James Bannon (Fine Gael)

Housing is one area on which the Government is not singing loud self-praise. Even the Government cannot spin that one. As I have stated many times in this House, every morning as I walk towards Kildare Street I pass at least half a dozen people sleeping in doorways, victims of a system that favours the rich at the expense of the poor and the vulnerable in society. This heartless Government is doing little for these people. Significant steps could have been taken in this year's budget to address the inadequacy of social provision by improving the allocation for social and affordable housing but instead the homeless got very little.

There are currently close to 50,000 households on the waiting lists for social housing. The National Economic and Social Council in a recent study estimated that Ireland would need an additional 73,000 social housing units by 2012 but where is the provision in this budget for these units? Instead of making significant inroads into meeting this target, the Government has, once again, heartlessly turned its back on this needy sector of our society.

The provision of social housing must be addressed by continual and sustained increases in social and affordable housing construction, which would lead to increased access to quality housing for those most in need. Currently, the Government is spending nearly €400 million on rent supplements which could be ploughed into social and affordable housing. This is typical of the short-sighted actions of the Government's record of wasting millions of euro of taxpayers' money that has been highlighted in a number of well documented cases over the past year.

Deputy Bruton intervened today and pointed out this wastage to several Ministers when he spoke in the Dáil. He spoke of the wastage in the Departments of Health and Children, Transport, and the Environment, Heritage and Local Government. All this was pointed out. Some €500 million was wasted by the shabbiness of the Government in the past 12 months. Fine Gael opposes the Government's six-month rule on rent supplements and all the other welfare cuts that will drive more people further into poverty and homelessness.

I am extremely disappointed that the tax relief incentive on commercial developments was not extended for a further five years. This particularly affects my county. I felt that it should have been extended. The space allowed for completion is too short for many developments and the Government's timescale for people to complete major commercial developments is unrealistic. There is an extension from July until December 2006 but that is totally inadequate. To state that reliefs have achieved the objectives set for them or are no longer considered to be cost effective is totally without foundation.

There was no reduction in the high rate of VAT, which was very disappointing. Local authority funding cuts over the past number of years will not be undone by today's small increase in funding. In fact, it will bring further stealth taxes in its wake, a continuation of the Government's policy of hitting taxpayers from every angle. There have been increased charges for refuse collection, electricity, gas, VHI, television licence, etc. I could continue until 7.30 p.m. outlining the stealth taxes the Government has imposed since it came into office. There have been several charges in the area of health.