Seán Fleming (Laois-Offaly, Fianna Fail) | Oireachtas source

Financial Resolution No. 8 changes the rules on interest rates on benefit-in-kind loans from employers to employees. I hope this is a reflection of the fact that the Minister for Finance expects a reduction in interest rates for other mortgage holders during the coming year. The specified interest rate will be increased from 12.5% to 13.5% for benefit-in-kind loans other than home loans. This will yield the token amount of €1 million. We would not oppose any change in taxation on benefit-in-kind measures.

With regard to Financial Resolution No. 9, last week the House dealt with the new risk equalisation scheme for private health insurance. We all know that the system has changed.

There have been various attempts at that legislation in the past. The new regime is in place. People were getting standard rate tax relief on their health insurance premiums net of the age related equalisation credit. That has now gone and it has been replaced by a new risk equalisation credit under the legislation. The standard rate of tax relief should continue on that basis, and I would support that.

Fianna Fáil supports Financial Resolutions Nos. 8 and 9. We support the contents of Financial Resolution No. 7 but we oppose it on the basis it is far too mild and does not do enough. We oppose Financial Resolution No. 7 on the basis that the Government should have done more on the universal social charge.

See this speech in context