Ógra Fianna Fáil Pre-Budget Submission 2015

Budget Submission 2015

BudgetProposal

2015



ContentsIntroduction 3Department of Agriculture 4Department of Arts, Heritage and the Gaeltacht 5Department of Children 5Department of Communications, Energy and Natural Resources 5Department of Defence 6Department of Education and Skills 6Department of Environment, Community and Local Government 8Department of Finance 10Department of Foreign Affairs and Trade 11Department of Health 11Department of Jobs, Enterprise and Innovation 14Department of Justice and Equality 15Department of Public Expenditure and Reform 15Department of Social Protection 16Department of An Taoiseach 18Department of Transport, Tourism and Sport 19Ógra Fianna Fáil Budget Proposal 2015 20


Introduction Over the last seven years the Irish people have seen a dramatic change in their standard of living. Cuts in public spending on health care, social protection and education have impacted every family in the country. Our young people are faced with little prospects of a decent job in their area of qualification or local community. Faced with a long spell of unemployment, many are forced to emigrate and seek a better future.

Ireland can, and must, rise to the challenge of tackling our public finances and debt burden. We must do so in a fair and compassionate way to help create an Irish economy for the next generation. Ógra Fianna Fáil believes any budgetary adjustments must be progressive and should aim to minimise the impact on those who can least afford it.

Fine Gael and Labour have reneged on their commitments to the Irish people. They promised a fairer way, more jobs and to protect the vulnerable. Instead, they have sought to slash spending on health, hike up fees for college students and force unemployed people into poorly thought out training schemes, such as JobBridge. Budgets 2013 and 2014 were regressive budgets, taking most from those who could least afford it. They were a smack in the face to those who voted for Fine Gael and Labour.

Ireland’s economic future cannot be secured with the false promises and pseudo-economics of Sinn Féin. Our future will not be secured by adopting their eurosceptic stance, by penalising enterprise and pursuing socialist policies. Cynically, while adopting an anti-austerity stance in the Republic, they have supported slashing budgets in Northern Ireland. They oppose water charges in the Republic, but have supported water metering while holding the Regional Development ministry in Northern Ireland. They protested against reductions in welfare rates in the Republic, while at the same time, were happy to impose similar cuts on people living in Northern Ireland. They talk about devolved powers for Northern Ireland, yet blame the British Government for imposing any cuts.

We believe a fair, honest and sustainable approach can be adopted in 2015. Ógra Fianna Fáil believes the adjustment in Budget 2015 should be significantly less than the €2 Billion adjustment planned. Our costed alternative budget proposals include an €970 million adjustment. Our alternative budget seeks to create growth, secure jobs, invest in education and protect services.

The Irish economy must be reorientated to serve the needs of society. Creating jobs through innovation and enterprise, building new schools and hospitals, protecting our environment and growing our agricultural output must be priorities for the next ten years. We believe the Government must commit to a National Development Plan for the period 2015 to 2025. This plan would outline an investment strategy for Ireland’s regions and a medium term outlook for Ireland. In addition, a new NDP would outline how Ireland intends to reduce its national debt to 100% by 2020 and 90% by 2025.


Department of AgricultureREPS: REPS is to be replaced by a new agri environment scheme called GLAS. The new scheme provides for maximum payments of €5,000. This is significantly less than the €12,000 available to farmers under REPS 4. Ógra Fianna Fáil are proposing the maximum payment under GLAS be increased to €7,500 for qualifying participants. This increased investment in our farmers will help sustain Ireland’s agricultural industry and project rural employment.

Forestry: Ógra Fianna Fáil supports continued investment in Ireland’s forestries. We believe the Government must commit to maintaining Forestry Premium Payments at existing levels for farmers who have already committed their land to forestry. In addition, we believe the Forest Road Scheme must be protected to improve access to forests and the economic potential of Ireland’s rural areas. Increased funding for the Forest Road Scheme should be provided in 2015 to meet future timber supply demands.

Currently, Ireland’s forest cover is approximately 10% (mainly coniferous trees), well below the European average (circa 40%). The forest industry in Ireland employs over 15,000 people, predominantly in rural areas. Apart from the economic value of forests, they also reduce our carbon footprint, help clean our air supply, provide habitats for Ireland’s flora and fauna, and provide a valuable amenity for the public recreation. Ógra are proposing the introduction of a “National Forestry Strategy” to create sustainable biodiverse forests across the island. This strategy would seek to double Ireland’s forest coverage by 2030 and be funded through an allocation of €10 million per annum.

Rural Social Scheme: The Rural Social Scheme provides employment in communities worst hit by the recession. Young farmers and fishermen/women avail of the scheme to supplement welfare payments by €20. Ógra Fianna Fáil are proposing to expand the Rural Social Scheme by increasing the €20 top-up to a €25 top-up (for a 19.5 hour week). In addition, we a proposing to expand the RSS to provide for a €50 top-up for a 39 hour week (bringing it in-line with other Government supported programmes). Furthermore, the type of work/training carried out by participants should be expanded to include activities aimed at upskilling farmers and fishermen/women.

