Dáil debates

Wednesday, 2 June 2021

National Recovery and Resilience Plan: Statements

 

4:50 pm

Photo of Michael CollinsMichael Collins (Cork South West, Independent) | Oireachtas source

The Irish plan is structured around three priority areas: advancing the green transition, accelerating and expanding digital reforms and transformation, and social and economic recovery and job creation. The Irish application did not prioritise broadband infrastructure or housing, even though both areas are currently in a state of crisis. The big questions still relate to the delay in Government making its application to the European Commission under this funding programme and to why Ireland is being given a much lower level of funding than other EU countries. For example, Denmark is getting €1.6 billion and Croatia, which has a population smaller than that of Ireland, will receive €6.3 billion, which is more than six times the Irish allocation. Slovakia, whose population is of a similar size to Ireland's, is set to receive €6.3 billion in funding under the programme. This raises serious questions about why the Irish allocation is comparatively so low.

Another change agreed by Government will see the tax bills of approximately 33% of people who already pay property tax increased by another €100 every year. This new form of tax will punish people at a time of great challenges on many fronts. In fact, it is estimated that approximately 33% of homeowners will see an increase even greater than this €100. Ireland is in the middle of a very serious housing emergency and the Government's proposal to introduce increased taxes on property at this time is deeply flawed.

The 9% VAT rate for the tourism sector will remain until September 2022. It was the Government that increased this rate. It should be extended for much longer, as should commercial rates waivers.

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