John Browne (Wexford, Fianna Fail)

I thank Deputy Cowen for sharing time. Everywhere one went during the recent general election campaign, one heard all about Fine Gael's five-point plan to solve this country's problems, the Labour Party's plan to establish a strategic investment bank and Fine Gael's NewERA document. It was suggested that a combination of the three proposals would solve all the problems of this country but unfortunately, they have been binned or put on the back burner. I suppose that is where they will remain during the lifetime of this Government.

The job creation announcement by the Minister for Finance during the week was very mild. He blamed the previous Government for the current Government's lack of money. Fine Gael and the Labour Party were aware of this country's financial constraints when they made their promises during the general election campaign. Every time one looked at the television, one saw Deputy Burton, Deputy Noonan or Deputy English going in or out of the Department of Finance. They seemed to be getting briefed practically every other day. I am sure they were briefed honourably and honestly by the officials in that Department. Even if they did not accept the bona fides of the then Minister for Finance, I imagine the departmental officials would have made them aware of the situation. Nevertheless, they continued to make many ill-founded promises.

Although I welcome some aspects of the announcement that was made by the Minister, Deputy Noonan, I am concerned about the introduction of a new pension levy. While I am not a financial guru, I am sure Deputy Mathews, whom I have heard speak on television many times, is well aware of the position with regard to the levy on pension funds. Perhaps he will provide an explanation of the levy if he contributes to the debate. I read yesterday that the levy is illogical and today's newspapers indicate it will be a tax on what were described as the "little people" as the rich will be able to move their funds out of the country. Will the Minister clarify whether it is possible, as Charlie Weston, the personal finance editor of the Irish Independent, has stated, for holders of larger pensions to move their funds to Malta and other countries, leaving only the little people to pay the levy? The measure appears to be illogical and ill thought out. It is an unfair attack on the savings accumulated by workers over the years.

Pensions have already been reduced, as Deputy Ross noted last night, through poor management by greedy private sector pension companies. It has been stated that the levy will cost private pension funds €1.9 billion over the next four years. I ask the Minister to clarify whether it will be possible for pensions to be moved out of the country and, if so, how he intends to address the issue. We do not want bigger players in the market to be able to move pensions abroad to avoid the levy while smaller players pay. This is what the Minister had in mind when he proposed a levy on pension funds. He must clearly spell out the position.

I welcome the initiative on the tourism sector which has the potential to expand significantly. The industry has suffered badly in recent years, especially as a result of a sharp decline in the numbers of tourists from the United Kingdom. People in County Wexford in the sunny south-east, which is close to the United Kingdom, have noted an alarming decline in the number of UK visitors. This begs the question as to whether the tourism bodies, which continue to receive substantial Government funding, are doing their job properly. I wonder whether their promotions are outmoded and if they are doing enough to attract visitors from the United Kingdom market which is on our doorstep. Ireland can be reached from Britain in a few hours by sea and only 30 minutes by air. For these reasons, I welcome reductions in the lower rate of VAT and other measures to encourage the hospitality and other sectors to reduce prices. Restaurants and leisure facilities have experienced difficult times recently.

Bank lending is a cause of grave concern for small businesses employing between three and five people. Many business people are visiting my clinics, as I am sure they are visiting the clinics of Deputies from all sides, to express concern about the manner in which they are being treated by banks. Businesses with a good credit rating are unable to avail of top-up loans and are having their overdraft facilities reduced. Many business people have informed me that they are functioning as bankers as they cannot afford to lodge cash from customers in their banks because such funds would be used to further reduce overdrafts and loans. As a result, many of them are operating outside the banking system. This Government must address this issue. While I am aware that it is trying to do so, many businesses will go to the wall if decisions are not taken quickly in respect of this aspect of banking.

On farming and food, the 20-20 Vision strategy produced by the Department of Agriculture, Fisheries and Food envisages significant expansion of the food and agriculture sectors in the next ten years. Despite this, the Minister's document did not make a single reference to the food sector. Agriculture and the marine have a tremendous potential to create hundreds of new jobs. The Government promised that a single Irish food label would be introduced to emphasise Ireland's ability to provide green, quality and healthy food. What is the current position in this regard? Will the Minister for Agriculture, Fisheries and Food outline his plans in this area? I am not criticising him but alerting him to the opportunities available to the food sector to exploit large markets in Europe and further afield. We should promote the food and marine sectors as a means of creating jobs.

In recent weeks, the Department has prevented local development companies, including the Wexford LDC, from promoting food projects. Surely this is not a move in the right direction. Until recently, local development companies were able to provide grants for cheese-making, jam production and other activities related to farming and rural development. For some unknown reason, bureaucrats in the Departments of Finance, Agriculture, Fisheries and Food and Environment, Community and Local Government recently decided to issue a circular stating that local development companies may no longer provide funding to incentivise food projects. The Minister for the Environment, Community and Local Government, Deputy Hogan, must address this issue.

I welcome the Government's decision to provide an additional few million euro for this year's summer works scheme. The good thing about the scheme is that local builders rather than contractors from other areas or outside the country usually secure the contracts to carry out the relevant works.

Red tape and regulations are destroying the potential for job creation. The National Employment Rights Authority, NERA, is a quango to which the Minister of State, Deputy Hayes, has referred on previous occasions. NERA is accusing companies of not paying proper wages, even in cases where the company in question has agreed a wage rate with its workers. It is informing such companies that they may not agree wage rates with workers, even if both parties are satisfied with them, but must pay a specified rate. In many cases, to do so would put the company out of business and create further losses. The role of the National Employment Rights Authority should be examined. The Minister without Portfolio, Deputy Howlin, has been contacted by individuals in County Wexford on the matter and has agreed to examine it to ascertain what action can be taken. This issue has created major concern.

While the measures introduced by the Government are a welcome step in the right direction, more could have been done. I look forward to more of the promises made by the Fine Gael Party and Labour Party during the election campaign being implemented in the coming months.

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