Dominic Hannigan (Labour)

Or woman.

The Finance Bill represents the final act of a discredited and inept Government. The Labour Party will vote against this Bill because it may cut too much and, accordingly, endanger any potential economic recovery.

I noted the comments earlier of some of the so-called Independent benches such as Senator O'Toole who wondered whether there was an element of opportunism in the Opposition's behaviour regarding the Finance Bill. It must be made clear why we are facing into a general election. The Labour Party had a no confidence motion on the Dáil Order Paper which should have been heard this week. However, the Green Party would not support it. Accordingly, the options were that we could have waited three weeks to pass the Finance Bill and then gone to the country. Alternatively, we could have facilitated its passage sooner than that and go to country as soon as possible. If Senator O'Toole came out with me to canvass over the past several months, he would have heard one message from everyone – they want rid of this Government as soon as possible. I have no doubts that we have done the right thing.

If the Labour Party is elected to government, it will make amendments to this Finance Bill to include measures such as those referred to by Senator Ormonde. That will happen a short number of months after the general election.

The Bill before the House is one of the harshest of its kind introduced since the foundation of the State. The need for it has arisen as a result of the failure of the economy. Fianna Fáil, previously the main party and now the only party in government, is mostly to blame for this. I accept that external issues such as the collapse in the global economy have not helped our cause. However, the ineptitude of the Government in dealing with economic matters and bank regulation was, in large part, responsible for causing the current economic crisis. Its failure to rein in the banks and its expansion of the property bubble were major factors in the development of the mess in which we find ourselves.

Up to two years ago, the Leader, Senator Cassidy, was still talking up the property market when everyone in the House knew that this was the wrong thing to do. On the Order of Business on Thursday, 10 April 2008 he stated, "We have a duty to tell first-time house buyers, young couples with no previous experience, that there is unbelievable value in the marketplace today." He went on to say, "I will remind the House, perhaps in 12 or 18 months, when prices have again increased by 25% or 30%, that they were told this by the Leader of the House". I have heard nothing from Senator Cassidy with regard to the property bubble in the two and a half years since he made this pronouncement. The end result of the collapse of the property bubble and of the ineptitude shown by the Government is reflected in the measures contained in the Finance Bill 2011.

Meath, where I reside, is one of the counties that has been hardest hit as a result of this Government's policies. I encountered many people in recent weeks who informed me, in anguish, with regard to the situations they and their families find themselves in as a result of tax increases, the introduction of the universal social charge and the reduction in the minimum wage. The way the universal social charge is being applied is particularly hard on the poor and the vulnerable. In effect, the latter are being made to pay for the Government's errors. The reduction in pensioners' incomes is causing hardship, as are the reductions affecting those on low incomes. Unfortunately, it appears that those who are least well off are being asked to bear the brunt of the Government's failure in respect of matters of an economic nature.

The self-employed are also finding it difficult to cope. Those who are self-employed are finding it particularly difficult to access any sort of payments through the PRSI system. This is a matter to which consideration must be given. The end result of that to which I refer is that many people are either being made unemployed or are emigrating. There was emigration in this country in the 1950s and in the 1980s, when I was obliged to leave the country. Many individuals are currently leaving these shores and heading elsewhere. This morning I spoke to a man who dropped his son, who was heading to Australia, to Dublin Airport. Members can imagine the heartache being felt by those in that man's house. This is just one of numerous families who are saying goodbye to our best and brightest. Those who should be assisting us in recovering from the current crisis are leaving these shores in order to work elsewhere throughout the globe.

The universal social charge is hurting those with young families and also single-income families. The imposition of this charge and the reductions in child benefit mean that those to whom I refer are finding it extremely difficult to survive. A few hours ago I was contacted by a resident from north Meath who is concerned about the position with regard to rent supplement. In effect, the Government has increased the number of people in receipt of this supplement who are obliged to pay extra money to their landlords. Simultaneously, it reduced the other benefits these people receive. I would be grateful if the Minister would indicate how he can possibly defend his actions in this regard.

I am an optimist and I prefer not to dwell on the past. It is important to understand how we got to where we are but I do not wish to dwell on the matter. I want to look to the future. I am of the view that we will emerge from this crisis. However, it will take us a number of years to do so. Developments in the global economy will be responsible for our emerging from the current crisis, particularly in view of the fact that Ireland is a small economy. What is happening globally at present creates cause for optimism. The rising tide of the global economy will mean that there will be greater demand for our exports. In addition, increasing numbers of tourists from traditional markets such as the UK and the US will visit our shores.

I expect to see more companies from overseas seeking investment opportunities in Ireland. The important thing is that when those opportunities arise, we should be ready for them. We must ensure that our workforce is retrained and well educated. In addition, the Government must introduce measures which will ensure that Ireland is an attractive destination for potential investors. However, there is a great deal we can do ourselves.

One of the key issues that arises for small businesses in particular is access to credit. I have spoken to representatives from many businesses which have reasonably healthy order books. However, one of the major problems they face is obtaining access to credit to allow them to pay for labour, plant, materials, etc. One of the Labour Party's proposals in this regard relates to the establishment of a strategic investment bank - rather like the Industrial Credit Corporation, ICC, or the Agricultural Credit Corporation, ACC, of old - which would focus on providing credit facilities to small and start-up enterprises in order to ensure that they have access to the capital they require in order to establish and grow businesses and also to hire employees. The result of this type of activity would be the generation of further economic wealth. There are changes relating to PRSI which we would like to be introduced in order that employers might take on additional staff. If given the opportunity, these are matters to which we will be giving consideration in the coming months.

The Labour Party believes that Ireland will emerge from the desperate difficulties in which it finds itself at present. However, it will not be easy. None of the political parties has a magic wand to wave in respect of this matter. A representative from one of the minor parties took part in a programme on my local radio station, LMFM, and it was clear to the listeners that said party has no real understanding of the difficulties the country faces.