Dáil debates

Thursday, 3 December 2009

9:00 am

Photo of Joan BurtonJoan Burton (Dublin West, Labour)

The Pre-Budget Outlook the Minister mentioned forecast that a further 75,000 jobs will be lost in 2010. In the context of the figures, has the Minister any plans to address the personal tragedies for many of those 75,000 persons?

In particular, the Minister noted that income taxes are down significantly. Does he have any plans to get people back to work and thereby increase the income tax take? As he will be aware, with every person who loses a job the loss to the Exchequer is approximately €10,000 in terms of various tax contributions and PRSI whereas the cost of social welfare is likely to be at least €10,000, and the net cost-loss to the Exchequer is at least €20,000. In the context of the Pre-Budget Outlook and the Exchequer figures, is that still the Minister's forecast? What does he expect net emigration to be?

The Minister mentioned specifically VAT. VAT is down approximately €800 million, according to yesterday's figures. Does he now accept that his decision to put a half-point last year in the first budget for 2009 on the VAT rate bringing it to 21.5% was one of the most disastrous decisions he made and that it drove people north of the Border in droves to shop and look for better value? Has the Minister given any consideration to measures that might attract shoppers back? The Minister is strong on appealing to patriotic duty, but that does not butter too many parsnips when prices in the North can be 60% cheaper. I would like the Minister to address those issues.

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