Patrick O'Donovan (Limerick County, Fine Gael) | Oireachtas source

I acknowledge the presentation made yesterday by the Minister for Finance and Public Expenditure and Reform on introducing a budget of €59.2 billion in current expenditure and €7.3 billion in the capital expenditure. In doing so, I acknowledge the work of officials in both Departments. This budget is being presented to the Dáil in contrast with the budgets presented when Fine Gael and Labour first entered government in 2011. It is being done on the back of record employment levels that have been achieved in the economy, which have allowed the Government to arrive at a situation where almost €66.7 billion in expenditure could be laid out yesterday.

I wish to touch on a number of small issues, particularly the greatest threat on the horizon which was referred to a while ago by the Tánaiste, namely Brexit. The most important insulation that the economy and people can have on the unknown known that Brexit places on the horizon is to ensure that we have a balanced economy, a balance of our finances and prudent expenditure. We saw an example of that yesterday from the Minister for Finance. Within the budget, there are a number of measures that I welcome. I welcome the changes in social welfare which will result in significant increases in rates and bands. This includes a €5 increase for all social welfare recipients along with the restoration of the Christmas bonus. Other payments have seen increases also and coupled with this we have been able to introduce a tax package worth €291 million which will see worker's USC and income tax payments being reduced, resulting in them having more take home pay over a successive number of years since this Government came to office. On top of that, on the expenditure side people all over the country will see increases in the numbers of teachers, SNAs, nurses and gardaí. These are the issues on which improvements have always been sought in this House from both sides to ensure that the Government can ensure public servants have a good and enjoyable quality of life. They have suffered hits and difficulties over the past number of years and with the negotiations that have been led by the Minister for Public Expenditure and Reform and others, we have thankfully restored pay in that area as well.

Agriculture is important in my constituency and I welcome the fact that the Ministers for Agriculture, Food and the Marine and Public Expenditure and Reform have agreed the continuation of the stock reliefs, which are important for both existing and younger farmers entering the sector. The beef environmental efficiency pilot scheme which is being introduced by the Ministers will also play a big part, particularly in my constituency where there is a significant exposure for the beef industry. Increased expenditure for Bord Bia will allow for the continued marketing of our products abroad, which will seek to insulate ourselves against any impact that Brexit may present.

I welcome the introduction of the film corporation tax credit on a regionalised basis. As Deputy Jan O'Sullivan, who is in the Chamber, and myself and others know, this is an important issue for Limerick as we have seen the development of a film studio in the mid-west for the first time in Troy Studios and I hope that this will incentivise the creation of greater employment in that sector in the region.

I also welcome the fact that the Minister for Rural and Community Development, Deputy Ring, has secured an additional €57 million, which is also important from the point of view of my constituency due to the capital investments that can be made through initiatives such as the town and village renewal scheme and others.

Over the past number of years, the Government has tried to ensure that it has spent the profits of the economic growth that has been sustained, particularly in recent years when we have attained record levels of employment. The only way we will be able to continue that is to ensure the economy is managed in a prudent way. The budget was an attempt by the Government to make sure that the future economic fortunes of the country will be insulated to the best possible degree. We have also seen in that time that we have been able to invest in our public services, particularly with our young people in mind along with older people who require additional services. We ultimately wish to see this continue and I know that over the time ahead this will be one of the challenges we face as we enter into a period of negotiation and, hopefully, certainty on the United Kingdom's decision to exit the European Union.

Overall, we were set a challenge when the Government came into office - Fine Gael, the Independent Alliance and Independents with the co-operation of Fianna Fáil through the confidence and supply agreement - to manage the country's finances and grow employment. We have done that. We will maintain our level of growth. The level of growth that is being projected over the next number of years is sustained and it is worth pointing out that the level of expenditure between 2014 and 2019 is less than half of that between 2004 to 2009. I welcome the budget. It is a fair and balanced budget that will make the biggest impact possible across the country.

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