Joe Costello (Dublin Central, Labour)

The Government took the wrong choices because the savings it is making from all these measures is very small when compared with what it could get, were it to make the right choices. Why did the Government not introduce the abolition of the property tax reliefs before 2014? Why not abolish them all now? Why not deal further with the pensions? Why fail to touch the tax exiles, as was promised in the last budget? I refer to 7,000 people, virtually all of whom are millionaires, who still jet in and out of the country. They have not been touched and are not paying a penny in tax this year, any more than they did last year. Choices are available and although the Minister may justify the reason he was obliged to hit the less well-off all the time, it is mere political justification with no basis to it whatsoever.

Why could the Government not have adopted the Labour Party's suggestion to introduce a new tax rate of 48%? Why did the Government not change the tax rates, which would have been a much fairer choice to make? These all are political choices that relate to which sector and segment of the community will be hit hardest. Instead, the Government still protects the high earners and its friends in the property business. It still protects the influential and the most well-off in this society. With these measures it is hitting the least well off and the most vulnerable, whether it is carers, the blind, widows or lone parents. Members should consider the poor lone parent who is trying to escape from the poverty trap. Assuming that such a person is also in receipt of a half-carer's allowance, he or she will be hit twice. In addition, such a parent also will be hit, after earning less than €80 per week, by the new universal social charge. The Minister will pauperise and impoverish those who already are on the edge. These are the choices and the Minister should admit that this is what this Social Welfare Bill is all about.

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