Budget fairness and employment
Senator Cullinane calls the budget regressive because higher earners gain more, while Senator Mullins defends its USC changes, employment supports and sports funding.
Whatever about the road less travelled, I hope the Government does not adopt the arrogance of previous Governments and slap itself on the back. I noticed an air of celebration yesterday evening among many Fine Gael and Labour Deputies and Senators. I hope that had to do with John O'Shea's late equaliser, not the regressive budget that was put in place yesterday.
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If I could continue. I thank the Senators for their interruptions. The reality is this-----
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The same question was put to the Taoiseach in the Dáil yesterday and this morning. An individual earning more than €70,000 per year will gain €746 under the budget. A couple earning €30,000 per year gains €174. This means that Government Senators and the Taoiseach will benefit four times more than the couple. Again, the Government has gone for an unfair and regressive budget. It had the opportunity to scrap water charges and the property tax and to put €800 million back into the pockets of working families across the State, which in turn would have boosted the economy. Instead, it gave the greatest relief to the highest paid earners.
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Proportionally, they will benefit more. While the Labour Party might disagree, these are the figures. A low-paid worker on €30,000 will gain €174, which will be negated by water charges. A middle-income earner on €50,000 will gain €546, most of which will be wiped out by the property tax and water charges. A higher earner on €70,000 will gain €746. The greatest benefit should have gone to middle and low-income workers as well as the unemployed. The Government's budget failed to address inequality and poverty. Instead, the budget will increase poverty and inequality levels. Cleverly from the Government's perspective, it tried to give something to everyone. In doing so, it gave nothing substantial to anyone except the top earners.
I wish to propose the amendment to the Order of Business that I proposed and withdrew yesterday because it was budget day, namely, that the Minister for the Environment, Community and Local Government should attend the House to discuss the water services plan. We have not had such an opportunity yet. The Leader stated that he would endeavour to arrange for one. Water charges are a considerable issue for people.
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I am surprised that Senator Cullinane has not welcomed the higher rate of USC to be imposed on higher earners.
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He has always asked us to ensure that higher earners pay more. That is what we did in this budget.
The budget is prudent and responsible and is designed to help low and middle-income families, with an emphasis on returning people to work. I welcome the €1.1 billion to be spent on employment supports in 2015. Currently, 1.92 million people are at work, an increase of 80,000 since 2012. Some 48,000 jobs are projected to be added to that figure by the end of 2015. Returning more people to work is key to ensuring that scarce resources are freed up to help the more vulnerable in society.
A number of the budget's provisions have not received much publicity but are to be welcomed, for example, the €10 million allocated for new Garda vehicles, which are badly needed to tackle rural crime. I refer in particular to burglars coming to rural Ireland in high-powered vehicles.
I agree somewhat with Senator Norris, but €600 million has been allocated in the budget for overseas development aid. This level of funding will enable Ireland to play a pivotal role in addressing the world's many humanitarian crises. I wish that other countries, many of which are richer than ours, honoured the commitments they gave at various forums and conferences. Ireland is the one country that honours every commitment it makes in respect of overseas humanitarian aid.
I welcome the additional €1 million for new projects and initiatives as regards the diaspora. I am rather surprised that Senator Daly, who is always concerned about the diaspora, did not welcome this provision, which increased funding to €12.5 million.
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Opposition Senators' memories are particularly selective this morning.
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I welcome the new sports capital funding for 2015. The 2014 programme has been successful and many communities will benefit significantly from the investment in projects.