Dáil debates

Wednesday, 29 April 2015

Spring Economic Statement (Resumed)

 

7:40 pm

Photo of John Paul PhelanJohn Paul Phelan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

I welcome yesterday's spring statement and the information contained in the speeches by the Minister for Finance and the Minister for Public Expenditure and Reform. Like Deputy McHugh, I have been a Member of the Oireachtas for almost 13 years and during my first stint as a Member of Seanad Éireann I was my party's finance spokesperson. I was struck by one of Deputy Noonan's comments yesterday when he referenced the former Minister for Finance, Mr. Charlie McCreevy who famously said "When you have it, you spend it". Many Opposition Deputies in recent years and also during my party's time in opposition have asked, correctly, that the budgetary process be opened up and that there would be more of an opportunity to have a genuine discussion and exchange of views on what should be contained in a budget. Many have argued that budgets should not just be presented in the House as a fait accompli, with Members staying here all night voting on measures that must be voted on before close of business on that day. That is why yesterday's statement is a new departure, even if has been criticised for not containing much in the way of new information. It represents a new opportunity for all parties in the House, as well as others outside the House, to express their views and opinions on what direction the budget at the end of this year should take. That is why it is to be greatly welcomed.

Regarding the aforementioned quote from Mr. McCreevy, I do not think he meant it ironically when he said it. I was sitting at the back of the far side of the Chamber when he said it. Ironically, and rather sadly as we know now, he did not really have it but he still spent it. He saddled the State and its taxpayers with a great deal of debt, which we will be paying off for many years to come. The system of budgetary provision that his Government espoused was based on taxes which were temporary in nature. It was based on taxes from construction and when that collapsed, the difficulties for the Exchequer over the last seven years or eight years and for every family, business and individual, became very obvious. That is why I welcome the opportunity to have a discussion over the next five or six months about where we think the benefits of the improvement in the economy can best be put.

I welcome the fact that the spring statement contained an emphasis on a reduction in taxation because many families and individuals are very hard pressed. They have been levelled with increased taxation since the economic downturn and they need to see light at the end of the tunnel.

I believe that they think, correctly in my view, that at least the economy is improving, but they need to see evidence of it themselves and this means giving them a little bit more of their hard-earned money back through a reduction particularly in universal social charge. That is why I was glad yesterday's statement by the Minister, Deputy Noonan, referenced in several places the importance of reducing the universal social charge, which is one of the most objectionable forms of taxation introduced since the economic downturn.

In looking at increasing expenditure I join the previous speaker, Deputy Connaughton, in mentioning the area of disability, specifically the area of autism and families with children who suffer with disorders on the autism spectrum. For whatever reason there is a greater prevalence of autism in our society than in the past. That may be down to better diagnosis or other factors. However, many of these individuals have seen services cut and the respite care grant reduced. Respite is a key issue. This is one area that should be looked at to give those hard-pressed families the opportunity to have some sort of a break from the 24/7 pressure of having a child who is disabled.

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