Clare Daly (Dublin North, Socialist Party)

I move amendment No. 2:

In page 6, subsection (2), between lines 2 and 3, to insert the following:

"(f) homes purchased under local authority Affordable Housing Schemes;

(g) homes on which stamp duty has been paid from January 1st 2003 up unto December 31st 2011;

(h) homes purchased through Shared Ownership Schemes;

(i) homes affected by pyrite.".

The Minister claimed the household charge is an interim measure as it will disappear in the future. People realise it is, in fact, the first step to a much heftier form of taxation. Contrary to the Minister's claim that the moneys raised by the charge will be ring-fenced for local authorities and is a positive development, the reality is the Government has slashed local authority budgets by more than will be raised by the household charge.

The other reason for this charge is not that ordinary people have not paid for their public services. In fact, they have consistently paid for them. The Government, however, has decided to divert those moneys to pay unsecured bondholders. It has also refused to tax the very wealthy in society.

We have a principled objection to this regressive and punitive taxation. Even those who do not have a principled opposition to this charge will agree many categories should be excluded from it. The Minister of State, the Minister, Deputy Hogan, and the Taoiseach this morning in reply to Deputy Higgins read out long lists of those excluded from this charge when in fact hardly anyone is excluded from it. Those on mortgage interest supplement, those living in ghost estates and tenants are the only ones excluded from this charge. While the Bill states the owner of the property is liable, many landlords are struggling and there is much evidence they will pass this charge on to their tenants.

The majority of households will be targeted. All Members have received e-mails and communications in the past week from various categories of household, such as those on disability allowance, social welfare and the State old age pension, struggling to make ends meet on €200 a week who will not be able to pay the charge. In the interest of fairness, they should be excluded from the charge. Instead, the Government is targeting them to pay a similar amount to that paid by those living in millionaire mansions on Ailesbury Road.

This amendment also proposes to extend exemptions to those who purchased their homes under local authority affordable housing schemes and shared ownership schemes. To apply the charge to those whose houses are in negative equity is just a joke. They should also be excluded from the charge.

The Government has feigned concern for those whose homes are affected by pyrite. Their houses are valueless because they will never be able to sell them as no institution will give a mortgage to buy such a property. In many instances, insurance companies will not cover the home owners who face bills of thousands of euro to rectify their houses. This category must also be excluded from this charge.

The Minister of State claimed there is an exceptional circumstances opt-out clause for local authorities but I cannot find it.

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