Department of Arts, Heritage and the GaeltachtIreland 2016: 2016 marks a significant year in Irish history. Ógra Fianna Fáil believe the Government should provide funds to each local community to mark the 1916 Rising, with a national festival taking place in Easter 2016. The necessary preparations and arrangements should be made for this festival in 2015. Funds to provide for “Ireland 2016” should be made available through the Dormant Accounts Fund.

20 Year Strategy for the Irish Language: Ógra Fianna Fáil supports the Irish language and efforts to ensure its survival and revival across the island of Ireland. We are concerned that the Government is giving less priority and focus to An Ghaeltacht and the Irish language. We are calling on the Government to commit the necessary funds to complete the 20 Year Strategy for the Irish Language. An allocation of €10 million should be made to pursue the objectives of the strategy in 2015. Increasing resources will be needed in the following years to help grow investment in the language and Gaeltacht regions.


Department of ChildrenTax Deductible Childcare: Childcare in Ireland is one of the most expensive in Europe. The cost of using child care acts as a disincentive for many people to return to work after having children. Ógra Fianna Fáil support calls for childcare to be made tax deductible. Rather than providing for a second year of Early Childhood Care and Education (ECCE) Scheme as proposed by the Government, the Department of Children and Department of Finance should seek to make childcare for all children under 7 tax deductible. A phased introduction over 3 years is required to ensure the success of this scheme.

Department of Communications, Energy and Natural ResourcesRural post offices: Against the backdrop of bank branch closures, increasing demand to use direct debits, rising postage costs and retiring postmasters, many rural post offices are closing their doors. Yet, in many communities around Ireland, the local post office plays an essential role. Ógra Fianna Fáil believe Government should take the necessary steps to ensure rural post offices remain open across the country. Steps should be taken to ensure that people are not forced into ‘non cash payment’ methods when paying bills. Furthermore, the Government must commit to allowing welfare payments, pensions and government levies (TV license, Property Tax, Water charges etc) be collected or paid at local post offices. In addition, An Post and the Department of Communications should work to agree a Service Level Agreement with the Irish League of Credit Unions to provide services where local post offices have already closed or are not available.

National Broadband Plan: The National Broadband Plan, announced by the Government in 2012, is an ambitious plan to provide broadband services to everyone in Ireland by 2016. The failure of previous national rollout schemes to provide broadband to rural communities is a cause for concern. Ógra Fianna Fáil are concerned the Government has not provided the necessary resources to ensure the success of the scheme in 2015 and 2016.

Department of DefenceRetraining and Re-allocation: Ógra Fianna Fáil recognise the important role played by the Irish Defence Forces, both at home and overseas. Currently there are 9,500 persons in the Permanent Defence Forces. We believe that the Government should introduce a new voluntary scheme for up to 1,000 members of the Defence Forces to re-train as members of An Garda Siochana. This time-limited scheme would allow officers under the age of 45 to leave the Defence Forces and join An Garda Siochana at the corresponding grade and salary band. Members of the Irish Defence Forces who undergo a short re-training in Templemore would be allowed to serve close to their home area and would be allowed to retire with full pension entitlements two years earlier than their current planned retirement age.

Department of Education and SkillsPupil/Teacher Ratio: Ógra Fianna Fáil believe there should be no further deterioration in the pupil/teacher ratio at Primary or Secondary Level. The increasing in-take of students over the next few years means that the Department of Education must be granted additional


resources to ensure pupil/teacher ratios are maintained in all schools.

IT in Schools: Ógra Fianna Fáil believe the use of technology and online learning must be a core part of primary and secondary school learning. We support the introduction of e-books and tablet based learning as a means of replacing school books and heavy school bags. We believe that parents should not be burdened with entire cost of purchasing tablets and that the Government should introduce a tablet loan and purchase scheme in the same manner as current school books loan scheme. Ógra believe that €10 million should be provided to purchase tablets in 2015, with the aim of ensuring every primary and secondary school student has use of a tablet by 2020.

Entrepreneurship in Schools: Ógra Fianna Fáil believe an “Entrepreneurship in Education” subject should be taught during the Transition Year of secondary schools in 2015 and 2016 on a trial basis, with the expectation of extending the subject material to junior and senior cycle students upon feedback and recommendations from educators, students and employers. Introduction of this subject would require additional modules in Teaching Colleges and the course structure and content would need consistent review in order to ensure it keeping in step with the changes of the commercial and creative world. Ógra Fianna Fáil believe the Department of Education should dedicate €10 million towards the advancement of entrepreneurship in education in 2015, with increased funding in subsequent years.

