Dáil debates

Wednesday, 26 November 2008

Finance (No. 2) Bill 2008: Second Stage (Resumed)

 

6:00 pm

Photo of Andrew DoyleAndrew Doyle (Wicklow, Fine Gael)

The Government has reduced funding for research, agriculture and job creation. In education, funding was provided in recent years for such noble and innovative initiatives as the applied leaving certificate programme, the Traveller's book allowance scheme and the transition year programme. All these initiatives enhance educational prospects for children who might not otherwise remain in the school system. All now face significant reductions in funding.

We should go back to basics. Instead of being part of the problem from the point of view of overproduction, greenhouse gas emissions and so on, we should look to be part of the solution. People will need food and pharmaceutical products into the future. We can obtain an advantage by investing further in research and development into cutting-edge technologies. The Minister of State at the Department of Enterprise, Trade and Employment, Deputy Devins, recently attended the launch of a research and development facility for Oriflame, a Swedish cosmetics company, in Bray. It is heartening to know that almost every Irish employee in that company received their third level education in an Irish institution. The reason Oriflame has invested in Ireland is the availability of that level of expertise in a workforce which has come through the Irish education system. We have an edge on other countries in this area and it is something we must develop. Many Irish companies in this sector remain at the head of the field.

In regard to agriculture, we have in Professor Gerry Boyle an excellent director of Teagasc. His vision for 2030 shows his ability to drive the industry forward. We should encourage the transfer of as much information as possible to as many young and energetic trained farmers as possible. Instead, however, we have imposed roadblocks in their path, with the installation aid grant being abolished — or suspended, as we are told — and the restrictions in the early retirement scheme. Currently, only 8% of farmed land is farmed by farmers under the age of 35. It is likely that only half that figure would have been achieved in the absence of these schemes. We should try to trade our way out of the current difficulties rather than sitting in the middle of the road waiting for somebody to bail us out.

I agree with Deputy Flynn that increasing development levies at this time is not the ideal solution. Wicklow County Council was faced with a catch-22 situation in this regard when it could not install a water scheme for Arklow without doubling the class two levy because the required funding was not forthcoming from the Department of the Environment, Heritage and Local Government. Adding to the costs will not stimulate activity. It would be normal in such a situation to emulate a commercial trader by offering an incentive to encourage people to spend. However, the opposite approach is being taken.

There is speculation that the Minister for Finance will introduce a mini budget in February. I submit that this is the mini budget and that the real budget will be introduced in February.

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