Dáil debates

Wednesday, 5 July 2006

Leaders' Questions.

 

10:30 am

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)

This is the Taoiseach's last day in the Dáil for this session. He has quelled a mini-revolt on the backbenches and survived an abortive leadership challenge within the Progressive Democrats last week. The Government this year has collected €40 million more in taxes than was forecast in last year's budget. On that basis, it is projected that the Government will have collected €2 billion more in taxes this year than was forecast.

The worrying aspect is that the gap between what the Government says it will take in taxes and what it takes is growing. The gap was €100 million in 2003, €650 million in 2004, €1,800 million in 2005 and is heading for more than €2 billion this year. It is difficult to believe, therefore, what the Government says.

The Taoiseach, the Minister for Arts, Sport and Tourism and other Ministers are probably deciding what they must do to get back into office after the next election. That makes me wary of the possibility of a big budget bribe later this year. Given that the Government will probably have more that €2 billion more than was forecast, that becomes likely. In the year before the 2002 election, public spending increased by 40%. There was a different Minister for Finance. We were told we should party and forget about the hangover. However, that hangover consisted of stealth taxes and charges, budget cuts, services slashed and an inability to provide proper services with the people's money. The cost of living soared, competitiveness fell and jobs were lost in manufacturing.

In view of the Taoiseach's comments in recent days, can I take it there will be no big budgetary bribe this year?

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