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Seanad
‹ Order of Business

Spring statement and economic recovery

Summary

Senators debate the spring statement, with Government supporters welcoming projected fiscal space and Opposition members criticising its lack of substance and the unequal effects of recovery. A debate with the Finance and Public Expenditure Ministers is requested, while speakers also urge that vulnerable people benefit from increased resources.

After watching the PR sideshow in the other House, I have concluded that the Government's new initiative of spring statements, which has no substance and is of no consequence, might afford us an opportunity-----

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The Senator has come across some sideshows.

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Those who are struggling in mortgage arrears or paying rip-off rates on variable-rate mortgages, and those whose respite care grant has been cut are being given nothing new. It was a set piece to allow the Minister for Finance, Deputy Michael Noonan, and the Minister for Public Expenditure and Reform, Deputy Brendan Howlin, to congratulate each other and say that everything is great. Maybe we could assist in some way if the Leader has already scheduled time in the next week or two for both Ministers to come to the House. If they wish to come together, as it appears they get on well together, I would have no problem with that. We can put in another chair and they can sit there and hold hands if they wish. We could go through the spring statement in detail. This is a very strange departure. For a Government that was elected on the promise of doing things differently and introducing a new kind of politics, this is auction politics at its best. It has tried to get a full week's publicity in the run up to statements made today that do not stand up in any shape or form and that are devoid of substance and any type of plan for future action. Will there be a budget in October? What is happening with the self-employed? What is happening with regard to assistance for the self-employed, about which there have been leaks recently, assistance for those on variable-rate mortgages and all the children in this and other cities who have not been able to access early intervention since June 2012 and who have been affected by the reduction in the pupil-teacher ratio? Nothing. It would be useful if the two Ministers came to the House, together or separately, to address these points in the statements and allow us to question them and try to get some element of substance and fact from the statements they made today.

On behalf of my group, I want to say how awful the situation is in Nepal. We offer our sympathies to the people there on the thousands of deaths and injuries due to the earthquake. We welcome the Government's initial response. I know it will be going further by way of humanitarian aid for the people of Nepal, who need it desperately. Most of the country has not even been accessed yet. Some 85% of the people live outside the capital, Kathmandu, and their villages and towns have not been accessed at this stage. The Irish Government has already started to do this, but I call for us to support as best we can all the humanitarian efforts that are being made to alleviate the suffering of the people in Nepal.

Finally, I propose an amendment to the Order of Business that No. 15, the Moore Street Area Renewal and Development Bill 2015, be taken today, before No. 1.

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I join Senator O'Brien and others in expressing our condolences regarding the tragedy in Nepal. We all watched with horror as the death toll rose to above 4,000 people. I welcome the announcement by the Minister, Deputy Charlie Flanagan, and the Minister of State, Deputy Sean Sherlock, that Ireland will pledge €1 million in aid to the people of Nepal.

We all watched the spring statement today. I take exception to Senator O'Brien's description of it as some sort of PR sideshow.

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Bill and Ben. It was great television.

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Senator O'Brien and his colleagues are clutching at straws when they seek to trivialise this. When the Government took office just over four years ago, it was unthinkable that we would see this level of fiscal space, as the Minister for Public Expenditure and Reform, Deputy Howlin, has put it.

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Follow their plan.

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He and the Minister for Finance, Deputy Noonan, have today announced a fiscal space of between €1.2 and €1.5 billion for the 2016 budget, which will take place in October 2015. The Ministers have made it clear that these resources will be allocated on an equal basis between additional spending and reducing the tax burden on low and middle-income earners. The enormous improvement in the economy that this represents has been made very clear to people.

The idea of the spring statement is also to be seen in the context in which the Ministers have placed it. It is part of a reformed budgetary process, enabling Government to plan on a multi-annual basis and to plan expenditure in a much more coherent manner. We all welcome that, particularly the announcement by the Minister for Public Expenditure and Reform, Deputy Howlin, that gross voted current expenditure will be increased in this budget by €600 to €750 million, particularly to ease demographic pressures. There are some very stark statistics coming through on the demographic pressures facing us in education, for example, as well as in the areas of health and social protection. In education, we are conscious that we will need 3,500 extra teachers at primary and secondary level by 2021 to provide education to an additional 50,000 pupils. We know at third level that the number of students is projected to increase by 20,000 in the same period. We are facing significant demographic pressures and it is good that we are able to plan spending on this multi-annual basis and that we have additional money to allocate. This is to be greatly welcomed and the sort of petty comments being made by Senator O'Brien and his colleagues deserve to be seen in the context of their performance four and a half years ago-----

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I am just like that.

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-----in leaving this country in an economic mess from which it is now-----

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Let us call it like it is. The Labour Party followed a plan under which it voted against everything-----

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Denis O'Donovan An Leas-Chathaoirleach Fianna Fáil

Senator Bacik, without interruption.

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-----on the road to recovery. We should all welcome that.

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Anyway, enjoy today.

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Frankfurt's way or Labour's way.

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We should all welcome the very positive news in today's spring statement.

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Finally, I commend all the youth organisations that came together yesterday to launch a campaign in support of the marriage equality referendum. I see many non-political children's rights and youth organisations coming together to form an umbrella group in support of the referendum. That is very welcome.

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As we heard today, the economy is continuing to recover at a faster rate than was previously forecast. I welcome that and I also welcome the 50:50 split between reduction of taxes and increase of public services. Many of us called for that, not least the Labour Party. That is good news. However, we must ask whether, now that we are reaching the point where we can start spending on public services again, this will ultimately be good news for everyone. I will take the opportunity to remind the Government of those who are most vulnerable in society and who have been most severely impacted by the austerity cuts.

I will focus on one group among them, the 600,000 persons with disabilities and their families, including 200,000 carers who were not protected during the downturn. Cuts in HSE funding for disability services over the period between 2008 and 2013 amounted to 14.7%, and that has resulted in those with disabilities having lost the most basic and critical services of income supports which urgently need to be given back. I refer to the primary income supports impacting those with disabilities and their families. The disability allowance and the carer's allowance have also been cut by 8%. There is a lot of spending to be done in that area. The national disability strategy was to be a significant and practical implementation plan to advance social inclusion for those with disabilities. However, the funding cuts have been counteractive to that plan and the strategy needs to be implemented effectively without delay and the funding needs to reflect its objectives.

We heard in recent days and today that the Government is predicting full employment by 2018, yet those with disabilities are experiencing considerable difficulties accessing employment and are excluded from many of the employment activation programmes. The promised comprehensive employment strategy for those with a disability needs to be completed and implemented. I request an update regarding these plans from the Minister of State responsible for disability services, Deputy Kathleen Lynch, and also ask her to comment on whether there is a sincere commitment from this Government to include those with disabilities and their families in the economic recovery.

I have another question relevant to those with disabilities. I ask for an update on the completion of section 12 of the Criminal Law (Sexual Offences) (Amendment) Bill 2014 which is to replace section 5 of an earlier Act of 1993. It has not yet been published. All the other aspects of that Bill have been published. When can we expect that section of the long-overdue Bill to be finalised in order that it can be debated in the Houses?

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