Peter Power (Limerick East, Fianna Fail)

It will be regarded in years to come as being one of the most reforming budgets for the way in which it has tackled the tax breaks accumulated in the past 20 years.

I will concentrate on the debate about the phased abolition of tax breaks which will take place over the next few years. There has been much discussion on the reasons for the establishment of these tax breaks and their subsequent use. It has been suggested that various cost benefit analyses should be incorporated into the Finance Bill.

The introduction of tax breaks, specifically property-based tax breaks, is a matter for political judgment. They were introduced by parties of different colours in the 1980s and 1990s, which used the best political judgment available at the time.

I had the honour of chairing the inner city renewal committee of Limerick City Council for several years when I was a city councillor. Without any fear of contradiction I can state that the development which took place in Limerick has been one of the shining examples of the success of inner city renewal development and tax breaks. This development in Limerick city would not have taken place without these tax breaks.

Many of the criticisms voiced about the budget and the Finance Bill contain a subtext that the tax forgone amounted to dirty or grubby money in the hands of developers or those who took risks at a difficult period. I refer to individuals in my constituency such as Michael Tiernan who took huge personal risks——

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