Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

The Deputy is absolutely correct in saying the cost of living in Ireland is higher than the EU average. It is important also to point out that average salaries and wages in Ireland are much higher than the EU average. Both have to be taken into account when considering such matters. There are two areas in respect of which Ireland is a particular outlier, namely, the cost of childcare and of out-of-pocket healthcare expenses. As I indicated on Sunday, that is an issue on which I will focus in the next year or two.

I wish to take the Deputy up on what she said about income tax. She said the Government tinkered at the edges in the context of what we did to reduce income tax for working people.

The Deputy's party opposed that. It was against income tax cuts. Income tax cuts happened because of this Government. What is that going to be worth for the average person earning around €40,000 a year or a couple, both earning in and around that, over the course of three years? We intend to do it over three years by widening the tax bands and increasing the credits. That average couple, who both earn around €40,000, will have €2,400 more in their pockets each year than they would under the Social Democrats, Labour or Sinn Féin. I really want people to know that. The Deputy cannot complain about the cost of living and then say that middle-class and working people should pay more income tax. They would under the Social Democrats.

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