Alan Farrell (Dublin Fingal, Fine Gael) | Oireachtas source

I thank the Minister for the work he has done and I also thank other members of Cabinet. It has been a considerable budget considering the backdrop against which it was framed. The budget will respond to the challenging economic landscape following Covid-19. Today's jobless numbers were quite remarkable in the context of what the previous Government and the current one have tried to do in this scenario. This time last year, there was 20% unemployment and it is just 7% now. This is not to be sneezed at.

As Deputy Bruton mentioned, the budget will facilitate the indexation of income tax, which is a very welcome step in the right direction. The changes mean persons earning a little more, as wage inflation increases at about 2%, will get to keep more of their own money. Of course, it will also cover the inflation and cost of living increases we have seen since the reopening of our economy. This includes the fuel allowance increases, which are to be welcomed. The standard rate of income tax has increased by €1,500 and personal tax credits have increased by approximately 3%. These are also significant. For the eighth time, as I mentioned in my post-budget speech, Fine Gael in government has increased the minimum wage. This will make a real difference to thousands of people in the State. We are not yet out of the pandemic but the Bill will facilitate the necessary ongoing support of those still impacted by the pandemic. This includes the employment wage subsidy scheme, which has played a vital role in protecting jobs throughout the country.

As has been mentioned by several Members, the help to buy scheme was vital in assisting 20,000 individuals acquire their own homes in 2020. I very much look forward to the figures for 2021. It has been extended to 2022. It is a crucial scheme in assisting people to attain home ownership. This is a crucial part of our historic and present outlook on the property market.

There are many items I could mention in the context of climate action but I will limit my remarks to the changes which will assist many people in terms of acquiring electric vehicles and plug-in hybrids. In particular, the VRT changes are important to mention, including the additional grants and supports being provided to those who wish to purchase an electric vehicle. I also want to mention the likes of retrofitting, which will be supported through €200 million that comes directly from the carbon tax to support thousands of people to upgrade their homes, including more than 5,000 State-owned social homes throughout the country. This is to be welcomed. The significant target for electric vehicles, including fully electric and plug-in hybrids, will increase our fleet by almost 1 million vehicles by the end of 2030. This is a huge statement of intent with regard to reducing the 20% of carbon emissions that emanate from the transport sector.

I heard very clearly what Deputy Danny Healy-Rae had to say on microgeneration. The Deputy is correct in the sense that we need to get the scheme off the ground so that individuals, home owners and small businesses can feed back into the grid. It is very important that the Minister outlined the mechanism for achieving this. In the Finance Bill he has allowed for a tax disregard to be implemented as part of this. This is very welcome.

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