Gerry Adams (Louth, Sinn Fein)

I am somewhat disappointed that the Acting Chairman is the only Labour Party Member in the Chamber. While we can say what we want about Fine Gael, it is deeply disappointing that the Labour Party has aligned itself with the universal social charge. In December Deputy Shortall, now Minister of State at the Department of Health and Children, described it as little more than a working poor tax. She said it was a blatant and unjustifiable attack on the poor.

Throughout the general election campaign and since I have met many people in deep stress - people out of work, elderly people, people trying to rear young families, people in negative equity and in difficulties paying their mortgages. Other Teachtaí Dála - not just Sinn Féin Teachtaí Dála - have talked of having the exact same experience of meeting citizens in deep distress. One young mother told me she had a choice of either paying a bill or paying for food and, of course, she paid for the food. These are the people this tax hits the hardest.

During the general election campaign we said Sinn Féin would campaign to have this tax abolished and we kick-started that campaign today. We should not have to do this; it should not be necessary to have such a campaign. In a republic it should not be necessary to table such motions in this Chamber. I ask members of other parties to represent their constituents. This is not just about the economy, it is also about the type of society in which we live and the political choices we make. A bad Fianna Fáil-led Government made bad decisions in support of or in deference to political and other elites. These decisions obviously favoured the elites, not citizens. This universal social charge is essentially, as Deputy Doherty said, a flat tax. Everyone with an income of more than €16,000 pays at the same rate of 7%. Even those who have as little €77 a week are brought into the tax net. Teachtaí Dála should consider living on such a meagre sum. It breaches the fundamental principle of progressive taxation that those who have the most should pay the most.

The Government has promised a review of this tax and the Minister for Finance has said that it will be done in time for the budget for 2012, but a review is not good enough. Mar a dúirt an Teachta Doherty, ní chuireann sin bia ar an mbord. Labhair mé faoi na daoine bochta agus daoine eile. Tá siad faoi brú. Tá siad faoi strus ar fad. Tá sé an-shoiléir go gcaithfidh muid stad a chur leis an tax seo.

Sometimes the question is asked, I believe simplistically, "Well, how would you raise revenue?" We proposed a third tax band for those earning more than €100,000. Coincidentally, that brings in €410 million which is almost as much as the €420 million that comes in from the universal social charge without the awful social consequences created by it. There has to be some way of starting to socially proof these matters and looking at the facts of the laws that are introduced. As far as I can see - I will be pleased if the Minister can prove the contrary - there is no evidence that this was even considered by the Government despite the fact that it was Labour Party policy until the middle of the general election. It then did a U-turn on the issue.

It is also bad economics. The people who are burdened and oppressed by this charge cannot afford to save money. They have to spend what they have to get by. This will have a punishing effect on all of the small indigenous businesses which are absolutely vital to the regeneration of our economy, in particular the re-employment of our people that will be hardest hit by deflationary policies.

The need to focus on social and economic needs and the purpose of an economy is something which the Government, with some advantage, could cogitate upon. These people are being hit hardest. My take on this is that part of the EU and IMF deal which the Government has bought into comprises austerity packages like this. The Government is compliant and complicit in the further impoverishment of the poorest people, including those who would never have seen themselves as economically vulnerable until now.

There is a better way to get the State out of recession, which we outlined in some detail. There is a better way of dealing with the IMF and the EU deal. I notice that the Government, whatever it does in Europe, is edging towards the Sinn Féin position. All of this comes back to political choices. There is a political choice to be made, namely, to get rid of this tax or maintain it.

Society can divide and social consequences of the tax is that it creates socially disadvantaged, discriminated against, cynical and sceptical people who have no sense of themselves. Out of that comes abuse, alcoholism, drug abuse, domestic violence, domestic abuse, low expectations, low educational attainment and all the rest. These are the seeds that this Government is sowing to once again widen the gap that the Taoiseach quite rightly proclaimed exists between Irish sections of citizens and the political establishment. The gap will not only deepen but will deepen with dire social consequences.

One can be alienated from a political system and still be well educated, articulate and even wealthy but when one is at the very bottom of the ladder with no hope of getting up that is bad for Ireland, our people and the project we are trying to advance in this Chamber. I call for Deputies across all political parties to vote with their heads and their hearts and not on the basis of their party Whip. The Government Deputies should not be ushered like sheep into the lobbies because they have a majority in the Chamber. They should vote decently on this issue and vote to abolish this charge.

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