Modern Languages at Primary Level: Business and trade in Modern Ireland is not confined to the domestic market. Ireland is an open economy that has placed international trade at the core of its economic model. The ability to fluently speak a foreign language is a key skill required by many multinational corporations and, as such, it is imperative that Irish students are taught a foreign language from an early age. It is a European Union objective to increase the number of citizens able to speak 2 languages in addition to their mother tongue. In line with this, Ógra call for the reintroduction of the Modern Languages Initiative at primary level and for the learning of a foreign language to be mandatory. We believe that €10 million should be provided for the Modern Languages Initiative in 2015/2016.

Qualification Allowance for Teachers: Teachers should be continually encouraged to up-skill and increase their knowledge of both their subject and of education practice as a whole. With the removal of the Qualification Allowance, there is no incentive for well-trained individuals to join the teaching profession or for current members of the profession to improve their own skills. This is especially detrimental for young teachers and for those wishing to become teachers in the future. As such, Ógra calls for the reintroduction of this allowance to encourage those with Level 9 or Level 10 qualifications (as measured by the National Framework of Qualifications) to join the teaching profession.

Career Guidance Teachers: Ógra Fianna Fáil opposed cuts to Career Guidance supports by the Minister for Education in Budget 2013. This was a backwards step in the education system that should be reversed. Making informed decisions regarding options when finishing Second-Level education helps ensure young people enter the right college course or seek the right employment opportunities. Ógra Fianna Fáil are proposing the Department of Education adequately fund Career Guidance in all Second Level schools, either through the hiring of new teachers, or retraining of existing staff.

Reform of Irish language curriculum: Ógra Fianna Fáil believe the Irish language curriculum at


primary and secondary school level must be reformed and modernised. Rote learning of verbs and passages of text have no place in a revival of our national language. In 2015 the Government must start the process of reforming the curriculum of the Irish language. We believe the Irish language must not be confined to textbooks but must be a ‘living’ language, spoken and used throughout the island. Reforming the way we learn Irish and implementation of the 20 Year Strategy for the Irish Language is essential to ensure its survival.

Student Contribution Charge: The increase in the Student Contribution Charge by the government has put third-level education out of reach of more and more people. Any further increase will lock the gates to higher education for all but the most privileged. Ógra oppose any further increase in the Charge. We believe students and their families must have certainly regarding college fees. We believe the Department of Education must guarantee each new Third Level student a set rate that will apply throughout their primary degree. This will allow students and their families to plan better, without the uncertainty of rising costs. In addition, we support the introduction of a deferred payment method through a student loan scheme.

Ógra are also disturbed by the continued reduction in overall funding levels for higher education institutions which has resulted in overly stretched resources and lower standards (as reflected in the falling positions in the world rankings). Ógra believes that a properly structured loan scheme is the only long-term solution to the financing of higher education institutes.

SUSI Grant: Rising costs have hit families with Third level students particularly bad. Rising rent, transport and education related costs, along with a lack of appropriate part time and weekend employment opportunities have caused significant hardship over the last number of years. Ógra Fianna Fáil believe a 10% increase in the maintenance rate should be provided for in 2015 to help tackle rising education related costs.

Third Level Student Loan Scheme: Ógra Fianna Fáil are opposed to the reintroduction of college fees for undergraduate students. We believe education should be accessible to all, regardless of background, wealth or social status. Furthermore, we believe students should be able to undertake undergraduate and postgraduate studies without financial worries. Given the current state of the banking sector, the level of youth unemployment and outward migration; Ógra Fianna Fáil are proposing the government ensure everyone has sufficient access to funds to attend a graduate course or further training in Ireland. The Department of Education should establish a National Education Loan Fund, allowing students to borrow funds directly from State institutions at a reasonable rate of interest. The loan scheme would allow for deferred payment of 12/24 months and be available to everyone for educational purposes. Students will be eligible to borrow up to a maximum of €30,000.

Department of Environment, Community and Local GovernmentDeposit Protection Scheme for rental properties: Many young people are renting properties for long periods of time before deciding to buy a house. In most cases, they and their landlords have no problems and the monetary transactions occur without any disagreements. This is not the situation in all transactions however. Many deposits are quarrelled over when the tenant decides to move on. Ógra therefore propose a Deposit Protection Scheme for rental properties modelled on the UK. This would lead to deposits no longer being held by the landlord and we would instead view the Private Residential


Tenancies Board (PRTB) as being the ideal body to take hold of this mechanism. It would have the added benefit of forcing many rogue landlords to register with the PRTB due to pressure from tenants.

