Michelle Mulherin (Fine Gael) | Oireachtas source

I thank Senator Reilly for sharing time, and I welcome the Minister. The Minister for Finance's address provided us with a positive story. It is a vindication of some tough decisions that had to be made in the lifetime of the last Government that we are here today looking at 160,000 jobs created since 2012 when we had the high point of unemployment at 15.1%. Some 50,000 jobs are projected to be created this year, along with a reduction in our budget deficit. All the targets that we need to achieve are being over-achieved. We had an additional 9% increase in tax for the first six months of this year, which is 3.5% above the projected profile. It is all good news and means that we have got the sort of space to discuss public service investment, as well as the sort of country and society we want.

We should reflect on the census figures released today, which tell a story. They also paint a picture of migration in the west because jobs are being created not just in Dublin but other big urban centres. The regional action plan for jobs has been welcomed as a targeted way to grow the regions economically, but we need a proper spatial strategy. That would recognise that Dublin and other big urban centres are under pressure for housing, schools and other public services. However, in County Mayo we have empty houses and a population decline because people are getting jobs in cities. Some rural schools may close due to vacant places, so there is a complete imbalance. From an infrastructural viewpoint, above a line from Louth to Galway city, there are no major interurban routes or high-speed trains. We have one gem in Knock airport, which needs more investment.

As regards the rainy-day fund, I would like a guarantee or confirmation regarded much-needed investment in health services like Galway University Hospital, which is our centre of excellence for cancer treatment. That hospital has capacity issues, so it should receive the required investment. In addition, Mayo University Hospital needs an extension to its emergency department and extra medical beds. Ballina district hospital also requires investment in the male ward to bring it up to scratch. I hope these places will not be neglected in favour of a rainy-day fund. The much-needed infrastructure I have mentioned should take place because it is needed as part of the solution.

As regards the suspension of water charges, over €40 million of long overdue capital projects are coming into Mayo. How will this be funded for the nine months? What arrangements are being made between the Exchequer and Irish Water to fund this? I understand they have succeeded in borrowing some money.

Are we facing penalties by virtue of this suspension of water charges, or has some comfort been received from the European Commission concerning the charges? We know the Commission stated that we have no derogation and must implement domestic charges. I presume that not to do so would be a breach and may result in penalties. I would appreciate if the Minister could answer those questions.