I welcome any plan to make information technology more widely available, particularly for the disadvantaged who cannot avail of it at present. Has the Taoiseach considered the implications for schools which currently have to pay 21 per cent VAT on computer equipment? There will be a huge investment of £15 million in schools but over £3 million will be taken in VAT. Will the Taoiseach consider removing VAT on computers being provided in schools? It is clearly an impediment to the development of information technology.

I would prefer if that question were raised separately with the appropriate Minister.

Schools have been mentioned.

Does the Taoiseach wish to intervene?

The money provided by the State to assist schools in purchasing computers is considerably in excess of the VAT that would be charged. The rates of VAT applicable to different goods is governed by EU law. It is not open to the Government to exempt any product, such as that mentioned by the Deputy, entirely from VAT. This applies also in hospitals. The Deputy is engaging in a well worn controversy. Rather than exempting them from VAT for this purpose, which could be going down a cul de sac, it would be more expeditious to give schools financial assistance to buy computers. We also hope businesses will supply computers. For example, businesses sometimes upgrade computers although the existing ones are perfectly good and would be adequate and useful for schools. In this way, through the Tech Corps initiative, 22 Dublin schools are being provided not only with computers but also with back up on their usage. I would like such private sector initiatives to supply computers at a low price to schools to be extended throughout the island.