Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

Some €40 million is being provided for primary care developments, which will allow a number of initiatives to go ahead. In particular, the Government looks forward to further progress in relation to the GP contract and we hope agreement can be reached on the introduction of additional services throughout 2018.

I also acknowledge that continued investment in primary care, including further GP contractual developments, will require a multi-annual approach. That is why, with regard to the capital envelope, an additional €471 million has been made available to cover the period 2018 to 2021. This represents, on average, an additional €120 million each year. It will allow for investment in critical infrastructure, including the delivery of the national children’s hospital and many investments in primary and community care schemes. Further details will be provided by the Minister for Health later today.

Improving health services, however, is only one of the ways in which we can make a healthier Ireland happen. With this in mind, I am increasing excise duty on a pack of 20 cigarettes by 50 cent, with a pro rataincrease on other tobacco products. This will bring the price of cigarettes in the most popular price category to €12.

Furthermore, in line with the commitment made in the programme for Government, my predecessor announced his intention to introduce a tax on sugar-sweetened drinks following the completion of an extensive public consultation process.

Accordingly, I am introducing a tax at a rate of 30 cent per litre on drinks with over 8 g of sugar per 100 ml and a reduced rate of 20 cent per litre on drinks with between 5 and 8 g of sugar per 100 ml. These levels of tax are consistent with the rates being introduced in the United Kingdom in April of next year and our sugar tax will commence at the same time subject to state aid approval.

In line with the Government’s national cancer strategy, I also propose to increase the VAT rate on sunbed services from the reduced rate of 13.5% to the standard rate of 23%. This is in recognition of the clear evidence of a link between sunbeds and skin cancer, the most common form of cancer in Ireland.

Improving Education for All

Education, at all levels, is the bedrock of Irish society. It delivers benefits for the individual and for all. It is also vital to keeping our economy competitive and attracting investment in a post-Brexit world. Continuing investment in education remains a priority for this Government – from supporting junior infants on their first day in school right through to providing them with the skills they need to fulfil their ambitions.

Today, I announce education spending for 2018 of over €10 billion, a new peak for the sector, and 16.6% of total expenditure. This budget will deliver almost 1,300 additional posts in schools in 2018, and as part of this the pupil-teacher ratio at primary level will be reduced to 26:1. This is the lowest level it has ever been. An estimated €46 million is being provided to meet demographic and demand-driven growth, the reduction in primary pupil teacher ratio and enhanced career guidance counsellor provision.

This Government is also committed to ensuring that children with special educational needs are given the opportunity they deserve to live independent lives and reach their potential. That is why the Government is investing over €1.7 billion for special education needs in the coming year.

See this speech in context