Simon Harris (Wicklow, Fine Gael) | Oireachtas source

I thank Senator Reilly. This is an important matter that was raised with many Members in advance of the budget. The Minister for Finance, Deputy Noonan, considered the proposal for the introduction of a tax relief for graduate entry medicine loans in the context of the recent budget. He decided at this time that the tax system is not the appropriate way to address the affordability of graduate entry medical programmes. The affordability and funding of undergraduate medical education is, in the first instance, a matter for the Department of Education and Skills, having due regard to the needs and requirements of the health system for medical practitioners. The current focus of the Department of Health in respect of the recruitment and retention of medical practitioners is on the implementation of the recommendations of the strategic review of medical training and career structure, completed earlier this year. The strategic review report addresses a range of barriers and issues relating to the recruitment and retention of doctors in the Irish public health system and offers solutions and recommendations that will enable the State to build a sustainable medical workforce for the future. For those availing of a graduate entry medical programme, tax relief is available for tuition fees incurred on the programme up to a maximum of €7,000 per year.

Tax relief, no matter how worthwhile, reduces the tax base and makes general reform of the tax system more difficult. Given that the Minister for Finance has already rejected the introduction of an additional tax relief for these courses, the Minister does not propose to accept the recommendation that a report on the options for introducing it be laid before the Houses of the Oireachtas. I am sure we can return to this issue.