Tom Parlon (Laois-Offaly, Progressive Democrats)

I am glad to have the opportunity to respond to some of the points made but before I do, I wish to make a number of comments. In the past the Government has been wrongly criticised for not looking after the ordinary man on the street. This budget proves that is not the case and shows the Government's concern for the ordinary man on the street.

The budget is focused on lower income households. Since 1997, the Government parties have brought about a position where the proportion of those exempt from tax, that is, taken out of the tax net altogether, has increased. This is against a background of huge growth in employment — an increase of approximately 400,000 since 1997 — substantial growth in per capita incomes over the period and the introduction of a statutory minimum wage. The Government is now fulfilling its commitment to exempt the minimum wage from the tax net and I, for one, think this is a very substantial step in today's budget. The widening of the bands has taken 52,100 taxpayers off the higher tax rate.

Senator John Paul Phelan made a number of points to which I wish to respond. Regarding motorists, there is no increase in excise duties.