Kathryn Reilly (Sinn Fein) | Oireachtas source

When many working people looked at the budget originally, they were of the view that what they were going to get back would be but a drop in the ocean in comparison to the extra charges and levies imposed on them in recent years and in light of the forthcoming water charges. People are not stupid and they know when they are being treated fairly or unfairly. Earlier, the Minister of State, Deputy Harris, indicated that it was very gratifying for him to be able to contribute to this debate in the context of a growing economy in which more people are at work. Michael Taft recently noted that Ireland is a deprivation nation.

However, behind all the statistics and announcements of growth and job creation is the grim reality which does not feature much in the discourse of this House or in the Dáil. Unfortunately, we are a society that is riddled with high levels of poverty and deprivation. Recent EU Commission data shows that Ireland has much higher levels than most other comparable EU countries. At present, material deprivation in Ireland is 58% higher than the EU-15 average; a quarter of the population in Ireland live in material deprivation; and one in ten people live in severe material deprivation. The growth in the number of people suffering deprivation has been substantial. Between 2007 and 2012, the number has more than doubled from 450,000 to 1.1 million. There is a similar pattern among those who suffer from severe material deprivation because the figure of 190,000 has increased to over 450,000.
Members will want to know why I have raised this matter and is it relevant to the Finance Bill that we are discussing here today. As Michael Taft, in his blog, said:

Let's cut to the chase: one million people living in deprivation, nearly one-in-three children suffering deprivation, is an economic, social and moral indictment of the priorities of a government that privileges tax cuts over poverty-reduction.

There has not been much indication by the Government that this an issue or a matter of national urgency. A cut in taxation for people on higher incomes is on the agenda but cuts in poverty and deprivation are not or at least not in any real or tangible way. It is important to note that it is impossible for us to enhance growth in our potential if we are burdened with deprivation levels.
I wish to welcome the positive aspects of the Bill. The abolition of the double Irish scheme is overdue and should be welcomed by anybody who cares about Ireland's reputation. We would go further and abolish it as soon as possible instead of giving companies five years to put alternative arrangements in place. The Government should be leading rather than being led on corporation tax.
The Bill contains some positive moves for farmers, particularly young farmers which has been mentioned by a number of Senators this afternoon. I would like to raise an issue with the Minister and perhaps I will return to it on Committee Stage. I refer to a situation where a young person returning to Ireland will face obstacles in taking over the family farm. Section 82 contains a provision to target a relief at individuals who will actively farm agricultural property. What happens if a young person returning from the likes of Australia wishes to take over the family farm? That person will not have been active or have the necessary time to meet the requirements. Is there a mechanism to address the matter? Can the Minister of State comment on it further now or on Committee Stage? I understand the principle behind the amendments but worry about the consequences this provision could have for returning emigrants wishing to take over a family farm but are unable to stick to the time limits.
It would be remiss of me not to mention how the budget affects young people and how little their welfare was considered in its formulation. I compare the lack of will to reverse the discriminatory cut made against young people's social welfare by certain tax cuts. We have all had tax cuts and faced them but young people on social welfare remain on low rates of income. We should have invested in reversing the cuts to welfare. There are other issues of great concern to my party but we will discuss them at different Stages of the legislation. As in the Dáil, my party does not support the Bill in its current state. I look forward to engaging on it during further Stages and will try to adapt it to better meet the principles of progressiveness, fairness, equality and social justice.