Dáil debates

Wednesday, 18 January 2012

3:00 pm

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)

I agree that what the Deputy mentioned in regard to ring-fencing the carbon tax appears logical. The legal advice, however, is that we cannot have hypothecated taxes in the way we do business in this jurisdiction. I remember raising the same point in terms of the Criminal Assets Bureau, CAB, and the drugs barons, to the effect that where moneys are recouped from drug barons by the CAB they ought to go back to the communities where people's lives have been destroyed by the pushing and selling of drugs, and so on. At the time I set up the drugs taskforces, the Attorney General would not permit that, stating it was not possible under our system to earmark a tax in that way. It does, however, go into the general maw of the Exchequer and I have no doubt the Minister for Finance would say it balances out in the end.

The fuel allowance is a matter for the Minister for Social Protection. In answer to the Deputy's question, there has been very little contact between one Department and another down the years. This has led to the rather crazy situation wherein we are spending the kind of money I mentioned on improving thermal efficiency in homes while, at the same time, throughout the past ten years we have spent in the order of €2 billion in fuel allowance which, in many cases, goes up the chimney. It is not the best way to spend money and I do not know how long it will take to reorient that kind of mindset.

After the cut, the fuel allowance applies for 30 weeks. No doubt the Deputy has noticed that since this Government came to office the winter weather is immensely milder - it is like a spring day outside today. That has been one of the big advantages of the change of Government.

Comments

No comments

Log in or join to post a public comment.