Eamon Gilmore (Dún Laoghaire, Labour)

There are two questions I wish to pursue with the Taoiseach. He stated this cross-departmental team held its last meeting this morning. On how many occasions has the cross-departmental team met since this question was last asked in the House on 27 February last?

Second, can I briefly pursue with the Taoiseach his response in respect of the residential construction sector? As I understood it, he stated he would adopt a wait and see attitude to residential construction output and its implications. He stated that he expected output of approximately 77,000 units this year, which would be reasonably good. If, however, as is predicted, the output for 2008 will be down to approximately 45,000, then residential construction output in 2008 will be approximately half that in 2006. That will obviously have major implications for the levels of employment in residential construction, builders' suppliers, revenues etc. In that context, I am a little surprised to hear the Taoiseach state there is a wait and see attitude and I ask what consideration has the cross-departmental team, the Government generally or the Taoiseach given to the consequences of a downturn in residential construction activity from 90,000 units last year to 45,000 next year, if that is what transpires. What are the implications for employment in residential construction and for tax revenues for the State in terms of income tax, VAT on building materials and stamp duties on transactions, what are the implications in terms of the social welfare budget if there is a significant reduction in the number of people employed in construction activity, and what generally are the consequences for the economy because it has been very heavily dependent on construction activity? As the projections are that output will fall from 90,000 units last year to 45,000 units next year and I am a little surprised to hear a wait and see attitude being adopted, I would like to know what anticipation is being given to a move of that kind and what are the implications.

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