Martin Mansergh (Fianna Fail)

——to economic policy even if it was State enterprise-based.

The Minister makes a valid point that social welfare has increased despite the drop in unemployment from 10% in 1997 to 5%, which underlines the substantial increase in resources. For example, since 1997, child benefit has increased from €500 million to €1.8 billion. The Minister also referred to the extra spending on health and disability. I will not comment on the disability issue because the budget will deal more fully with that. The increase was not simply an extra 6,500 nurses in frontline staff, the Minister also mentioned extra therapists, dentists, orthodontic services, medical and social workers and so on. It is too easy to say they have all gone into redundant administration.

Another fallacy being put about is that there is a real cut in the health services because medical inflation is 10% and the increase is only 9%, ergo there is a cut. Medical inflation is in the cost of drugs, which is quite a small element in health spending. It does not apply to nurses. One hears critical comments about benchmarking but how can we recruit the nurses we need unless they are at least as well paid as at present, and possibly somewhat better? I welcome the medical card initiative. It is a step and although it does not necessarily go the whole way it may reduce pressures in accident and emergency departments. At least it relieves people of the cost of consulting a doctor about their problems.

The school building investment programme is very important and valuable. It has not all been spent. In response to the argument that we need value for money, that means money is not spent immediately because one must see that it is put right. The heads of the universities may be jumping the gun somewhat. Reading between the lines I understand that the matter of concern to them may be dealt with further in the budget.

There is, very properly, a large jump in funding for science research and development. Arts and sports have done exceptionally well again, with a 17% increase in arts funding and a 19% increase in the amount available for the Arts Council.