Social and Affordable Housing: The last two years has seen a significant increase in the numbers seeking social and affordable housing. In addition, rent allowance has failed to keep up with increases in property prices, forcing many families out of privately rented accommodation and onto the social housing list. Ógra Fianna Fáil believe the Government must tackle this situation head on through the creation of a Social and Affordable Housing fund. Working with NAMA, private developers and local authorities the Social and Affordable Housing fund will seek to provide accommodation in an appropriate manner and suitable location. NAMA should release appropriate land and existing housing stock to developers and local authorities to cater for local needs.

In addition, Ógra Fianna Fáil believes Rent Allowance should be scrapped by the end of 2015 and replaced with a support scheme that does not distort the property market. Such a scheme should include payments being made directly to landlords in an attempt to decrease the number of private landlords who do not accept rent allowance tenants under the current scheme. In the interim, rent allowance should be increased by 7.5% to keep up with the pace of rent price increases.

Local Authority Housing Improvement Schemes: The failure of the Government to invest in improving and modernising the local authority housing stock has resulted in a backlog of families seeking grant assistance to improve their Local Authority owned home. There simply is not enough money being made available to Local Authorities at this time to carry out necessary improvements.

Ógra Fianna Fáil recognises that energy efficient homes mean lower energy bills homeowners. The Sustainable Energy Authority of Ireland (SEAI) currently awards grant aid for works that improve the BER rating of a home to homeowners only. Ógra proposes that the grant be opened up to tenants of Local Authority (County or City Councils) homes, in order to progress waiting lists for these works to improve the BER of a home.

In addition Ogra believes that Local Authority tenants should be able to use their own funds to provide for essential home improvements not covered by the SEAI schemes but which are covered by existing, over-subscribed Local Authority Schemes. Monies paid for these improvements by the tenant would then be written off of the rent due to the Local Authority over time (up to a maximum of €10,000).

Rental Accommodation Modernisation Incentive Scheme: Ógra Fianna Fáil are proposing a time-limited change to the Section 23 relief (“Countrywide Refurbishment Scheme”) available to landlords for the refurbishment of rental accommodation. Currently landlords can deduct the allowable part of refurbishments to be deducted from Irish rental income over a period of seven years. For any refurbishment works carried out in 2015 and 2016, Ógra are proposing the expenditure can be deducted from Irish rental income over a 4 year period. The aim of this incentive is to improve Ireland’s rental accommodation and alleviate Ireland’s housing crisis.

Property Taxes: Ógra Fianna Fáil are opposed to the current Property Tax scheme. We believe any property tax must be fully used to fund local services. It should be administered by local authorities and help pay for the upkeep of local amenities, emergency services and local infrastructure. We also believe greater clarity should be given around the property tax to be paid in the following


year. The property tax to be paid by many households is expected to increase in 2017 when house values are reassessed. Given the recovery in the property market in many parts of the country, rising house prices will means large increases in property taxes for many people.

In addition, we believe that a fairer property tax should account for not just property value, but also income and the square footage of the property.

Water Charges: The introduction of water charges has been a disaster. A lack of clarity around the proposed charges, the scale of “free allowances” for children and elderly people, and the lack of transparency surrounding Irish Water has created a nervous fear amongst many people. Unsure about how much households might have to pay, many people have lost confidence in Government.

Ógra Fianna Fáil believe that charges for water should have been postponed until 2016. In 2015, each household should have been provided with an accurate reading for their water consumption in that year (if they have a water meter installed). This would have allowed families assess the extent of charges before charges are introduced. It would also have allowed families make decisions about water consumption before being charged.

Instead, the Irish Government will collect almost €450 million from water charges in 2015. We believe €25 million of this amount should be allocated towards water conservation measures and grants to retrofit homes. The Government should also make available funds to retrofit Local Authority houses to help reduce water charges. Such funds can be used to install low-flush toilets, water harvesting, shower units and improved plumping. The Department of Social Protection and Department of Environment should also provide retrofit funds for the elderly to cover the cost of water conservation methods.

Refundable Levy on Aluminium Cans and Glass Bottles: Discarded aluminium cans and glass bottles form a large part of our litter and household waste. A refundable levy on drink cans and bottles would have positive impact on our environment by providing an economic incentive for people to keep our public spaces clean. Ógra Fianna Fáil are proposing the introduction of a 5 cent refundable levy on an aluminium can (drinks can or food can) and a 10 cent refundable levy on a glass bottle or jar. Local Authorities should be responsible for opening refund centres. In addition, people should be allowed to donate refunds to a charity of their choice. This measures incentives local groups and schools to encourage conservation, recycling and charity. We believe that €5 million should be provided in 2015 to establish this levy.

Department of FinanceUSC: We believe high earners should be asked to contribute more to Ireland’s recovery. Ógra Fianna Fáil are proposing that all workers (employees or self employed) that have incomes over €100,000 be liable for a surcharge of 3% for all income above €100,000. This measure will bring high earning PAYE workers in line with self-assessed payers.

