John Paul Phelan (Fine Gael)

I welcome the Minister of State, Deputy Parlon, who usually deals with most of the financial issues discussed in this House. I cannot say I welcome the contents of the Finance Bill. Like the budget, it is a missed opportunity and a damp squib. It is probably more noteworthy for what it does not contain rather than what it does contain. Some of the changes announced on budget day and contained in the Finance Bill, particularly in regard to first-time buyers, are becoming more outdated as time passes.

I was struck by one of the comments made by the Minister of State to the effect that the tax and PRSI bill on the average industrial worker had almost halved since 1996. He is correct in saying that income tax has decreased dramatically. He conveniently forgot, however, to point out that indirect taxation in the same period has increased dramatically, with the result that, since 1997, an average Irish household is paying over €8,000 more per annum in taxation than heretofore. He used the reference year of 1997, which has become synonymous with this arrogant Government. It appears time suddenly began in 1997. However, those who use that year as a reference always fail to point out that significant increases have taken place in other charges across the board. I acknowledge that improvements have been made in income tax and there was a need for them. However, one cannot be taken without the other. I urge the Government to adopt a more global view when discussing issues of taxation.

On budget day I welcomed the announcement in respect of stamp duty for first-time buyers, which is a step in the right direction. The phrase "too little too late" comes to mind when one takes into consideration even this year's projected increases in property prices in the city and throughout the country. The limit of €317,000 on a property, particularly in the environs and city of Dublin, is low.