Catherine Murphy (Kildare North, Independent)

The Finance Bill is underpinned by a certain set of values. It could have been an opportunity for change as society changed, but that opportunity was not taken. The Bill could have provided an opportunity to row back on the multitude of tax breaks aimed at investors in the construction sector, thereby freeing up finance for redirection to other sectors. It was important that we would make a real start in this direction this year because it would make a statement of intent and would be welcome, particularly prior to the general election. We know the power of the construction industry and the special relationship it has with Fianna Fáil.

Both in terms of the budget and the Finance Bill, the Government has missed the opportunity to respond to needs such as child care. We were told in the 2005 budget that because there was so much to be done, we would have incremental delivery on child care needs. However, we were hugely disappointed with the budget that followed in December 2006 because it failed to do anything meaningful in the area. I noticed in The Irish Times today that tax-free exemptions for people minding up to three children in their home will increase from €10,000 to €15,000. This amount is significantly less than the minimum wage and illustrates two facts for us. First, women are over represented in the lowest pay sectors and rate poorly in comparison to men in terms of the average wage. Second, it places a poor value on one of the most important jobs a person can do, namely, minding and rearing children. There was no take-up of the exemption last year and I doubt there will be any take-up of the €15,000 exemption.

In terms of the national development plan, the focus with regard to child care is on tax breaks to the private sector to provide facilities. However, affordability is as big an issue as provision. The Government could do more to encourage provision by dealing with issues such as the underlying cost of child care, low wages to staff in the industry and the low margin of profit. To offer benefits in terms of costs such as VAT and commercial rates would make a difference. It should also invest in the community sector to ensure better provision. Imaginative initiatives could be taken under proposals such as the Part V proposal, whereby some child care facilities could be provided in communities. If the builders and the babies competed for attention in the Finance Bill, the builders won hands down.

The issue of stamp duty for first-time buyers continues to be a major source of anger. In my area of north Kildare one would not get a house for €317,500, the point at which stamp duty kicks in. If the setting of that limit did anything, it increased the price of houses. Any changes made in this area must be made carefully. I am not against the idea of a threshold, but there should be tapering of the allowance as a significant group of people are badly affected by the current limit which makes housing very unaffordable for them.

Much could have been done in the Bill to make public transport more attractive. We have seen charges imposed at park and ride facilities, which increase the cost of public transport for people willing to use it. This is a retrograde step. We should have investment that will ensure these facilities are provided in a way that makes public transport as attractive as possible.

I listened to Deputy McHugh and others talk about the west and the national development plan. I can well understand that, from the perspective of delivering the NDP's capital side. However, there is also a very significant problem on the east coast and in rapidly developing areas regarding recurrent spending. For example, Kildare is the biggest net contributor of motor tax. For every €100 paid, €21.70 is spent outside the county, and that has an impact on the quality of services. It is the second worst county per capita regarding the receipt of local government funds. It also does exceptionally poorly when it comes to commercial rates and local government funds. Kildare is surpassed only by Meath, which employs 700 staff to run its local authority services, serving a population of more than 160,000 according to the last census. It has the nation's lowest staffing ratio.

Kerry, on the other hand, with 30,000 fewer people, has double the number of staff to provide services. There is no doubt that a price is paid by people in such places as Meath, Kildare and Fingal in the quality of services provided. It is a total and absolute rip-off. If there is an understandable whinge regarding capital resources in the west, there is an absolutely unarguable case regarding the rip-off in developing areas. It has a direct impact on the delivery of such facilities as parks and playgrounds and community developments such as swimming pools and traffic calming measures.

A fund must be provided, and the local authority must produce a third to match the two thirds of Government funding with disabled persons' grants. Every set of figures shows those counties at a great disadvantage regarding the quality of their services, and that must stop just as much as the underdevelopment of the west from an infrastructural perspective. I present that argument as a counterbalance, since it is important.

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