Enda Kenny (Mayo, Fine Gael) | Oireachtas source

I thank Deputy Gerry Adams for his question. I note his comment in respect of young farmers, including hill farmers. I had discussions with the Minister for Agriculture, Food and the Marine, Deputy Simon Coveney, and he is a position to introduce the GLAS scheme, which is an environmental scheme to replace REPS which was ended. The scheme will allow 30,000 farmers to be included for payments in most cases of €5,000 but climbing to €7,000 for some. I acknowledge that there were difficulties in the beginning on flexibility, the requirement for 50% participation of active farmers, issues surrounding the planner who would be involved and where there might or might not be objections. These matters were all attended to following exhaustive consultation between the Minister, his people and the farmers involved. The vast majority of those particular problems have been ironed out. I am going to Brussels later this week and hope to meet the Commissioner for Agriculture and Rural Development. I would like to think that the application forms for GLAS can be circulated at a reasonably early date so farmers can see that it is actually in their interest to participate in the scheme, meet the conditions and obtain payment in due course.

Exceptional interest in the Irish agri-sector is now clear arising from the forthcoming lifting on the restrictions on quotas for dairy produce. The Minister has pointed out on a number of occasions that Ireland will become the most productive dairy unit on the planet once the investment in place kicks in and the restrictions are limited. I note the investment yesterday of €25 million at a number of locations around the country and the investment of serious money by a number of innovative food companies, including Glanbia and Kerry Group to name but two. This will have serious implications for up to 5,000 more jobs on farms and in the paddock over the next number of years. I further note to Deputy Adams that the interest among young farmers has changed completely from where it was eight to ten years ago. All agricultural courses are booked up and all agricultural colleges have waiting lists. As a business, farming and the agri-sector has become the No. 1 choice of many young people who can see the future ahead. In a broader sense, it is expected that 10 billion people will have to be fed worldwide by 2050 which means food production, food quality and food integrity will be very important in this country. I hope the platform now in place will add greatly to that.

Deputy Adams mentioned the FEMPI legislation.

The Minister for Public Expenditure and Reform, Deputy Brendan Howlin, has signalled his intention to begin this year the engagement with the trade unions on a successor to the Haddington Road agreement on pay and further structural reform. These discussions will not be without their difficulties. While I note the comment of Mr. Jack O'Connor of SIPTU, there is an agreement that was accepted by the vast majority of the trade unions and which lasts until July 2016 and I expect both sides to honour it.

The Minister for Finance, Deputy Michael Noonan, is to deal with taxation issues as the year proceeds. The Government approved the terms of reference for a low pay commission, which will be under the aegis of the Minister for Jobs, Enterprise and Innovation, Deputy Richard Bruton, and handled by the Minister of State, Deputy Gerald Nash. He has placed the public advertisements for expressions of interest to serve on the board of the commission and I expect the first meeting to take place around the end of February. I expect the commission to report before the end of the summer and the Government will act on the report in the best interests of everybody.

The Government expects to have 500,000 removed from the USC net in the forthcoming budget in October. This will be an increase of 80,000 on the current number of 420,000. As the Deputy knows, the Government reversed the previous Government’s reduction in the minimum wage. Many of the changes in social protection are focused on the lower paid or those on social protection payments. The two lower rates of USC were reduced for lower paid workers. In respect of those in receipt of social protection payments, we want to make it very clear that it should always pay to work. The establishment of the Intreo offices allows for a much better presentation of the experience and profile of those who are on the live register and drawing social protection payments but who wish to work. Some 140,000 left the live register last year. The figures to be published tomorrow are very encouraging and heading in the right direction.

The Government has made it clear that a person who returns to work will retain his or her medical card for three years. The housing assistance payment will be tapered over a period; therefore, there will not be a sudden break with the assistance of which a person is in receipt. The Minister for Social Protection, Deputy Joan Burton, has increased child benefit and the child support payment of €30 per week will be paid to persons who wish to return to work. Employers clearly are favouring the JobsPlus scheme which gives them a contribution of €10,000 for the support of workers whom they employ and who have been out of work for longer than two years. This is a strong trend. As the fragile economy continues to gather strength, we hope that during 2015 the figures will continue to improve. The line of inward investment is very strong; exports have never been stronger and it is much easier to set up a business.

Ministers have worked very hard to establish new credit facilities for small and medium enterprises in order that these entities can hire new staff and expand their businesses. There is support for those in the retail sector to get online, while local enterprise offices in the local authorities operate as one stop shops. These initiatives are all focused on increasing employment, which is the key to getting out of poverty and the difficulties in which many people have found themselves. The two anchors for the Government are fixing the finances and putting people back to work. The Minister for Finance, Deputy Michael Noonan will leave shortly to comment on Ireland’s first ever sale of 30-year bonds and give the details of what it means and will mean for the future. The Minister for Public Expenditure and Reform, Deputy Brendan Howlin, will engage with the trade unions on the successor to the Haddington Road agreement on pay and structural reform in order that we can continue in the good direction in which the country is heading, given that it is still fragile and we still have a distance to travel.

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