Seanad debates

Thursday, 10 May 2012

11:00 am

Photo of Michael MullinsMichael Mullins (Fine Gael)

On a very positive note, I welcome the additional jobs for Galway announced by Aviva Ireland this morning. I also congratulate the Government on the decision to retain the reduced rate of VAT for tourist related activity until the end of 2013. This is an innovative and positive initiative which should have a significant impact on job creation.

I support my colleague, Senator Catherine Noone, in her call for a debate on attitudes to alcohol consumption in this country and on the damage it is doing to young people in particular and to society in general. That debate must include a consideration of the availability of alcohol and the dangers arising from below-cost selling. Rural pubs are struggling to survive and cannot compete on price with the outlets selling alcohol below cost. I understand one major multinational retailer is using the VAT system to manipulate prices by availing of large refunds on alcohol and subsequently subsidising its sale. We now have a ludicrous situation where pubs and other small businesses are purchasing alcohol from these large retail outlets because their prices are cheaper than those at the wholesaler. As Senator Marc MacSharry and others observed, there is a very close link between alcohol abuse and suicide. We are all concerned that the very significant investment the State is making in mental health is being properly targeted. A debate on these issues would allow us to examine the relationship between alcohol misuse, drug abuse and suicide and how the State's scarce resources can be most effectively targeted.

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