Finian McGrath (Dublin North Central, Independent)

I thank the Acting Chairman for the opportunity to speak on this important motion of confidence in the Government. Before I go into the details of my own political perspective on the economic issues, I wish to congratulate Deputy George Lee and warmly welcome Deputy Maureen O'Sullivan to the Oireachtas. From a personal point of view, it is a very sad day when we all remember Tony Gregory but the important point to remember is that his tradition continues with Deputy Maureen O'Sullivan in the House. The people in need, disadvantaged communities, children with special needs, children with disabilities, people on housing lists, people coming from severely disadvantaged backgrounds, have a voice in Dáil Éireann with Deputy Maureen O'Sullivan. I will work very closely with her and with Deputy Joe Behan and other people in the House who have the same political agenda.

We must not play politics with this national economic crisis as we need ideas and suggestions to resolve this very serious economic mess. I will give an independent view and just as in the past, I will set out my stall to resolve these issues. There are three ways of tackling the current issue. We have to deal with the public finances and with the taxation issue and we must respond to the jobs crisis. Sensible spending on the weaker sections of society is always top of my political agenda. They should never be made to pay for the sins of the reckless over the past five or six years. Sadly, that is what is happening now. Our people have lost confidence. I do not say this in a personal way but the Government must accept responsibility for the substantial mistakes and some of the recent decisions. As Deputy Behan said, attacking elderly people and children with special needs is never an option. If we have to fund these services, by all means let us increase taxation and go for it but we must not attack elderly senior citizens, children with disabilities and people on medical cards.

I welcome some of the comments made by Deputy George Lee, who spoke as an economist. He said that economists do not have all the solutions. I welcome that because we must all work together to resolve the financial and employment issues. Deputy Lee also said that people should not be so arrogant as to believe they have all the solutions. That is an important statement. In recent weeks I have talked to many people, so-called experts, and have heard different views, visions and solutions from them. I remind the Minister of State, Deputy John Curran, that there have been times in this House when I voted on issues, not by voting against the Government but by looking at the national issues in the national interest. There were many other times when I voted against the Government because I was very annoyed and felt let down by what was happening.

This is an important time for our country and our economy and is a very important time for our citizens. People are worried and fearful and need confidence and trust. Politicians, from the backbencher to the most senior spokesperson to the Taoiseach must lead. To start with, all Deputies and Senators should have taken a voluntary 10% pay cut. Ministers and some Ministers of State have done so but everybody should have taken the hit. The rest of us must do it also. It is all very well giving lectures in the House on the economic cuts but it is time for all Deputies to put up or shut up and this is where we start.

It is wrong for people to say that those of us in Opposition did not put forward suggestions. Before I talk about this in more detail, I challenge those who call for more patriotism. My patriotism does not include hammering low-paid workers, the elderly, the sick and the disabled and young children. That is part of my agenda and that is why I was elected in Dublin North Central in 2007.

There are always creative ways to fund matters. In recent months people have taken difficult decisions in the interests of the country and have put forward ways to resolve the issues in question. Many sensible points have been made by Members of the House in respect of taxation. If it is necessary, we must go for this option and increase taxes. There have been positive suggestions also with regard to creating jobs and dealing with the banking and financial issues. This is very important. The Commission on Taxation is sitting at present but we should not bottle out of putting a tax on people who have a second house. I do not say "home" because everybody has one home but some people have second houses and I would slap €600 per house on these as a way of funding services for people with disabilities or to deal with other issues.

The matter of tax shelters and exiles must be confronted but we must also examine tax on profits and investments and must be brave enough to broaden the tax base. Everybody should contribute in the economic downturn, no matter how small the contribution. I told the Taoiseach we must get the social partners back on board and support positive proposals in the social solidarity pact from the Irish Congress of Trade Unions. I welcome recent developments whereby people are sitting down and discussing this.

