Pat Rabbitte (Dublin South West, Labour)

The first half of the Taoiseach's answer dealt with tax incentive schemes but I did not raise any issue pertaining to these at all. I have been clear that tax incentive schemes comprise a legitimate instrument to stimulate economic activity, depending on circumstances and the economic cycle. Of course they ought to be reviewed and subjected to a test determining their demonstrable economic benefit. This has not and is not being done.

The study the Taoiseach referred to is the first that was undertaken under pressure from my colleague, Deputy Burton, last year. I will go back to the point. The record will show that the Taoiseach brought in an amendment at 5 o'clock on Friday evening. That is the simple fact of the matter. There is no point in trying to blame former Deputy Ivan Yates or anyone else. The Taoiseach gave the assurances to me, privately, which I was happy to accept, although I am on the record as saying: "I think one could be forgiven for being suspicious about getting a major item like this on a holiday weekend, by way of a last minute amendment." That is on the record of the House for 6 May 1994. I went on to raise the objections to it and so on. There is no point in talking about the Labour Party reviewing this in 1995 or 1996. This is one of the areas little focused on or understood, a very arcane area of tax law that was only in operation for a year or two at that time. The question I put to the Taoiseach was about the fact that ten years later we now know how it has been abused and the Minister for Finance said last night that he had no intention of reviewing it and that it was working perfectly.

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