In addition, Ógra Fianna Fáil are opposed to bonus payments to public sector workers and employees of the main (state supported) financial institutions. Such bonus payments, whether paid directly by the State or not, should be charged the USC at the rate of 45% on the full amount where the bonus exceeds €5,000 in a single tax year.

9% VAT Rate: The lower 9% rate of VAT should be retained for 2015 and 2016. This lower


rate has helped to grow jobs in the tourism sector. We believe the lower rate should be extended to help solidify jobs in this sector.

Income Tax: We believe the Government must commit to increasing the threshold at which the top rate of tax is paid on all income. As a stimulus to the Irish economy over the coming 3 years, the Government should set out to increase the standard rate cut-off from €32,800 for a single person back to its pre 2010 rate of €36,400. Corresponding increases should be made for single parent families and married couples/civil partners with one or two incomes.

Taxation on Wine and Tobacco: We are proposing a 50c increase in taxation on a bottle of wine and pack of 20 cigarettes. This increase in taxation will raise 100m in 2015.

Gambling and Betting Tax: Ógra Fianna Fáil support the introduction of a tax on gambling and betting. We believe any betting and gambling tax must be levied on all forms of gambling, including online betting. The Government should introduce a 1% turnover levy for all remote betting, rising to 1.5% in 2016 and 2% in 2018. In addition, we believe Betting Exchanges must be properly regulated under the Betting (Amendment) Bill 2013. We support the introduction of 15% tax on Gross Profits in Betting Exchanges. Furthermore, we believe the Government must examine the scope for VAT being levied on transactions in Betting Exchanges.

Green Investment Bank: Ógra Fianna Fáil propose the creation of a Green Investment Bank in Ireland. Such a bank would be dedicated to greening the Irish economy in the next 10 years. Government should support the creation of a Green Investment Bank with funds of €1 Billion over 4 years, provided from the Ireland Strategic Investment Fund (ISIF) and the Government’s Levy on Private Pensions Funds. The Green Investment Bank will invest in environmentally-friendly business ideas which other banks are unwilling to support. These ideas can include offshore wind power generation, local waste-handling plants, harvesting of biofuels and biomass, marine energy and renewable heat generation.

Department of Foreign Affairs and TradeOverseas Development Aid: Ógra Fianna Fáil oppose any further reduction in Ireland’s Overseas Development Aid (ODA). We do recognise however the need for this spending to be put to the best possible use for both Ireland and the recipients. As such, Ógra Fianna Fáil believe that 10% of Ireland’s ODA should be ring-fenced for use with grassroots groups like Urban Poor Fund International to help people in disadvantaged countries help themselves. Enterprise Ireland and IDA Ireland should be involved in this initiative to provide guidance as well as links to Irish businesses.

In addition, the Government should commit to increasing ODA funding to meet the UN target for ODA by 2020.

Department of HealthMental Health: A Vision for Change is the basis of the Ireland’s mental health strategy. However, under the current Minister, the implementation of it has been allowed to drift and the services envisaged in the document are not coming to fruition. A high-level committee including representatives of the HSE, the Department of Health, the health spokespeople of the Opposition parties and representatives of the Oireachtas Health Committee should


be formed to oversee implementation of the strategy and guarantee that appropriate funding for its implementation is maintained.

Hospital Budgets: Ógra Fianna Fáil are opposed to further reductions in budget allocations to the Department of Health and HSE. We believe the Government must do more to control spending within budget, while also completing the introduction of a rostering system that complies with the European Working Time Directive. We oppose reductions in services available in hospitals and believe the Government must do more to tackle waiting lists and emergency response times.

Ógra Fianna Fáil do not support the planned introduction of Universal Health Insurance (UHI). Without the necessary reforms before UHI is introduced, this added layer of bureaucracy will lead to an undue burden on families and increase costs in the health service.

We believe there are savings to be made in hospital Drugs Budgets in 2015 through a wider use of generic drugs. We believe a €25 million saving can be realistically be achieved.

STI and Sexual Health Clinics: Ógra Fianna Fáil believe the Department of Health must do more to increase awareness and knowledge of sexual health and STIs. The Department of Health, together with the Department of Education should allocate funds to create free STI screenings on college campuses and run a nationwide sexual health and STI awareness campaign.

Prescription Charges: Fine Gael and Labour committed to scrapping the 50c Prescription Charge introduced by Mary Harney in 2010. Instead they have increased the charge by 500% since 2011. The charge currently stands at €2.50 per item. Ógra Fianna Fáil oppose any further increase in the Prescription Charge and propose the charge be fixed for a 5 year period.