There is a pool of talent in this country that wants to serve our nation in difficult times and I have met these people in recent months. My clinics have been full to the door with people who have been laid off, small business people with creative ideas on business, rates, taxation and developing this economy. Ministers, particularly Ministers of State who might have extra time, should meet such people and not turn their backs on them. Many of them have fantastic ideas. They might employ only between 16 and 23 people but that is a very important step in any local community and so it is important that we listen to them.

Unemployment will average approximately 12% in 2009 and our exports will decline by 6%. I told the Taoiseach he must be straight with the people because then they will rally, which is important. The Taoiseach should have given a national address to the people. It is all very well making the odd good speech in the House but the Taoiseach should have gone on national television and made a statement, laying out his stall with the facts and some solutions. He would have had some sensible reactions to this.

It is important that we get the balance right between cuts, taxation and capital projects. I say this to all Ministers and to the Minister for Energy, Communications and Natural Resources, Deputy Ryan in particular, because in the past we both shared much of our political vision. If necessary, we must look at some capital projects that are costing billions. We must focus also on jobs as a way out of the crisis. In recent months, for example, the SR Technics issue was appalling. It was aviation vandalism. We lost a jewel in the crown because of €20 million. Ultimately this will cost the taxpayer approximately €40 million in redundancies, unemployment benefits and supporting families in crisis.

SR Technics goes off to Zurich. What will it do when it gets there? It will increase its prices for servicing aeroplanes. I raised this matter in the House many times. SR Technics is a major loss to the country. Even at this late hour, I call on the Government, the IDA and the Department of Enterprise, Trade and Employment to support the proposal to invest €20 million, save the 1,135 jobs and protect a vital national industry. Ireland is an island and we need aeroplanes for our economy, for exports and for our people. Let us wake up and look at the reality. We need people to service these aeroplanes and we need the service to be in Dublin. How dare anybody let it fall away and go to Zurich. In addition, Fingal County Council will lose €1.5 million in rates when SR Technics closes. It is another local council that deserves a break. It is economic madness to put quality people such as these on the dole. The company has already had numbers of expressions of interest. It is important that we take action.

We must also face reality and support small businesses and their people. With regard to small businesses, everybody in the State should do their best to support businesses in their own community. By doing so, they support people in jobs in their own area and increased VAT goes into the Exchequer. I will not take lectures on this from any political party. Recently, for example, some political parties had their posters published abroad to save a few extra euro when they could have had them printed in Dublin or with small businesses who do this work. I will not take lectures from any party that speaks about jobs but turns its back on the small businesses that need such work. It is important too to deal with this matter.

Deputies Behan and O'Sullivan mentioned education and special needs. At present we are training hundreds of young student teachers to go into classrooms. They are finishing up in coming weeks and will be unemployed, will not pay any tax and will not be in the tax system. If we had them working with children with special needs and in our large classrooms they would generate a spin-off effect into their communities. That would be money well spent, beyond the value of the service they would provide.

We should also look at some of the ideas that come from people in areas outside politics, whether in business or the trade union sector. The former president of the INTO, my own union, put forward a sensible idea with regard to people working together to create jobs, investment, education and support these issues. We should have a broader sense of community. These are the issues that must be resolved. It is wrong for Ministers to state in this House that people have not proposed sensible suggestions.

We must look seriously at one issue in particular, namely, debt. There has been much comment recently about the debt levels of Irish households and the difficulty faced by firms in getting credit from the banks. In this context we must look at debt levels since 2007. At the end of April 2009, Irish households and firms owed almost €393.5 billion. This includes €148 billion for mortgages, €2,896.2 million on credit cards, €168 billion owed to firms and €29 billion for non-mortgage debts to households. Private sector credit fell in April for the second month in a row. It has fallen by approximately €11 billion since November 2008. In contrast, mortgage lending continued to grow until 2009, when it fell by €100 million in March. This fall was the first time that mortgage lending was recorded as falling since the series started in 1990.

I wished to raise the issue of unemployment which is a major issue, but do not have the time to do so now. People are losing faith and confidence in the Government. Over the past couple of months people on the doorsteps told me they want to see new ideas.

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