Cormac Devlin (Dún Laoghaire, Fianna Fail) | Oireachtas source

Budget 2021 has been published as our nation faces two unprecedented challenges, namely, the Covid-19 pandemic and a hard Brexit. The Government will spend an additional €17.3 billion in 2021, of which €8.5 billion will be allocated to Covid measures, while €3.4 billion will be spent supporting jobs and the economy as we deal with Brexit. A significant extra spend of €1.6 billion has been allocated to capital spending, which will provide 12,750 much-needed social homes and fund public transport improvements on bus, Luas and DART services. This is all done with no increases in income tax, PRSI or the USC and that is very welcome.

The Government is following the right macroeconomic strategy: to borrow and invest in people and the economy. Members of the Opposition have called for what amounts to €28 billion in tax hikes to fund all sorts of populist policies. At a time when many businesses are on their knees, bringing in such tax hikes would simply destroy jobs and the economy. All Deputies would like to see more spending in particular areas, but there must be recognition of the unprecedented challenges facing Ireland at this time.

I welcome measures to support the pandemic unemployment payment which has been extended into 2021, while allowing the self-employed who are on the PUP the flexibility to take up casual work. The increased tax relief for people working from home will assist thousands of workers. Young people have been particularly hard hit during the pandemic. The new €250 grant for full-time students will be of significant benefit to many. The addition of 5,000 new college places and the €1,500 increase in grants for postgraduate students will be of assistance. I welcome the investment in primary education, especially the reduction in the student-teacher ratio to 25:1. Funding is provided for 990 additional SNAs and 403 additional teaching posts which will support children with special educational needs. The State pension age will remain at 66, as per the programme for Government, while there will be increases in the living alone, qualified child and fuel allowance payments. The annual carer's support grant is to be increased by €150 to €1,850 per annum. I welcome the retention of the Christmas bonus for nearly all those in receipt of social protection payments, including those on the PUP.

The investment in the health service will see the delivery of 1,146 new acute hospital beds, 1,250 community support beds and 66 new ICU beds. Home help is to be increased by an additional 5 million hours, which will support our most vulnerable, particularly in my constituency of Dún Laoghaire, where there is a high percentage of older people.

For businesses, the new Covid restrictions support scheme will provide a grant of up to €5,000 per week if they have to close due to the pandemic. The commercial rates waiver will continue until the end of this year, while the VAT rate for the hospitality and tourism sector will be reduced from 13.5% to 9%.

This budget invests more in public services and infrastructure than any other budget in the history of the State. It will protect lives and protect jobs. I welcome its announcement.

See this speech in context