The Order of Business today shall be as follows: No. 35, Planning and Development Bill, 1999 [Seanad] – Report Stage (Resumed) and Final Stage. It is also proposed, notwithstanding anything in Standing Orders, that the Dáil shall sit later than 8.30 p.m. and business shall be interrupted not later than 10.30 p.m. Private Members' business shall be No. 93, Housing Policy: Motion (Resumed) to conclude at 8.30 p.m.
Order of Business.
There is one proposal to put to the House. Is the proposal for the late sitting agreed? Agreed.
Since the Minister for Finance's inflation projections have now been completely discredited, does the Taoiseach intend to meet the ICTU as a matter of urgency to look at the implications for social partnership? Would he also indicate whether, as signalled in the newspapers, he intends to introduce supplementary budget measures regarding social welfare and other direct and indirect tax measures to the House? Would he indicate if that is his intention and when the House will be informed of the proposals?
Since the strategy outlined in the budget is now in disarray and since the Taoiseach promised a second Finance Bill, will there be a second Social Welfare Bill also? Does he accept that the Minister for Finance, who inherited an inflation rate of 1.5%, has now managed to triple the inflation rate, double the rate of increase in house prices and put social partnership in jeopardy? What specific measures does the Government intend to take to address this matter?
On the same matter, will the Taoiseach respond to the concerns raised by IMPACT and other trades unions regarding the inflation figures and the implications for their members? Will he take into account the widespread concern there is at the decision to join the monetary union given the effects this is having as the UK is not a member? Would it be possible to address this in the supplementary budget which is being discussed?
(Dublin West): On proposed legislation, will the Finance Bill, which is being mooted but not definitely promised, be introduced before the recess of the Dáil since the figures on inflation have shown that the wage increases have already been wiped out and we cannot wait until the autumn? In that regard, what is the Taoiseach's proposal now that national partnership has been exposed as nothing but a ploy to keep wages down while allowing speculative profits, rents and profits generally to go through the roof at the expense of ordinary working people; and the fact that partnership has been exposed as a sham which benefits only a tiny section of employers, bosses, rack-renting landlords and land speculators?
A question on the Order of Business.
(Dublin West): We now need a response from the Government to ensure that the wages of ordinary people, their living standards and their ability to buy or rent homes without being rack-rented is protected.
Deputy Bruton asked if the Minister for Finance would meet the ICTU. The Government will meet it at an early date to discuss inflation and other issues.
Before the end of the month?
Yes. On the issues of the programme, as I have continually said, price stability must remain an important part of policy. We should not panic on the basis of one month's figures, but there are important issues—
(Interruptions).
Order, please.
At least Fine Gael cannot be blamed for the inflation figures.
A range of important issues must be addressed. Proposals will be issued by Government to deal with housing. There are other areas, such as competition, with which the Government is dealing and with which it will continue to deal. Another issue is certain trades, especially in the services industry, where there have been substantial increases without substantial increases in productivity. Competition and competitiveness is a key issue in this. The House will know that our competitiveness position in OECD terms is now seventh, having increased from 21st, so we have improved our position. However, we will have to continue to deal with these issues.
Who wrote this stuff?
It is nonsense.
Deputy Barrett should not interrupt while the Taoiseach is speaking.
Deputy Barrett and his colleagues asked me about social welfare increases.
The Government has made a mess of it.
The Government of which he was a member linked social welfare increases to inflation as a policy. It gave no increases. It ignored the issue.
(Interruptions).
Order. The Taoiseach is in possession. Please allow him to complete his reply.
Why does he not do something effective like resigning?
The Taoiseach is in possession and should be allowed complete his reply.
Inflation has doubled under cavalier Charlie.
The Minister, Deputy Woods, cannot even get exam papers corrected. It is a shambles.
The House should hear the Taoiseach without interruption.
I understood from the Ceann Comhairle's ruling that he had changed Standing Orders to allow Deputies raise issues of importance. I have listened to them raise issues of importance and I am endeavouring to reply but they do not want to hear the answer. I would like to answer.
I do not agree with Deputy Sargent's assertion that inflation is caused by membership of economic and monetary union.
The Government does not have the tools to deal with inflation.
It is rudderless.
Deputies should cease interrupting.
The euro 11 area has an average rate of inflation of 1.5% and we are obviously above that, but it cannot be blamed on EMU.
I do not agree with Deputy Joe Higgins that social partnership is for the few. It will allow for economic growth of 10% this year and employment of another 100,000 people. It has given us the lowest unemployment figures and more stability in the economy than we have ever had. It has given enormous tax cuts and a standard of living and quality of life this country has not had since its foundation. I reject the Deputy's assertion.