Voluntary Healthcare Savings scheme: The failure of the Government to tackle rising healthcare costs and health insurance premiums has forced many families to abandon their private health insurance. Ógra Fianna Fáil note that some pharmacies now offer a saving scheme to help cover any prescription costs that might be incurred. Ógra Fianna Fáil call for the Department of Health to introduce a Voluntary Healthcare Savings Scheme to allow people to divert a set amount from their gross salary (up to a set maximum per annum) every week/month into a personal or family healthcare savings fund. Money from such a savings fund could be used to pay for healthcare costs without paying income tax, PRSI or USC. Withdrawals from the savings fund for non-healthcare costs or expenses would be continue to be subject to income tax, PRSI and USC.

Carers: Carers in Ireland provide a vital service to the nation. Their actions save the state money and resources. Ógra Fianna Fáil is calling for no further reduction in benefits or allowances paid to Carers.

Sugar, Fatty Foods and Salt Tax: The dangers of excessive sugar, saturated fats and salt consumption are widely known, but often ignored. Ógra Fianna Fáil support calls for the introduction of a tax on sugary, fatty and salty foods and drinks. Such a tax should be levied on both producers and consumers to change attitudes and behaviours regarding sugary, fatty and salty foods. Food and drink producers should be incentivised to reduce the levels of sugar, saturated fats and salt in products. Consumers should also be incentivised to choose healthier foods and drinks. The introduction of a sugar, saturated fats and salt tax helps improve overall general public health and reduce future spending by the Department of Health.


Smoking Ban and E-Cigarettes: Ógra Fianna Fáil note the rapid growth in “e-cigarettes” in Ireland over the last year. While noting that e-cigarettes do not contain many of the harmful substances that traditional cigarettes do, we are concerned about the lack of regulation and health advice relating to their usage. Ógra Fianna Fáil is calling on the Minister for Health to commission a study into the use and health effects of e-cigarettes. Furthermore, we are calling on the Minister for Health to bring e-cigarettes and “vaping” products under the Smoking Ban, introduced 10 years ago. In addition, we believe the Department of Finance should commission a study into the future taxation of cigarettes, tobacco and e-cigarettes.

Ógra Fianna Fáil are proposing a range of measures to tackle the rise of e-cigarettes. These measures include:

» Bringing e-cigarettes under the Smoking Ban (Tobacco Smoking (Prohibition) Regulations 2003). This includes banning the use of e-cigarettes on public transport, in the workplace and bars/restaurants.

» Banning the sale of e-cigarettes to anyone under the age of 18.

» Banning of promotions or deals involving e-cigarettes.

» Banning the sale of e-cigarettes online.

» Restrict “point of sale” advertising of e-cigarettes in the same way as cigarettes.

» Introduction of plain packaging of all cigarettes and e-cigarettes, with clear labels outlining health risks associated with use.

» Require all e-liquid packaging to come under ISO 8317 and ISO 13127 (Child-resistant caps similar to those on medicines).

» Excise Duty of €6 on 10ml of e-liquids (and corresponding alternatives) used in e-cigarettes. With this proposal. the price of 20 e-cigarettes should remain below the cost of a packet of 20 cigarettes.

In addition, Ógra are proposing to lower the rate of VAT on Nicotine patches from 23% to the 0% rate. This measure should help reduce the cost of nicotine patches and bring the price in line with prices charged in Northern Ireland.

Sunbeds: Research by the Irish Cancer Society suggests that use of sunbeds by people (especially younger people) is very dangerous. 28,000 people under the age of 25 use sun beds in Ireland every year. Many young people are putting their lives and health at unnecessary risk by using sunbeds. The ICS also reports that 140,000 people in total use sunbeds regularly. The result of increased exposure to the sun and use of sunbeds is the rise of skin cancer in Ireland.

In addition to the recently introduced regulation of sunbeds, Ógra Fianna Fáil proposes that a rate of 50% of the value of the treatment should be placed on all sunbed treatments. This measure, coupled with long overdue regulation will help reduce the use of sunbeds and in turn reduce the incidence of costs arising from the treatment of skin cancers and related instances.

National Drug and Alcohol Strategy: Ógra Fianna Fáil believe the Government must fully commit to the creation of a single Nation Drug and Alcohol Strategy. Ógra have called for a single


Drug and Alcohol Strategy since 2010. We believe Local and Regional Drug Task Forces should be properly funded and empowered to tackle the scourge of drugs and alcohol abuse in the areas they serve. in 2015, we believe an additional €10 million should be provided to Local and Regional Drug Task Forces.

Alcohol Consumption: Ógra Fianna Fáil note the failures of the voluntary “Drink Aware” advertising campaign to connect with many sections of society. We have called on the government to take a tougher stance on alcohol advertising and promotions. Ógra Fianna Fáil support the introduction of a mandatory code of practice and rules for the advertising and promotion of alcohol. In addition, we oppose the minimum pricing of alcohol as it seeks a “race to the bottom” among suppliers of cheap beer and spirits. In addition, Ógra Fianna Fáil believe a strict ban on the below cost selling of alcohol should be introduced.

