance, we will work on a method of repayment that is efficient and non-contentious.

We intend to continue the policy of making charges to cover some of the costs of shelter and maintenance and we will do so through primary legislation. We will also seek to ensure that services for older people are funded in a sustainable manner. We have already begun detailed work addressing the wider issue of how to achieve a more integrated programme of long-term care that is financed into the future. We will continue to orient policy towards care in the community. This is the clear preference, particularly for older people with dependencies who want to live at home if at all possible. Anyone who favours this will recognise that we should make it as easy financially for people to opt for care in the community rather than institutional care. It would be unfair and contrary to people's wishes to create a dominant incentive for institutional care over care in the community. It would also be unfair to people who supported themselves at considerable cost by living at home.

A responsible policy must balance many people's different needs, rights and wishes. This is an important day for clarity, certainty and confidence in respect of the legal basis for one aspect of policy on long-term care. I reiterate that the Government welcomes the Supreme Court's judgment.

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