Micheál Martin (Cork South Central, Fianna Fail) | Oireachtas source

There is a need, as we emerge from Covid, to restructure the economy. That is why the economic recovery plan and national development plan focus so strongly on the digitalisation and digital transformation that are occurring and will occur here and globally. There is also a focus on the green economy, through significant investments in areas such as public transport and retrofitting, and on the jobs that will be created in the retrofitting sector and a range of others related to the green economy, where thousands of jobs wait to be developed. For example, there will be jobs associated with offshore wind generation in terms of the development of ports in various areas. That is how I look at the restructuring of the economy.

I take the Deputy’s point on the necessity to improve income thresholds and increase them in a number of categories, one being local authority housing. This has to be done along with other reforms – there is a review under way – and along with addressing interlocking issues to do with housing more generally. For the first time in a long time, the Government decided to extend the SUSI grant, improve the income threshold and increase the adjacent rate. This will help thousands of students. I would like to go further in respect of that.

On healthcare, we took a number of steps in the budget, including, for example, the reduction of the drugs payment scheme threshold. We made it more favourable for hard-pressed families in respect of prescription charges. Regarding universal healthcare, there was a significant move in the budget, including through the extension of free GP access to children. We would like to do more in the next budget. In the area of health, in particular, and in higher education and education more generally, we want to do more. There was a tax package of about €520 million, which is of value. It is not enormous, and I am not going to pretend it is, but at least it is an additional contribution to people’s take-home income.

The biggest challenge we have had this autumn has been the global rise in inflation, much of it caused by the energy crisis and the issues concerning gas and energy supply globally. Supply chain interruptions and difficulties arising from Covid are other causes. We have managed to some extent to weather the Covid supply-chain issues so far although we are not immune from them by any means because we are part of a global system. On the energy front, there is concern. Through the fuel allowance and other measures, we sought to help people to deal with exceptional increases owing to inflation, not only in Ireland but also across the rest of Europe and the rest of the world. Inflation is the big issue of the day right now. The European Central Bank is saying it believes it is a temporary phenomenon. There are various academic perspectives on it. Economists have a view on it but the majority are still of the view that it will bottom out, certainly towards the early part of next year.

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