Dáil debates

Wednesday, 20 February 2013

Finance Bill 2013: Second Stage (Resumed)

 

8:25 pm

Photo of Michael MoynihanMichael Moynihan (Cork North West, Fianna Fail) | Oireachtas source

I will share time with Deputy Robert Troy.

In my 15 years as a Member of the Oireachtas I have never referred to a colleague's speech. However, having listened for 20 minutes to the previous contribution, I would like to correct a few errors. If the Opposition is engaging in auction politics, we learned to do so from the masters. Until two years ago, when my party was in government, the Opposition offered a panacea and quick fix solution to every problem that had to be addressed. If we are to be accused of doing down the Government, we learned to do so from the Labour Party which told us the country was banjaxed before deciding to lecture us about wearing the green jersey. If we are to be challenged about elections, we have a long way to go to be only half as good as the Labour Party was prior to the 2011 general election.

Deputy Durkan raised the issue of the abolition of rates in 1977. Before the Fianna Fáil Party manifesto was launched, the outgoing Labour Party-Fine Gael Government had reduced rates by 75% and promised to abolish the remainder if it was returned to power.

As to Deputy Durkan's point on the weather, in late April 2011 following a beautiful month of weather, the Deputy stated the reason the weather was so good was the change of Government. I did not hear him claim any credit for the weather last summer.

It sticks in the craw to hear a Government state we should wear the green jersey. No such obligation applied to the Labour Party and Fine Gael during the three years of austerity between 2008 and 2011 when they constantly did down the then Government. It did not matter to them what reputation they tarnished.

I did not intend to use my contribution on the Finance Bill to challenge the Government on any of the issues because we can contribute more by outlining our concerns.

Deputy Bernard Durkan would have loved to have had 33 more minutes. We were going to give them to him in order that we could listen - let us be honest - to his diatribe.

I will raise a number of issues pertaining to farming and taxation measures for farm partnerships. Dairy partnerships and the relevant taxation measures were introduced in 1989. It was indicated in the budget that such measures would be extended to beef and sheep farms. The provision is loosely outlined in the Bill and will be detailed in regulations. The need for this extension is considerable, given the large number of people, including families, involved in beef production who would benefit significantly. People with and without families should be treated identically under the farm partnerships scheme. I hope the Minister of State, Deputy Alan Kelly, will take my points to the Minister. Where taxation on land leasing arrangements is concerned, there was a tendency to treat non-farm leasing arrangements more beneficially than those for farm leasing. This was meant to encourage elderly farmers to lease land to younger people. However, family circumstances were omitted, despite the large number of people involved.

The rural hinterland faces a significant issue. Considerable pain is being felt in the retail sector because people are not spending. Shops are closing in provincial and major towns. In terms of the Minister of State's area of responsibility, information on the rural transport initiative was leaked last weekend. I hope I have understood the information correctly, as it means the initiative will not be removed from Leader companies, local partnership companies and county councils. However, the Minister of State might correct me if I am wrong. Retaining it would be welcome, as it has been very beneficial across the country, particularly for elderly people and rural communities.

The attitude of the past 25 or 35 years is the main issue, in that young people are not moving into rural areas in the west or my constituency. Someone told me that no one above the age of 45 years would be left in one of the provincial towns that I represented. We need to consider this issue.

Every Deputy is constantly being told about banks not lending to small business people and businesses being under savage pressure. Although there have been many initiatives, they have not tackled the problems. Banks report that they are lending to small businesses, but they certainly are not. People who have been refused financing attend public representatives' offices everyday. In some cases, the Credit Review Office has come down against the banks and allowed the application for credit to go through, which must be welcomed. However, this issue needs greater targeting.

Two weeks ago the House discussed the restructuring of the promissory notes and so forth. We meet people in our clinics who are not receiving credit, mortgages and so on from banks, even though they appear to have good credit ratings. They might be young people on a solid financial footing.

I hope the issue of farm partnerships will be addressed. I also hope start-up artisan food companies will get the credit they are seeking. Evidence shows that nearly 80% of start-up food companies will still be in existence ten or 15 years later. It is one of the sectors that has been successful in having firms stay in business, although I do not know whether it is because they do their homework before starting. There are many such companies and they have been able to avail of some funding. There are many any good ideas.

The Minister of State might clarify the issue of the rural transport initiative. I hope what we are hearing is correct.

I wish to address another matter. I needed to use my time to respond to what the previous speaker said. Wind energy is an emerging issue, particularly in the midlands. The opposition to wind turbines has built up a head of steam and such debates can become divisive in communities. The Department of Finance, the Government and the Oireachtas as a whole need to consider the matter. Communities in my constituency that had been united on a raft of issues for generations divided completely on this one.

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