Mark Daly (Fianna Fail) | Oireachtas source

Thank you. Unfortunately, the Department and the Minister for Social Protection stated that the advisory group was not convinced that there was a need for an extension of social insurance for the self-employed to provide cover for jobseekers. The Senator might take that up with his Minister and, if we were to put down a motion, I hope he would support it.

There should be equity for all. There should be a living wage but how we get to the concept of a living wage is a difficult matter because a minimum wage is not the same as a living wage. When one is better off on social welfare than working there is a problem. When families are better off not accepting jobs and remaining on social welfare the system is not working. Equity is what we are looking for. A levy on banks was suggested because they would not bring down their variable rates and we could do that. We could also bring in legislation. There are a number of other things the Government could do but it must do something because the banks are causing another crisis in our housing sector by putting people under so much pressure. They are vetoing the mortgage resolutions and forcing the taxpayer to pick up the bill because when people lose the roof over their heads they require housing at the expense of the taxpayer.

The spring economic statement is part of the new requirements under the fiscal treaty but another new Commission proposal is of great concern and would affect us all. It is one of those creeping, incremental proposals that they keep talking about in Europe until people get so used to hearing it being mentioned that they think it will never happen. Then, one bright breezy day, it does happen. There are ongoing manoeuvres to ensure corporation tax is paid in the countries in which earnings are generated. This is the Commission's agenda and its aim is to achieve that agenda. As the Minister will be aware, Ireland lost a vote on this being an issue of subsidiarity, having argued that it was for Ireland alone to make the decision. Ireland alone sets its corporation tax rate but the issue is of concern for us because big countries such as France, Germany and Italy would like corporation tax paid where a product is purchased. This might be very hard to prove in the case of Google, which makes many sales through its search engine in Ireland but to Italian customers, as a result of which Italy is demanding its share and Ireland is losing the battle. Our corporation tax rate of 12.5% counts for nothing - what matters is the fact that these companies pay their tax here based on the fact that we are in the European Union. If the proposal for corporation tax to be paid in the country where revenue is generated is successful and Ireland loses the case there will be no money to pay for the things we were talking about. I ask the Minister to continue the fight to prevent companies which are based here because of our corporation tax rate from moving as a result of the big boys in Europe getting their way once again.