John Bruton
Ceist:5 Mr. J. Bruton asked the Taoiseach the new reports, if any, commissioned from the NESC; and if he will make a statement on the matter. [26871/99]
Ceisteanna–Questions. - NESC Reports.
The National Economic and Social Council is now entering a new cycle of work following the completion of its strategy report. The council will meet in the new year to decide on its future work programme. It is envisaged this will include work on a study benchmarking Irish progress in a number of areas of strategic importance, both over time and by comparison with other countries. The issues to be addressed will be a matter for the council to decide, but I understand that the work programme is likely to include a report on profitability in the economy and associated policy issues. I have no plans at this time to commission a specific report from the council.
Why did the Taoiseach ignore the NESC report in regard to increasing allowances rather than concentrating on bands and rates in drawing up the budget?
I have already made a statement on new reports commissioned from the NESC.
Will the Taoiseach agree that it is demoralising for NESC in regard to future reports if it finds that when it produces a carefully worked out report to achieve social justice in budgetary policy by increasing tax free allowances rather than putting all the weight on bands and rates, that the Government simply bins the NESC report and ignores it as if it was never drawn up? This makes little of the work of the social partners who drew up the report and replaces it with the impressionistic ravings of whoever advised Charlie McCreevy when drawing up the budget.
Before the Ceann Comhairle rules the question out of order, I must say I am aghast at what Deputy Bruton has just said. Members will recall that when the NESC report was published some months ago, I had to try to defend those who worked on the report when Deputy Bruton said it was vague, not directed, not coherent and somewhat hopeless. He said he was disappointed and I did my best during Question Time to try to cheer up the Deputy.
If the Taoiseach believes so much in the report, why did he ignore it when drawing up the budget? There was just one recommendation in the report, that was that the Minister should go for allowances, not for bands and rates. It was vague in virtually every other area but it was clear on that issue. Why did the Taoiseach ignore the NESC report given that he defended it in this House?
The Deputy will recall on that day, as on many other occasions, I stated that the key issue identified by NESC, and rightly so, was the appalling situation whereby people on very low incomes drifted into the higher rate of tax because the bands were too narrow. The budget changed this for the first time in many years. The key recommendation of the NESC report has been implemented. We will continue to implement some of its other recommendations.
Congress does not agree with the Taoiseach.
I remind the House that £942 million from State coffers will be returned to people. Workers, members of trades unions and Members of this House will benefit from this.
Not the low paid.
There will probably be more joy on 5 April when people receive their pay packets than there will be in the new millennium.
(Interruptions).
Order, please. The Chair has allowed passing references to the budget. I insist that these passing references do not develop into debating points.
In that case, a Cheann Comhairle, I hesitate to ask this question for fear I might follow the path of the other two speakers and be ruled out of order. In light of his sterling defence of the NESC report, which is the subject matter of the question, why did the Taoiseach admit to members of the executive of congress last Wednesday that in his view the budget was unbalanced?
That question is a matter for the budget debate.
It is on the record. It was reported in The Irish Times. I heard from people who attended the meeting that the Taoiseach apologised for his Minister for Finance's budget the previous week.
On a point of order, Deputy Quinn asked that question during Question Time yesterday. I did not hear the question at the time. However, I heard the question and the Minister for Finance's reply which was played back at 12.20 a.m. on RTÉ radio, therefore the Deputy knows the answer to the question. On the other issue, Deputy Quinn is correct in some respects but remarkably wrong in relation to matters discussed during the confidential talks which took place. I hope those involved in the talks are not briefing the Deputy.
What stick is the Taoiseach waving now?
None, I do not need it.