Ógra Fianna Fáil believe the Department of Health and Department of Justice should work together to introduce a 50 cent levy on all alcoholic drinks sold after midnight. Such a levy would help alter the behaviour of many drinkers and help alleviate “binge” drinking. Funds raised from this levy should go towards alcohol addiction services and the creation of family-orientated events and festivals.

Department of Jobs, Enterprise and InnovationYouth Guarantee Scheme: Ógra Fianna Fáil believe every young person should be guaranteed a bright future in Ireland. Keeping people in their local communities must be a priority for Government. Ógra Fianna Fáil are calling for the national commitment (with funding) from Government to guarantee all young people a meaningful future in Ireland. A revised and meaningful Youth Guarantee Scheme should be introduced nationwide which aims to bring Youth Unemployment below 15% by 2018. Our proposal for a reformed National Youth Guarantee will ensure that every person under 26 is guaranteed a place in education, training or employment. In addition, every person under 26 would be guaranteed access to funding to advance their education and training by introducing a National Education Loan Fund.

Embassies as Business Conduits: Foreign investment and international business is integral to Ireland’s economic success. Both Enterprise Ireland and IDA Ireland have been hugely successful in attracting investment into Ireland and building up links between Irish companies and international markets.

With the global economic upturn well underway, it is imperative that Irish businesses have contacts globally to connect with growing markets and create new trade links. In line with this need, Ógra calls for Enterprise Ireland and IDA Ireland to provide training courses to staff in every Irish Embassy. This would allow staff act as structured business conduits for both Irish businesses seeking opportunities in the relevant country as well as for local businesses seeking opportunities in Ireland.

Urban centres and vacant Land: Ógra Fianna Fáil believe the Government must tackle issues relating to empty retail units and undeveloped sites in urban centres. We oppose large scale “out-of-town” retail developments that seek to build retail units outside of town centres. Such developments draw people away from the existing urban centres, contribute to urban sprawl and increase local traffic congestion.

Ógra Fianna Fáil also support the introduction of a Vacant Land/Buildings Levy for urban centres. Vacant commercial buildings that are not capable of occupation or beneficial use in its current state pay no Rates or levies of any kind. This has the potential to incentivize property owners to


render buildings unusable (e.g. by removing lifts or blocking access). The owners of vacant development land in urban areas also pay no Rates or levies of any kind.

The cost of vacant buildings/land is largely borne by other rate-payers. Owners of vacant land in urban centres, which could be redeveloped for commercial/residential use, should be liable for a levy for every year they continue to allow the building or land go undeveloped. Introducing a levy would encourage the optimal use of urban lands and vacant buildings and help renew city centres.

We are proposing the introduction of a Vacant Land/Building levy to raise €50 million in 2015.

Department of Justice and EqualityImpact of Garda Station Closures: The Government has recklessly sought to close down a number of Garda stations across the country. This move will undoubtedly have an impact on the ability of An Garda Siochana to police effectively. Many people, particularly the elderly and vulnerable, feel the Government has effectively abandoned and forgotten about them.

Ógra Fianna Fáil oppose the closure of Garda stations. We also oppose the sale of any Garda stations that have closed. We believe these buildings should be held in trust by local authorities and eventually re-opened as Garda stations when resources allow.

In addition, many people depend on their local Garda station to sign and stamp official forms and passport applications. Ógra Fianna Fáil recommend that the ability to sign and stamp applicable forms that is currently reserved for a member of An Garda Síochána be extended to Postmasters and Peace Commissioners.

Department of Public Expenditure and ReformReform and amalgamation of household charges: Given the significant increase in household related levies people pay for and the burden these can place on families, we believe the Government must introduce a single billing and payments scheme. This single bill system would incorporate the property taxes, water charges and new broadcasting charge into a single bill, payable monthly in arrears or via salary payments. This scheme would allow better financial planning and compliance with new charges.

Value for Money: Ógra Fianna Fáil believe the Department of Public Expenditure and Reform must undertake a new Value for Money exercise across all Government Departments, State Bodies and Local Authorities. Such an exercise should focus on resources, wasteful expenditure, the use of consumables and legacy spending issues. We believe that €100 million can be found through a VFM exercise across the entire public sector in 2015.

Fraud Prevention: In addition to the existing fraud prevention measures used by Government Departments, the Department of Public Expenditure and Reform should establish a Fraud Prevention unit to tackle fraud across Government Departments and State agencies. in 2013, the Department of Social Protection identified €632 million in fraud and abuse of welfare supports.

Ógra Fianna Fáil believe fraud and abuse of public services must continue to be tackled. We are of the view that €200 million can be recouped in 2015 from fraud prevention across the public sector.


