Richard Bruton (Dublin North Central, Fine Gael)

I am disappointed the Minister has not really engaged in the debate on whether we are treating people fairly. He has read out his brief, which I could have written myself. The more interesting question is what the Minister for Finance thinks of the way we treat people who are in the private rented sector.

I do not know if it is different in Offaly but most disadvantaged people who are struggling, working and trying to get by and feeling the pinch, are in the private rented sector. They are really being put upon. Private rents have increased by 12% in the past 12 months, although I am sure the Minister is correct when he states there has been some softening in the past month or two. By and large, rents have been rising very rapidly because of the rising cost of borrowing, etc.

I can take the point made by Deputy Mansergh that with landlords, in any market where a subvention is supplied, demand and supply elasticities will rule. The benefits will be shared and this is inevitable. Rent supplements, a pillar of existing Government policy, are the same. There is no doubt a significant portion of rent supplements has resulted in higher rents paid to landlords. That does not mean we would not intervene to provide support to people who are out of work and would otherwise be out on the street.

Public policy must take a view on this area. I could understand if the Minister was speaking about moving to a house credit system, where money would be paid directly to the individual rather than through the tax code. When the process goes through the tax code, it is at least a good distance away from the landlord and it is not easy for him or her to grab hold of it. As Deputy O'Donnell stated, it also requires the landlord to be compliant for tax purposes.

I put this forward as I have raised the issue with the Minister before. On previous occasions he expressed some interest in considering the matter but in this budget he has moved the goalposts even further away from the person in private rented accommodation. I am a bit disappointed in the Minister's response but this issue will return in the taxation commission report when we see it. As a House, we will have to return to it.

Question, "That the figure proposed to be deleted stand," put and declared carried.

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