John Dardis (Progressive Democrats)

In regard to VAT, the tax is on the basis of what one spends and its control is within a person's remit. The more one spends the more VAT one pays. In regard to personal levels of taxation, the Minister has held the line to ensure personal rates do not increase. At the same time he has been able to increase spending by 8%, a significant achievement.

The proof is in the €530 million package for social welfare which does a lot for individuals. Old age pension is up by €10, better than the level of inflation, and the Government is on track towards the €200 a week target it set itself to achieve by 2007 and which was part of the Progressive Democrat manifesto prior to the general election. Widow's pension goes up by €11 to €155.80. Child benefit also rises. The budget report was prepared with regard to the stability fund and contains a lot more information than was included formerly.