Donnchadh Ó Laoghaire (Cork South Central, Sinn Fein) | Oireachtas source

Ba mhaith liom cur leis an méid atá ráite ag an Teachta Ó Snodaigh i dtaobh an rúin seo. Ar an gcéad dul síos, ba mhaith liom giota de phíosa próis a rinne an Teachta Ó Dochartaigh trácht ar níos luaithe a léamh. To read a short passage:

Forecast receipts of tobacco products tax use an elasticity measure to partially reflect the responsiveness (or change in behaviour) of smokers following duty and price changes. Increases in duties are forecast to lead to increases in receipts, albeit recognising that some smokers will consume less and consequently some of the increases in receipts from higher prices are negated. Further cigarette price rises, particularly at the higher end, may not increase Excise receipts and this is indicated through the use of the range of estimates above. To reflect the potential variations in consumption change in smokers, the range above is based on varying the elasticities used in the forecast calculation. The elasticities used are derived from research conducted by Revenue.

Those are not my words, but rather represent the opinion of the Revenue Commissioners. We are supposed to believe the increase will bring in the absolute maximum point on the range of results the Revenue Commissioners have predicted. The Revenue Commissioners say that increasing the price of cigarettes will bring in a maximum of €65 million but could cost €44 million. That is a range of €109 million. At no point have they said that any particular point in that range was more likely than another. This point was raised by Deputy Pearse Doherty during the earlier debate and the Taoiseach had an opportunity to clarify it. He has not done so. If there is another opportunity to clarify how the figure was arrived at, it should be taken.

This resolution is in the context of a budget and paying for essential services. My party and I are on record as supporting the use of price increases as a health measure to tackle smoking. Clearly, we remain committed to that position in accordance with our pre-budget submissions over many years. However, that is not what we are voting on tonight. This is a vote on a financial resolution and part of the budget. To explain it in the simplest terms for anyone listening or the Deputies in the House, if an Opposition party suggested a policy that could raise €65 million or cost €44 million, it would not constitute a credible submission to Government as a manner in which to fund essential day-to-day services or capital expenditure in the budget. It might be different if it was a specific health measure ring-fenced to tackle smoking, but that is clearly not the case here. Ultimately, it is wishful thinking and probably a desperate measure to back up other commitments that this level of spending was chosen. It seems the sums arrived at were necessary to arrive at the final sum in the budget. While Sinn Féin supports price increases to tackle smoking, which is a significant social ill that causes disease and illness and does great damage to many families, this measure sets a bad precedent and is poor practice. Consequently, we will vote against it.

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