Lisa Chambers (Mayo, Fianna Fail) | Oireachtas source

I welcome this opportunity to contribute to the debate on budget 2017. There is no doubt that the budget was a test for the minority Government. It was a hurdle that had to be overcome but many in the media and the public generally thought that the Government would fall at this particular hurdle. I very much welcome the fact that we have come through this budget in tact. It was an important point in terms of ensuring the stability of our Parliament, making sure that our country continues to be run properly and efficiently and that Parliament continuesin situ. It also marks an important turning point in terms of how we conduct the budgetary process.

We will look back on this particular budget in years to come as a point in history when we really changed how we how we did our business and when things were done very differently in terms of how we put our budgets together. It is a huge privilege to have played a role in that, to have been here for that budget process and to see it completed. It will be fully completed in the next few weeks. In terms of the budget process in question, I sat on the new Committee on Budgetary Oversight, the first of its kind in this country. That committee allowed for cross-party influence and participation in the budget process, which is not the norm and which had never been done before. The idea behind that was to take away the big-bang effect of budget day and to ensure that there would be no surprises.

It was intended that when all parties came into the Chamber on the day of the budget announcement, they would have made an input into the budgetary process and would know what was contained in the budget for the coming year. It was intended that the public would be aware as well. The thinking behind this process was that it would give parliamentarians from across the board an opportunity to analyse the budget, to contribute to it and to critique it properly, rather than being landed on budget day with new measures they had no sight or sound of in advance. I think this is a welcome and positive transformation in the budget process. Although the amount of time available to the Select Committee on Arrangements for Budgetary Scrutiny was quite truncated this year, we had an opportunity to hear from the Minister and from many stakeholders and organisations that assist the Department of Finance in its deliberations. It was hugely helpful for the committee to have informative debates and discussions with the Economic and Social Research Institute, the Nevin Economic Research Institute, the Department of Finance and the Ministers, Deputies Donohoe and Noonan. One of the things I have taken from the process is the respect that was evident across the committee room for the differing views of Deputies from all parties and none. It was okay to have differing views on the matters being discussed. All views were taken on board and given due credit and credence. I think that marks a huge and positive change in how we conduct our business.

It is generally accepted by the public and in this House that the mark of Fianna Fáil can be seen on the budget and that the party's input is evident in the outcome of the budget. During the general election campaign earlier this year, we advocated very strongly for increased investment in public services to be prioritised over tax cuts at all times. We carried that perspective into the negotiations on our confidence and supply agreement with Fine Gael. It was at the heart of the interactions between Deputies Calleary and Michael McGrath and Deputies from the other side of the House during the budget negotiations. The outcome of that process can be seen in this budget. We pushed for a 2:1 split between expenditure increases and tax cuts, but we achieved a 3:1 split. That shows we have listened to the views of the public in this regard. The public did not want cuts in taxation to be imposed left, right and centre at the expense of good public services. They wanted the wriggle room that is available in the public finances for 2017 to used to prioritise investment in public services that have been decimated in recent years. I am glad the budget reflects the will of the people, and the majority of Members of this House, in this respect. The Fianna Fáil Party is proud to have played an instrumental role in ensuring the achievement of a 3:1 split.

After the budget has been announced, we normally wait to see what the ESRI has to say about it as an independent body that analyses the effects of budgets on citizens. Although the increase in household spending power as a result of this budget will be modest and minimal, I am pleased that for the first time in many years, the benefits of a budget in terms of increased spending power will be felt by the lowest income earners, first and foremost. I think that represents a marked change on the past five or six budgets. It is extremely positive that this change has come about. I believe it can be attributed to the involvement of the Fianna Fáil Party in the budgetary process.

It was important to address a number of key issues in this budget. It was clear that we had to do something to help people to access affordable child care of an appropriate quality. I commend the Minister, Deputy Zappone, on the work she has done in this regard. I would also like to mention the contribution of my party's spokesperson on children and youth affairs, Deputy Anne Rabbitte, in this area. The child care measures in this budget amount to a start, but they do not address all of our concerns. This budget was never going to address all of our child care concerns, but it is a positive step. I welcome the Government's decision to invest money in allowing families to access affordable child care of a certain quality. We have a long way to go in that regard.

I welcome with caution the first-time buyers' initiative. It has become increasingly difficult for people in my peer group in their 30s and 40s to buy their first family homes. The feeling among many such people is that buying a house is now out of their reach. They are concerned that they may never aspire to own their own homes. I am glad to see that this issue is on the minds of the Members of Dáil Éireann because it needs to be addressed so that the pressure on prospective house buyers can be alleviated. Having said that, I share some of the concerns about the incentive scheme that is being introduced. It seems to have already started to increase the price of new-build houses. It is clear that developers are aware that people are going to get tax rebates when they purchase new houses and are accordingly adding sums of money to their prices. We really need to have a look at this scheme. We should be open to reassessing it on an annual basis to ensure it continues to be fit for purpose. We should be willing to give it a chance and see whether it works and it does what we hope it will do.

It is important to remember that this was a modest budget. It was not a giveaway budget or a budget to fix all problems. When we speak in here or among the public, we should not be lauding ourselves for managing to find €5 to give to pensioners. While this increase is welcome, it is clear that €5 is not a lot of money. I do not think anybody who stands up in this Chamber should be hugely proud of giving €5 back to pensioners or other social welfare recipients. This modest amount of money is an indication of the direction in which we want to go as a country and an acknowledgement of the fact that the income and spending capability of pensioners, in particular, has diminished significantly in recent years. That has led to increased poverty, stress and anxiety among people who receive the State pension. While I welcome this positive initiative, I emphasise that we have much more to do in this regard. I am pleased that we have taken a step in the right direction by increasing the State pension.

I welcome the increased budget of €12 million in my own portfolio of defence. I understand some of that money will be spent on capital investment in our Defence Forces. It is worth noting that we have one of the lowest defence spends in the developed world. It represents 0.35% of GDP, which in a European context is an exceptionally low proportion of a country's overall budget to be assigned to defence. While I do not dispute that other pressing issues, such as the housing crisis, homelessness and health care, need to be addressed, I reiterate that if we are to have the properly functioning and professional Defence Forces we need, we must ensure they are properly funded. I have repeatedly reminded the Minister that Defence Forces numbers have decreased. We are now well below the 9,500 full-time serving members we are supposed to have. I have repeatedly asked the Minister to address this. I certainly believe some of that budget needs to be spent on addressing the numbers in our Defence Forces, which are continuing to decrease.

By any standards, last week's budget was a good one for this country in terms of the direction in which we are going and the policy changes we are making. As a country, we have refocused our efforts to ensure we have good public services, a fair society and a working economy. These are the priorities and clear objectives of any parliament. I welcome the fact that this budget, as I have said, benefits people on the lowest incomes first and foremost. I think it is one of the proudest aspects of the budget. I am pleased that the Fianna Fáil Party has made valuable contribution in that regard.

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