Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

That is a tax policy of my party and one we stand over. Anyone earning over €37,000 a year would benefit from it. The average person working full-time in Ireland now earns €47,000 a year. As such, it is not only middle-income people who will benefit; it will be people who earn less than the average income. Certainly, higher income earners will benefit too but the vast majority will be middle-income earners on €35,000 to €50,000. Those who gain the most in percentage terms will be in that category.

The Deputy asked how that can be achieved. I appreciate that he may not have had a chance to read the summer economic statement yet, but on page 38 he will find Annex 1, which indicates how tax relief of approximately €600 million a year could be achieved while allowing much more money to be made available for investment in public infrastructure and services. The ratio is probably one of 3:1 or 4:1 and it can be accommodated within the fiscal space. That is not necessarily to say it can be started in the forthcoming budget, which will depend on other factors. I am curious to hear the Deputy use IFAC's criticism of the Government I lead. Let us not forget his party's policy at the time of the 2019 budget was to spend more and finance it through additional borrowing.

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