There is no quality of life.
I call Deputy John Bruton and remind the House that this is the Order of Business, not a debate.
Does the Taoiseach agree that the forecasters advising the Government about inflation trends for this year have got it badly wrong and ought to be seriously questioned about their competence? Does he also agree that the fundamental problem concerns the supply side of the economy in that there is an inadequate supply of housing and outlets for petrol, drink and other price sensitive products? Does the Taoiseach agree that we need a review of the supply side of the economy if we are to reduce inflation?
Does the Government intend to ensure social welfare recipients are cushioned against the new inflation rate? Will he guarantee the House that people will not be worse off this year than they were last year as a result of tripling inflation? In the context of the promised new Finance Bill, will the Taoiseach address the issue of the botched job the Minister for Finance has made in his forecasting of economic developments this year, and does he accept that the halving of capital gains tax was a dramatic mistake which should be reversed?
The Deputy is making a speech. He should conclude.
Does the Taoiseach accept that the bulk of commentators who forecast the disaster—
The Deputy is commenting.
—were not creeping Jesuses, as the Taoiseach described them, or left-wing pinkos, as the Minister for Finance described them, but people who were clued in to what was happening in the economy?
I call the Taoiseach for a final reply.
Does the Ceann Comhairle agree—
No, I have called the Taoiseach and that will be the end of this matter. I allowed the Deputy contribute and that is enough. The Deputy will resume his seat. I have called the Taoiseach.
It is the 1977 Government all over again.
(Dublin West): Has the Taoiseach anything—
Deputy Higgins should resume his seat. I have called on the Taoiseach.
(Interruptions).
The Deputy is being disorderly and should resume his seat.
(Dublin West): The Taoiseach should reply—
The Deputy had an opportunity to contribute. He is being disorderly now and should resume his seat.
We are addressing the issue of profiteering where people benefit from large increases in prices. I have already cited a number of examples in that area and we have endeavoured to deal with it in a number of ways. Deputy Bruton asked about supply side constraints and clearly they exist. There have been price and wage increases in the services industry in the order of 15% in return for productivity of 1%. That does not match. I have made this point for a number of months.
The Government is doing very little about it.
I will say what is being done about it. Despite a very difficult programme, the Government correctly maintains the argument, and most people would agree with it, that wage increases should be kept at the relatively low level of 5.5% so that we do not make the major mistake which was made for decades of getting caught in the spiral of trying to follow price increases with wage increases. We will not do that.
Wage earners are paying the price for policy failures elsewhere.
We will not allow that to happen.
Why does the Government not throw in the towel?
It is a disaster.
Please allow the Taoiseach to continue.
It is time for the Government to go.
If I could complete my reply, if anyone is interested—
Please allow the Taoiseach to continue without interruption.
There may be a Finance Bill for some of the finance measures. As regards other issues, we must continue to monitor those. It is our intention to ensure that people on social welfare do not lose out over the year—
How?
—and we will continue to do that.
We have the highest rate of child poverty in Europe.
Old age pensioners and similar categories already received increases over 8%.
What about disability benefit?
I do not agree with Deputy Howlin's policy of linking social welfare increases to inflation. That is not our policy and we do not intend to follow it.
Does that mean the Government is in favour of letting those people sink?
We must move on. We have spent 20 minutes on the Order of Business on this subject. I call Deputy Bruton. Has he a new matter?
Yes. Does the Taoiseach agree that there is a substantial problem of child poverty in Ireland aggravated by the fact that child dependency allowances in the social welfare code have not kept pace with inflation—
We must move on to a new subject. We cannot have a full debate on this.
—and that children especially are paying the price of the Government's mismanagement of the economy?
I will not allow that question. Deputy Deenihan on a completely new matter.
What about the homeless in Cork and Dublin sleeping rough on the streets?
The Government will be homeless quite soon.
Will Committee Stage of the Broadcasting Bill be taken before the summer recess?
It is on Committee Stage at present. A date has not been set. It is a matter to be arranged. It is for the committee to organise.
A year ago this week the Government accepted the whistleblowers Bill from the Labour Party and it has been buried in the bowels of the Department of Justice, Equality and Law Reform since. The Taoiseach made clear his position on banning business funding of politics. Is he going to roll that Bill into one of his own? Will he bring forward a Government Bill on the funding of politics or will he not do anything?
The standards in public life Bill has been through the committees of this House. It would have been passed only I was asked by other parties to put it through the committee sys tem, which was a good exercise. We have done that.
