Inept budget seen as starting gun for election

Most Irish politicians accept that the 26 County general election will be held next month following a cash ‘giveaway’ by the government in its annual announcement of its plans for the economy.

Despite a record budget surplus, the coalition government flung cash in pointless and random directions, with no effort to tackle the dire shortages and desperate needs facing the people of the state.

The Coalition was accused by financial experts of frittering away the exceptional surpluses from the boom on corporation tax receipts and the recent €14bn Apple tax judgment.

A vote-buying series of one-off payments include a double child benefit payment and a double welfare payment, including old age pensions, which will all be made before Christmas, as well as an untargeted universal energy credit of €250 to every household.

The 4% middle rate of the USC tax is to be reduced to 3%, disadvantaging those on lower incomes, and at a time of vaulting rent and food prices. The announcements included an increase of only €12 to social welfare payments.

However, the spending increases are expected to drive up the cost of living, adding an estimated €1,000 to the cost of a typical household’s yearly outgoings.

In its response to the budget published on Tuesday night, the Irish Fiscal Advisory Council warned the budget could have a damaging effect on the economy.

“Ireland needs a more serious vision that delivers on the economy’s needs without repeating the boom-to-bust pattern of its past”, it said.

Trade union umbrella group ICTU said the budget was “highly irresponsible” and had displayed no long-term strategy to fix long-term structural problems.

There was widespread dismay at the failure to advance plans for dealing with the housing and homelessness ciris, and nothing at all o alleviate the nightmare of Irish public hospitals.

A row over surgery waiting times and delays broke out in the Dáil on Wednesday as Sinn Féin accused the coalition government of failing young children who are still waiting on confirmations for life-changing spinal operations.

No plans to tackle the long-standing issue of spinal surgery waiting lists, arguably the most immediate need facing the state, were included in the budget statement.

Sinn Féin leader Mary Lou McDonald highlighted the case of 13-year-old Darragh Higgins who has been waiting for surgery for five years and is now becoming inoperable.

Ms McDonald criticised the budget as “directionless, lazy, copy-and-paste politics from the Government’s tired old playbook”.

She said the public now has a clear choice to make in the general election and she called on the Taoiseach to “bring it on and name the date”.

Aontú leader Peadar Tóibín TD also accused the government of “unashamedly buying citizens’ votes with their own money” with multiple one-off payments this side of the election.

“Universal once-off payments are more about raising poll ratings that lifting families out of poverty,” he said.

“Long term targeted supports lift families out of poverty.

“The reduction exclusively of the middle rate of USC as opposed to spreading the cut over the middle rate and the lower rate means that those on upper incomes will benefit significantly more.

“In terms of infrastructure, its waste as usual. The government will deliver less for more cost. Infrastructure projects are grinding to a halt while their budgets are ballooning.

“There is nothing in this budget that gives any practical confidence to the government cliché that lessons have been learned”.

Preparations are reportedly under way to facilitate an early election should the Coalition leaders end their denials and decide to go to the country next month.

Budget measures are being fast-tracked to be passed by the Dáil in the next week or two.

It was reported that officials have examined ways of accelerating the passage of three budget bills through the parliament. It is also expected that a key planning Bill will pass through its final stages next week.

However, despite all the preparations, senior government figures still claim no discussion on a date has taken place between the party leaders.

Urgent Appeal