Seanad debates

Friday, 28 January 2011

Finance Bill 2011: Second Stage

 

3:00 pm

Photo of Paul BradfordPaul Bradford (Fine Gael)

I am glad to have an opportunity to speak to the finance Bill, probably the final legislative measure of this Oireachtas. It is important for the country, economy and the people that the Bill is brought to a conclusion.

I take on board what Senator Walsh said about Opposition parties seeking and facilitating a debate on the Bill but not supporting it; however, when the politics of the argument and this House are removed, let us hope the Bill, when passed, will provide a building or foundation block for the recovery of the country. Sometimes a person is given foundations which he or she would have built differently, but the next Government will start with the building block provided by this Bill. I hope it will start its five year term with the the heavy lifting with regard to restraint in public expenditure and the €6 billion adjustment having been made. This is necessary for the preservation of the economy.

My party leader and finance spokesperson are in Brussels today for discussions with President Barroso. It is important that anybody making the case for Ireland, be he or she on the Opposition or Government benches, can present a picture of a political system in this country that is mature, realistic and ready to take the necessary steps to turn the economy around. The passing of this Bill, notwithstanding that many Members have differences on individual sections and different perspectives, is absolutely necessary in order that the economy and politics can be rebuilt and grow.

There will be a general election campaign in the near future. The news of the imminent general election was made known when we were in the House last week. The Minister of State at the Department of Finance, Deputy Mansergh, was present. The few Members in the House at the time offered the view that they hoped the people and the political parties would engage in a constructive, detailed analysis of the steps which needed to be taken by the next Government. Due to the current economic circumstances we are in a very strange place politically. The people are despairing, worried and devoid of hope. There is an enormous responsibility on the political parties, as they engage with each other in the next few weeks, to paint a clear, sharp and concise picture of how we wish to take the country forward and the steps we will take.

It is a good and necessary part of democracy that there be constructive and robust debate between the parties, but I hope it will be about the future. We have learned the tragic lessons of history and, as I have been saying for the past 18 months, I believe the public has made up its mind about the Government. There is no need for the Opposition parties to focus on this. We must tell the public what we will do and outline the necessary steps we will take. I am looking forward to an engaging, constructive election campaign in which the issues will be discussed. It must be, as part of turning the economy around, an election in which the issues will be debated with courage, truth and honesty because we are where we are, both economically and politically, as a result of a lack of courage, truth and honesty in politics.

The reform that is necessary for our society and political system must have courage, truth, respect and honesty at its core. The word one constantly hears on the doorsteps is "reform". The public does not just want to change the Government, it also wants to see the political system change. It wants to see the way these Houses do their work changed. It wants change in how we engage with the public service and how the public service responds to politicians and the public. Reform should be at the core of any recovery programme and that reform must take place throughout the system. Obviously, it must start in the political system. As the Leas-Chathaoirleach - perhaps future Cathaoirleach - knows, my party is proposing a reform in politics which might see this House abolished, but the public will make the decision on this. However, the political system certainly must be reformed.

I might be drifting somewhat from the Bill, but every decision taken politically impacts on the finances and economy of the country. I should point out for the umpteenth time that while we continue with our current electoral system, we make it almost impossible for the Government and political parties to make the decisions that are necessary for the country. I hope that during the campaign and beyond the political parties will begin seriously to address the issue of electoral reform in order that at election time the electorate will decide to elect governments standing on policy platforms, not 166 individuals because of medical card forms filled in, potholes fixed and favours apparently granted. We need a new mature politics and we need a new electoral system. Hopefully that will provide for a very engaging debate over the course of the next Oireachtas and will be at the top of the next Government's agenda.

I listened an hour ago to Senator Donohoe. He made a very profound speech along the terms of what he called the political centre. It is something that needs reflection. Our economy and society can only be stabilised with a strong building block or foundation in the centre. We will hear over the next few weeks the usual loud but useless slogans, such as "tax the rich", "burn the bondholders" and so on. That grabs headlines, but it does not solve problems. Do the people who want to impose those views and solutions on us not recall that the system which they aspire to bring to this country existed across one third of the Continent for almost 50 years on the other side of the Berlin Wall? It resulted in the ruination of nations and peoples. Those people have a simplistic analysis in favour of a high tax, high spend, anti-enterprise and anti-profit system. That is the ultimate failed system, and we must not allow it to gain a foothold in this country.

The parties of the centre, none more so that Fine Gael, a Christian democratic party, must continue to promote enterprise, business, job creation, low taxes and careful public spending. That is the key to turning around this economy. Taxes must be as low as possible. We must lift the burden on those people who want to create work, make it easier for people to take up work, make it easier for people to move from welfare to work and remove some of the blockages in the current social welfare system that are providing a disincentive to job creation. That must be examined very seriously.

I listened with interest earlier to cases made by some of my colleagues in respect of tax reliefs and tax incentives. In the aftermath of the budget, we were all contacted by concerned citizens in respect of section 23 and other reliefs. I do not have any property that enjoys those tax reliefs, but the loud, generally left-wing campaign against tax reliefs is a bit like that phrase from Animal Farm which claimed "Four legs good, two legs bad". We have decided that every tax relief is somehow immoral, ineffective and bad politics and economics. Much of our infrastructure in this country would not have existed without tax reliefs, so we must tread carefully as we begin to dismantle them. The era of reintroducing tax reliefs has probably passed, but some people entered into projects four or five years ago with a guarantee of a tax relief for a certain number of years, and we have to be very careful about removing those tax reliefs.

As a nation, we face an election of profound importance. This is not just about changing government and one party going to the other side. That has happened over the course of our history. We face a profound choice of what type of society we wish to build and what level of responsibility politicians wish to take on our shoulders. There is a need to share the burden and the pain which the public are feeling every day of the week. There is a need for the political parties to take on that burden and responsibility and to provide the hope that is so desperately lacking. I have every confidence in this country, which recovered from the War of Independence and the Civil War. It survived the efforts of the Provisional IRA and their political bedfellows to dismantle society in the 1970s, 1980s and 1990s. A country that has come through all that can come through our current economic crisis. It needs serious leadership, rather than soundbite leadership, with deep analytical thought.

This must begin with a general election campaign. We are advised that is being called next Tuesday. I do not speak on behalf of the Fine Gael Party, but I hope the Taoiseach, in deciding the date for a general election, will allow the maximum amount of time for the campaign so candidates can take their message to the people and so politicians can listen to the public. It is too important to turn this into a two or three week sprint. We need a serious election campaign so Ireland can decide in a mature fashion. I have every confidence in my party and in its policy platform, which we have been working on for a few years. Our document, "Reinventing Government" will be shown by history to be the most profound political piece of work over the past generation. I look forward to that debate.

I conclude by offering my best wishes to colleagues who are facing a general election. Regardless of what side they are on, I know how difficult the campaign will be. I am sorry for meandering far beyond the confines of the Finance Bill 2011, but it is important we present the Bill in the broader context of the huge political challenge and choice that faces the Irish people.

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