Joan Burton (Dublin West, Labour)

The Minister's predecessor, Mr. McCreevy, spoke about this issue on a number of occasions. He told me he introduced the system of tax relief for nursing home fees to reduce charges, rather then to increase the supply of beds in nursing homes. I do not see any evidence of a reduction or levelling off in charges. I hope this element will be concluded following the review. Mr. McCreevy established many tax relief schemes on a wing and a prayer — he often told us he had a hunch. There is no evidence that this matter was researched, or that it formed part of a joined-up health and social welfare policy.

The many Deputies who have been members of local authorities will be aware that the budget for the adaptation of houses for older people has been absolutely inadequate. All the research shows that living at home assists people in their late 60s and early 70s — it is what they want to do. We should facilitate that by being generous in adapting homes to cater for people who are becoming less mobile as they get older.

A private health care provider received extensive coverage in a newspaper this week. I do not know whether the Minister saw the article in question. The provider intends to use the system of tax relief for nursing home fees to fund two €1 million homes, each of which will cost the State €420,000 in taxes foregone. As I said earlier, Dublin City Council could build an entire unit to provide for assisted independent living for that amount of money.

The Labour Party is calling for a review of the pros and cons of the system. I do not suggest that any single model is better than any other model, although the quality and continuity of public provision has been generally quite good, particularly in recent decades as the facilities have been improved. I have proposed amendment No. 12 because I appreciate that the terms of the review are important.

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