It concluded months ago.
That Bill will be published shortly. The remaining issues will now be examined by the Government and we will bring forward another Bill. There are about five or six issues which have to be dealt with and the Government will bring forward another Bill on those issues.
Will the specific issue of funding be dealt with?
Yes, it is one of the issues.
(Mayo): Last week at their annual conference, the coroners expressed concern about the hugely increased demand for their services, outmoded procedures, inadequate facilities, etc. What is the situation on the long promised amendment to the 1962 Coroners Act?
That is not listed as far as I know. I would have to check for the Deputy. It is not on the scheduled list of legislation.
(Mayo): A review body, established by the Minister, is sitting at present and I understand a report is imminent. Perhaps the Taoiseach could check that out.
I assume the matter of amending the 1962 Act will be looked at after it reports. At this stage, a coroners amendment Bill is not listed.
What is the current position and the intended future address of the Telecommunications Infrastructure Bill which was first published in March 1999? In June 2000, I am anxious to establish the current position of that Bill.
That Bill is in the Seanad at present and it will come here.
I know undergraduate students could probably make a better job of projecting inflation than the Minister for Finance but does the Taoiseach believe it is acceptable that students should replace experienced teachers in the correction of State examinations?
That is not for the Order of Business. There are other ways to raise it.
Serious issues are falling asunder under the Government.
I call Deputy Shatter.
Will the Ceann Comhairle make an opportunity available later today to discuss it?
If the Deputy asks for it to be considered.
Will the Taoiseach clarify whether, in the context of what he said earlier, he will publish a new emergency Finance Bill in this session and whether a new Social Welfare Bill will be published and brought before the House in this session?
On the issue of a Finance Bill in this session, as I said yesterday, a decision will be made on that today. There will not be a Social Welfare Bill this session.
No help for those on social welfare.
Although there is a labour shortage and the Department of Enterprise, Trade and Employment is going around the world looking for workers, there is a sector in our community in which there is a high level unemployment, that is, people with disabilities. In many cases, they cannot get out to work and some of them could not even get to the Taoiseach's announcement about them the other day.
A question.
It took two hours for the chairman of the forum for people with disabilities to get to the Taoiseach's announcement. A disabilities Bill has been promised but we are told it will not be introduced until next year. Can there be a sense of urgency about the need for proper arrangements for people with disabilities so that they can get around, participate, get out to work, take part in education programmes and so on? This needs to be treated with urgency. When will the disabilities Bill be introduced?
As the Deputy knows, more has been done in recent years for people with disabilities than has been done since the foundation of the State.
Untrue.
Three major Bills have been dealt with. The new Disability Authority was set up on Monday of this week. There has been an enormous amount of funding—
What happened to the education rights they were meant to have?
—leading to about £70 million or £80 million. The heads of the disabilities Bill are being prepared at present.
I call Deputy Naughten.
I asked the Taoiseach when the Bill would be introduced.
I answered that.
Will the Taoiseach allow time for the Minister for the Environment and Local Government to make a statement in the Houses on the threatened industrial action by driving test instructors—
I call Deputy Howlin. Deputy Naughten may pursue the matter in another way.
The Government will have to do a driving test as well.
In the draft supplementary list of legislation circulated to Whips yesterday, there is a courts supplemental Bill. When will this be published and what does it concern?
It will be taken by the end of this session and the contents will be in the Bill. It was passed by the Government yesterday. I think it is being circulated today.
It is normal that the contents of a Bill are noted on the list of promised legislation.
We cannot discuss the contents of a Bill on the Order of Business.
What, in general terms, does the courts supplemental Bill—
Deputy Neville to ask a question.
I will get Deputy Howlin a note on it.
When will a Bill be published to introduce a children's ombudsman in light of the Government's representative proposing an amendment to the draft EU charter on fundamental rights to delete a reference to children's rights?
The Deputy cannot elaborate. Is this promised legislation?
Yes, it is. The Bill will be introduced in the autumn session.
When will the Nitrigin Éireann Teoranta Bill come before the House? What is its status?
It was due this session but it will not be introduced until the next one.
A Deputy
The next Government.
The Taoiseach said the Government is examining legislation to deal with the question of donations to politicians. He also said in this House that there is—
Will the Deputy ask a question?
—a constitutional impediment to banning corporate donations. Is the Taoiseach prepared to hold a referendum so that people can decide on this matter?
This is not promised legislation. We must now conclude the Order of Business and proceed to No. 35, the Planning and Development Bill, 1999 [Seanad] Report and Final Stages.