Dáil debates

Tuesday, 14 October 2008

Financial Resolution No. 8: Excise Duty (Betting Tax)

 

9:00 pm

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)

It is beyond belief when one considers that 8 cent will be added to the price of a litre of petrol. The price of oil is falling at present, partly as a result of the financial turmoil. However, there has not been a commensurate decrease in the price charged for petrol and diesel at filling stations. The Government is now going to drive the price up again by imposing this 8 cent increase. People need their cars to travel to work or to bring their children to their places of education. As Deputy Durkan stated, these people have no alternative and yet the Government is piling on increases willy-nilly.

The Government is going to tip the economy over altogether. For months it denied that the economy was in recession. As the Tánaiste knows, we are now in recession and the Government will tip us over into a depression with the amount of money it is taking out of the economy through the options taken in this budget.

Will the Tánaiste tell us the cumulative effect on the consumer price index of the group of resolutions before us? What do they cost and what will they add to the CPI? Will the Tánaiste explain how the betting tax will be collected and whether it is simply a doubling of the existing 1% charge?

The tobacco and alcohol levies will make a significant enough contribution to the CPI but it would be hard to oppose those measures for arguments that are well known. Representatives of the Irish Cancer Society were in the House recently and several of the Tánaiste's colleagues met them. The representatives argued for a steeper increase in the tax on cigarettes. I am very doubtful about the argument that was advanced to them about such a measure enhancing smuggling in the Republic.

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