Derek McDowell (Labour)

Every budget is a game of two halves; there is the Estimates process and the announcements made on budget day. Rarely has it been as true as today that the second half is the least significant, but that is clearly so. The real decisions with regard to the 2003 budget were made and announced in the Estimates a few weeks ago.

Today has done nothing to alleviate the pain announced on that day. In fact, it has done a great deal to elucidate further on the nature of the pain outlined in the publication of a remarkable document from the independent Estimates review committee. Members spoke about the decision-making power of those in the Department of Finance and various Ministers. It is extraordinary that three individuals, albeit eminent, are given power by the Government to make such an extraordinary report recommending, as it does, severe cuts in virtually every area of government.

They were asked to recommend €900 million worth of cuts and did so. However, in case people were not happy with this they went on to recommend about another dozen areas which could be looked at to provide for further cuts. I will list some from the document: Defence Forces numbers could be reduced; pupil-teacher ratios could be reviewed; third level fees could be further increased; the universality of child benefit could be reviewed; water charges could be introduced in 2003; the allocation to child care initiatives could be reduced; there could be a reduction in the allocation for housing; and there could be a further increase in the drugs refund threshold. As we know, the Government has already announced several of these – only last night it announced an increase in the drugs refund threshold. However, several measures are still lurking and the Minister should tell us whether he intends to act on some of the recommendations.

Senator Norris might usefully have read the section on education before he so generously welcomed the budget. The section on education clearly recommends that a further increase in registration fees, bringing them to a total of €1,000, be implemented by Government. Perhaps I missed it, but this has not been announced heretofore. It is a significant increase in registration fees which effectively amounts to the reimposition of third level fees by the back door or by the front door. Is this Government policy? Many of the recommendations in the review committee document have been implemented already. We deserve to know if many of the rest will be implemented in the days, weeks and years to come.