Enda Kenny (Mayo, Fine Gael)

The levy imposed on pension funds and the industry is modest at 2.4% over four years. Contributors to pension funds were also heavily subsidised over many years. As this is a temporary levy, it is designed to be specifically directed at sectors where employment can be created.

Alternatives to this levy, as raised by Deputy Shane Ross, are a matter that can be discussed at the finance committee and in the Dáil when the comprehensive expenditure review is completed and preparations begin for the 2012 budget. As I already indicated, the preparation for the 2012 budgetary process will be very different to those in the past. Deputies will have an opportunity to give their views well in advance on proposals such as that made by Deputy Shane Ross.

There may be some merit in Deputy Shane Ross's point about an alternative levy. The Government, however, took its decision in this case to impose the levy in this way for a temporary period. I have pointed out the reasons why this was done and the opportunities that will spring from it.

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