Dáil debates

Thursday, 9 October 2025

Financial Resolutions 2025 - Financial Resolution No. 5: General (Resumed)

 

8:05 am

Photo of George LawlorGeorge Lawlor (Wexford, Labour)

This was a budget where workers were left behind. We had no personal income tax relief for workers. Hard-working families - the backbone of our economy and the people who keep our economy going, ticking over and working - were left with their hands hanging. We saw a reduction in the VAT rate. Many millions of that will go to multinational chains. I have heard descriptions of franchises run by families but the bottom line is the likes of McDonald's, no matter where they are, are among the most successful and profitable businesses in this country. It was trumpeted that small operators in the hospitality sector will benefit but if the customers who enter those premises cannot afford to go out and spend on meals or entertainment because they are put to the pin of their collar week in, week out they will not be in a position to spend to assist the hospitality sector. They will not have the money because of the rising costs across the board, yet they were left with their hands hanging after this budget.

We have heard much fanfare of various housing schemes being introduced. In reality, hard-working families on low pay, hard-working individuals trying their best and hard-working people on minimum wage have no hope of ever owning their own home; neither do they have any hope of getting any assistance from the State in the form of the housing assistance payment or being allowed to go on housing lists. In Wexford, for instance, two people earning the minimum wage are about €4,000 over the threshold for the housing list.

I have raised this issue before. There is a ludicrous situation involving people in receipt of working family payment. That payment is added to their household income when assessment is being made of that income for the housing list. I have seen numerous times where people in receipt of that payment, which is supposed to take them out of poverty, have it added to their income to put them above the threshold and immediately put them back into poverty because they are thrown to the wolves of the private rental market. Out of an annual household income of about €40,000 or €41,000 for two people on minimum wage, they are expected to pay maybe €1,500 of that into the private rental sector. Those are Wexford figures; it is worse in other areas. The notion the budget was good for the tens of thousands of people who go out to work day in, day out, who pay tax and who contribute to the economy, is nonsensical.

We saw a rise in the minimum wage and the Government trumpeted that increase. It is great to see it but it is not the Government paying the minimum wage; it is the small businesses it purports to support. It is wonderful to see increases and we want to head towards the living wage but do not trumpet an increase in the minimum wage when it is businesses that will pay it. People, in some instances, will suffer as a result of earning the minimum wage and not qualifying for any assistance, particularly when it comes to housing. We have to do an awful lot better if we are to support those who support us, that is, the workers of this country. Go raibh maith agaibh.

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