Seán Fleming (Laois-Offaly, Fianna Fail) | Oireachtas source

I thank the Cathaoirleach Gníomhach and I welcome the contributions from 14 Senators on Second Stage. I will make some general comments and we can then discuss the Bill on a section-by-section basis on Committee Stage.

A number of issues were raised. I welcome the generally positive tone and support for this legislation. Some people have highlighted issues that could be but are not included and some that could not be included in a Bill such as this. Other particular measures were mentioned that people are not satisfied with.

There was a question as to whether investors have to provide statements of affairs under the loan guarantee scheme. I do not have an answer to that here today because it is not connected with this legislation at all but it is something that I have taken note of and will check separately.

The question was asked as to whether we should have done more on VAT within the tourism sector, where the 13.5% rate was reduced to 9% previously but has now gone back up. This is an all-economy approach, we are not doing it sector by sector. We needed to get something done as soon as possible and every sector can avail of any aspect of this, not just under this legislation. There are other elements within the July stimulus package that are available to tourism and various other sectors and there is not therefore a provision specific to that sector. Legislation normally covers the economy across the board.

An issue was mentioned in connection with the help-to-buy scheme, which I understand. We will discuss this on Committee Stage, together with the question of whether the TWSS should run a little longer and have a greater overlap with the new scheme that is coming into place. There is also the issue of people earning less than €150 per week and the fact that a third of taxpayers will not be able to avail of that scheme. There is another good way of looking at the matter, which is that there are so many people on low wages that are not within the tax net. I see that as a positive rather than that they are being penalised in not being taxed, or that their employers may not be getting the subsidy. The other half of that equation is they are not paying tax in the first place.

People noted their opposition to various sections of the Bill. It was stated that what is proposed might have been a €10 billion instead of a €1 billion plan, and that a Brexit fund should have been as well. We are dealing strictly with Covid-19 here. Before the year is out, we will have plenty of Brexit issues and will be making various arrangements in that regard with legislation relating to Brexit.This Bill relates specifically to Covid-19. Many issues were mentioned such as health, schools and childcare. There are measures specifically to deal with the childcare sector, which have been welcomed, because we all hope that sector is up and running and that there is not a reduction in income in the second half of this year compared to last year. That is the reason special measures are contained in the Bill but the broader childcare issue that was raised is a much bigger one and is best directed to the separate Minister who is working on that.

Speakers complained that an impact assessment was not carried out on some aspects of the Bill. Others said we should have included a lot more measures without any impact assessment being carried out. It is difficult to get the balance right. I accept that no impact assessment has been carried out on the help-to-buy scheme. If we went down that road we would not be able to make the improvements we are making because we would be preparing reports for a long period. Sometimes we have to move on legislation where there is an urgent need, such as due to the Covid crisis.

Reference has been made to proprietary directors. They are not eligible. That is the simple fact. They are not considered normal employees because, as with self-employed people they are both employer and employee. They have a different relationship. If a business is up and running, they are running a business and they are in a different category from the employees they take on. If the business has not opened then, as with the category of self-employed people, they could come in under the Covid payment. The logic behind the measure is that proprietary directors are in a very different position from what we would call regular employers.

I was taken by the bike-to-school scheme that was mentioned by Senator Bacik. I like it. To be honest, it is the first time I have heard it. It is good to hear such an idea. We all know that children need more exercise. That would be a good thing but the Senator will appreciate it is not in this Bill.