Budget 2016 is fair and will benefit families – Coghlan

Fine Gael Senator and Government Chief Whip in the Seanad, Paul Coghlan has welcomed Budget 2016, saying it is a fair budget that will benefit families.

Speaking in the Seanad Senator Coghlan said:

“This budget is all about fairness and will be broadly welcomed by all fair-minded people.  This Government has been tasked with securing and enhancing the recovery while abiding by the fiscal rules and this is what has been achieved through Budget 2016. 

“The reductions in the Universal Social Charge from 1.5% to 1%, from 3.5% to 3% and from 7% to 5.5% and the increase in the USC entry threshold will mean we will all have more money in our pockets.  I also greatly welcome the commitment to progressively abolish the charge over the next five years.

“As a Kerryman, I greatly welcome the retention of the 9% VAT rate on the tourism and hospitality sector. The Minister for Finance, Michael Noonan, outlined in his budget speech that the need for this measure is diminishing in Dublin as hotel prices are rising. However in Kerry I believe this change has been a key driver of the local economy and it is only right that it has been retained.

“I also welcome the proposal by the National Asset Management Agency to develop 20,000 houses in the next five years.  These will be mainly starter homes, 90% of which will be located in the greater Dublin area where they are needed most as a result of the serious supply problem. 

“The threefold increase in the Christmas bonus for recipients of social welfare payments is also welcome because people are always stretched at that time of the year and face additional costs.

“I also strongly welcome the removal of the pension levy, which was imposed through necessity during very difficult times.  I am grateful it is gone. 

“The Government promised to fix the public finances and restore growth in the economy and it has done so.  It promised to make work pay and we are taking steps to live up to that promise.

“The top priority this year is to keep the recovery going in all parts of the country, while providing relief and better services. This Budget is affordable, responsible and consistent with the Government’s plan to replace all the jobs lost during the economic crisis by 2018.”