Catherine Murphy (Kildare North, Independent) | Oireachtas source

The budget today has been framed with a particular reference point, namely the 2011 programme for Government and the expectations of the electorate that there would be a game-changing renegotiation of our debt. I agree with the statement made by the Minister, Deputy Noonan, in 2009 when he said, "What legal or moral compulsion is on Ireland, however, to honour in full debt incurred by Irish banks when there was no State involvement in the arrangements? ... It is obscene that liability for these loans is now being transferred to the Irish taxpayer, in many respects to the poorest of Irish taxpayers."

Today we are still liable for every red cent for which we were liable in 2011. The current CSO debt estimate in today's budget book is €215 billion or 123% of GDP, with 120% regarded as an unsustainable debt. The budget document goes into detail about economic risks. As we know, we do not have anything to fall back on because the National Pensions Reserve Fund has been decimated. Our huge bank debt, together with the weaknesses in the eurozone, poses a risk because of our trade dependency. When one examines it, that is what the Budget Statement states. The extent of debt is a limiting factor. It is a part of the reason the austerity measures, including Irish Water, have been imposed.

Irish Water is yet another three card trick being played by the Government regarding budgetary arithmetic. The Government is starting to realise that people have been pushed beyond breaking point. It pushed 100,000 people onto the streets on Saturday and now there is an obvious sense of panic. All the talk today is about the tax credit for Irish Water bills, but the Government has not stated that it is part of the budgetary arithmetic. It is why the deficit is set where it is. It is operating on the expectation of getting income from people who are forced to pay water charges. People who get €100 credit on a €500 bill will still have a bill of €400, something they realise very clearly. The tax relief is recent and has everything to do with 100,000 people taking to the streets.

The introduction of a tax credit now has a significant bearing on data protection legislation, specifically section 2 of the Act which requires the Government to utilise all available personal information before requesting new data. If we can facilitate Irish Water allowances through tax credits, why would people need to provide PPS numbers? In fact, it is illegal to do so. If that is the case then all the Irish Water packs which have been sent out could be requesting PPS information illegally.

Our public services are at breaking point. Children are being dosed with antibiotics for simple conditions such as tonsillitis because they have to wait years to have their tonsils removed. Others are waiting in pain for hip replacements while theatres remain out of operation. We were told today that there would be no increase in class sizes. How can there be increases in class sizes? I do not know if a member of Government has visited any school recently. There is a campaign called Room to Bloom, but there is no room to move in many classes which have 30 or 35 children in them. The measure only takes account of the baby boom.

I welcome any announcement of an increase in house building, in particular social housing. However, the numbers are tiny and are more than offset by the reduction in rent assistance which is buried in the budgetary figures and will only add to the homeless problem. The fundamental requirement of a progressive tax system is that those who can bear the most pay the most. This is not a just tax system and there is no evidence of the Labour Party in the budget, which is shameful.

The response to the budget involves being corralled into accepting that we are where we are. On Saturday I and many hundreds of thousands of people woke up. We are refusing to accept that we are so limited. The debt is the largest limiting factor.

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