Michael Noonan (Limerick East, Fine Gael)

When the Minister replies, he might tell us what specific welfare adjustments he intends for the Social Welfare Bill before Christmas and how much he is leaving behind out of the kindness of his heart as adjustments for an incoming Government.

The cuts in expenditure are revealing. The political discussion in Cabinet was clearly centered on what to do on taxation and on welfare. I am sure that is well specified, although the full hand has not been shown in the plan. The expenditure profiles for 2011 have been carefully worked out because it would not be possible to bring in a credible budget without them. This is like the residue of a will. There is a big chunk of expenditure cuts, approximately €7.5 billion, which are effectively unspecified and have no policy decisions underpinning them. There is just a series of departmental tables taking out chunks of money. This is a clever way of doing it but if anybody thinks in analysing this document that it explains how €15 billion in savings will be arrived at, it does not; it explains about half of it. The other half refers only to, say, the Department of Health and Children or the Department of Defence where it will be a case of removing a big sum of money. It is revealing of the process which went on in Government.

I have two other points to make on the global figures. First, it seems the correction is not €6 billion but €5.3 billion because €700 million is included for the sale of State assets. This is clever, and I presume it has the permission of the Commission. This sum is being transferred across as a dividend to the Exchequer so it can be included in the figure. Therefore, €6 billion is now €5.3 billion, which will be good news for the Labour Party as it is coming down towards its €4.5 billion. They are closing the gap.

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