Dáil debates

Wednesday, 4 November 2020

Finance Bill 2020: Second Stage

 

6:45 pm

Photo of Donnchadh Ó LaoghaireDonnchadh Ó Laoghaire (Cork South Central, Sinn Fein) | Oireachtas source

I echo the points made by Deputy O'Reilly on the CRSS. It is important that as many as possible businesses are included. It is probably not the scheme that we would like in that it is effectively lending businesses their own money. We would rather have seen some sort of grant scheme.

That said, some businesses will benefit from it, which I welcome and I encourage them to apply, but I ask the Minister to ensure that as many of the affected businesses as possible are able to avail of it.

Other positive things came out of the budget. I refer in particular to the reversal of cuts to the Covid-19 pandemic unemployment payment. This happened because of sustained pressure by Sinn Féin and other parties. In hindsight it is incredible that the payment was ever cut. The reversal of the cut is welcome, though it did not go as far as we would have liked. It is hard to comprehend the logic behind cutting supports like that and supports for businesses when the pandemic looked very likely to escalate. Workers were in a very uncertain position and still faced the prospect of hardship. The payment should never have been cut. I welcome the reversal, but the Government should have listened to us during the budget discussions, after which the decision was made.

We have concerns about other issues. The changes in the vehicle registration tax are hard to comprehend. In many respects they anticipate a motor industry that does not yet exist. They anticipate consumer behaviour that not only does not exist but is not even possible yet. We are asking people to pay more for the cars they have or will buy or else to choose an electric vehicle as an alternative. DoneDeal.ie features only about 80 such cars for less than €10,000. A brand new electric car costs €40,000 or possibly more. These are not affordable or realistic options. I agree with the objective of shifting to electric vehicles and reducing the overall number of cars on the road in the longer run. However we will need significant improvements to public transport infrastructure to achieve that. That motor industry does not exist yet. Those cars are not there. Consumers do not have the option to choose them.

I also note the things that are missing from the budget. When will an affordable housing scheme be brought forward? We have been talking about it for ages. The last Government promised it any number of times. Fianna Fáil said there would be a housing budget every year. There never was such a budget. Affordable housing was never built. The last Government was a catastrophe in that respect. I hope this Government will be better. The scheme has been delayed repeatedly and we still have not seen anything. I am concerned that this scheme will just be a fig leaf and a press release, perhaps in the form of some kind of shared equity scheme. The last such scheme did not work out that well. It must give councils the ability to build their own affordable housing schemes. They have land to which debt is attached. Several schemes in Cork city and county will not proceed unless the debt attached to the land is dealt with. This will prevent people who do not qualify for social housing but who cannot afford a mortgage from getting housing.

Finally, I wish to discuss schools. There has been no increase in the capitation grant at primary or post-primary level. I find this hard to comprehend in light of the additional costs that must be paid. Rental incomes from halls and other rooms has more or less disappeared, heating costs will be massive this winter as schools try to deal with ventilation and refuse costs will increase as personal protective equipment, PPE, will have to be disposed of. It is incredible that there is no increase in capitation grants. A lot of schools are already under serious financial pressure and will be even more so by the end of the school year. They will barely be able to make ends meet. The Government must begin the process of revisiting that now.

It is incredible that schools are losing teachers at this point. One school in Cork city that is part of the Delivering Equality of Opportunity in Schools, DEIS, programme has lost a teacher. It will have to combine two classes. The school is not benefiting from the reduction in the pupil-teacher ratio. Some of the most disadvantaged schools in the State did not benefit from that. That is shameful and wrong and must be revisited. I will be raising that matter with the Minister. Schools should not be losing teachers at this point.

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