Budget 2012 has been described as “tough but fair” by Labour Galway West TD Derek Nolan but Sinn Féin senator Trevor Ó Clochartaigh has condemned it as “one which punishes the least well off for the failings of the speculators and bankers”.
Commenting on Monday and Tuesday’s Budget announcements, Dep Nolan said the spending cuts announced were “tough, necessary, but as fair as they could be”. He added that while “this Budget will impact on every sector of society”, Labour had ensured “the most vulnerable have been protected”.
However Sinn Féin senator Trevor Ó Clochartaigh was having none of this and declared that the Budget was merely “ Fine Gael and Labour continuing with the failed policies of Fianna Fáil”.
“The Taoiseach told us all on Monday that we weren’t responsible for this mess, but he’s making the most vulnerable pay for it,” said the An Cheathrú Rua based senator.
Dep Nolan defended his claims by saying that the “cuts outlined are €300 million less than would have been the case in the last administration’s four year plan”.
He also pointed out that there will be no change to weekly social welfare rates; that the Government will continue to provide for children with special needs; and the mental health budget has been ringfenced.
However Sen Ó Clochartaigh said the fact remains that Budget 2012 still contains an almost €500 per month reduction in disability allowances for those under 18. He also said the increase in the school transport charge from €50 to €100 will greatly affect families in rural Galway.
Sen Ó Clochartaigh further criticised the reduction in child benefit, saying it was “among the most brazen and cowardly U-turns effected by this Government so far”.
Dep Nolan acknowledged that the spending cuts to overtime and allowance in the public service are “difficult to bear” but that the Government is committed to creating new jobs, through limited recruitment in areas of the public service, while a new €20 million activation fund will target the long term unemployed.
Sen Ó Clochartaigh though said Budget 2012 was “a missed opportunity” to “stem the growing tide” of emigration.
“The Government have spurned the chance to improve the options available to our young people,” he said. “Alarmingly these measures do nothing to create employment. In particularl there is nothing to create employment in Gaeltacht areas. This Budget has taken €3.8 billion out of the economy, and mostly from those on low incomes, those who are most likely to spend it in the local economy.”
Sen Ó Clochartaigh said the Government should have concentrated on eliminating spending waste and the imposition of fairer taxes, as opposed to cuts which target the vulnerable.
“We would also invest in a €7 billion stimulus, over three years, which is essential to getting people back to work,” he said. “The Government needs to take on an approach which creates jobs, not one which punishes the least well off for the failings of the speculators and bankers.”