Creation of 10,000 graduate/youth placements in public sector: Ógra Fianna Fáil are calling on the Government to open up the Public Service to young people and recent graduates. Under our proposal, each Government Department and each Public Body would be required to support the placement of a young unemployed people or recent graduates within their allocation of staff. Each Department and public sector body would required to introduce an internship programme that meets certain criteria. The selection of participants would be the responsibility of the Public Appointments Service following an interview process.

» Placements would last 12-18 months on a full time. Participants must be unemployed for last 3 months or a recent graduate.

» The Scheme lasts for 3 years in total.

» Those on placements are eligible for an annual gross wage (subject to tax) of €16,000pa

» Departments, Public Bodies and Agencies allocation of placements is based on 2.5% of existing staff numbers (allocations to be determined by Vote)

» Resource allocations must come from within existing budgeted allocations

» Placements would be aimed at graduates area of interest or education background

» Placements would be based on geographical need (with placements weighted towards areas with youth unemployment problems).

Cost €36 million (net per annum). This is based on a full year of 3,300 participants.

Department of Social ProtectionConsolidation and Restructuring of various training and workplace schemes: Ógra Fianna Fáil are proposing the merging and simplification of all training and workplace schemes in Ireland (including CE Schemes, FAS Schemes and JobBridge). We are proposing an unemployed person shall be eligible to apply for any training and placement scheme after a 1 month period of unemployment. Under our Labour Activation Scheme (outlined above), those entering a full-time training or education placement would receive €210 per week while undertaking the scheme. Further to this, Ógra Fianna Fáil are proposing an overhaul of exploitative and poorly thought out schemes such as JobBridge. These jobs are not real jobs, but are rather often used as a means of hiring someone for below the minimum wage. Training placements which do not provide the adequate support and training necessary should be withdrawn by the Department of Social Protection. Such placements are exploitative and hamper the ability of young people to find a stable job.

Living Wage: The “Living Wage” is the minimum income necessary for a worker to afford the basics for quality of life, food, utilities, transport, healthcare, and a decent standard of living. The Living Wage should be the amount of money a family needs to remain above the poverty threshold.

Ógra Fianna Fáil are calling on the Government to commission an independent study to establish what the Living Wage is in Ireland. Such a study would be undertaken every three years to inform public policy and budgetary matters. In addition, we believe that the minimum wage and social supports should be adjusted to reflect changes in the Living Wage.

Proposal on Unemployment Benefit/Assistance


Ógra are proposal a radical shift in unemployment assistance. Currently unemployment benefit/allowance is set at a rate of €188 per week with lower rates for those under 26. Under our proposals this will change, as follows:

» Once someone is made unemployed, they will apply to their local social welfare office for Unemployment Assistance Benefit. This payment is guaranteed to all unemployed people and will be paid out within the first 2 weeks of any claim. The rate is set at €230 per week.

» After 3 months of job seeking, the Department of Social Protections full range of assistance programmes become available to all unemployed individuals. At this stage the weekly rate of benefit will drop by €20. This is designed to keep unemployed people as close to employment market as possible. A case officer from the Department of Social Protection is assigned to assist the unemployed person with finding a new job, enter a training course or apply for an education placement.

» After a further 3 months of job seeking, the unemployed person should have either obtained a new job (full time or part time), entered into a training place or returned to education. Where a person has failed to do, their rate of benefit will be cut by a further €22 to €188 per week. Where they enter a full-time education or training placement, their payment will be retained at €210 per week. Where someone finds an unpaid work placement they will continue to receive their benefit payment (up to a maximum of 12 months).

» After a further 6 months, the inactive unemployed person is not considered to be actively seeking work. The rate of allowance for such people, unemployed for at least 13 months, will be set at €160 per week.

Furthermore, for those people seeking unemployment assistance without the necessary PRSI contributions, the weekly rate will be start at €188 per week and reduce in a similar manner to €160 per week by month 12. The above proposal will be revenue/cost neutral to the State.


Proposal on Employers PRSI

Ógra Fianna Fáil are proposing the re-introduction of a simplified Employers Job Incentive Scheme which ended in mid 2013. Under the simplified scheme all employers who create new and additional jobs will receive an Employers PRSI rebate of 80% (where gross salary is less than €40,000). We are also proposing that Employers PRSI contributions for existing employees does not revert back to the higher rate of 8.5%, but rather stays at the lower rate of 4.25% introduced in July 2011.

Protection of Child Benefit: Ógra Fianna Fáil believe there should be no further cuts in Child Benefit payments.

Benefits package: Ógra Fianna Fáil believe the Government should seek increased savings from the cost of the benefits package (without any corresponding reduction in the benefit). These allowances should be put out to tender for all households in receipt of the benefit. The Government should seek a 10% reduction in the overall cost of benefits package.

Ógra Fianna Fáil believe the Government should seek increased savings from the Free TV license scheme. We proposed a 20% reduction in payment to RTÉ by the Department of Social Protection.

Back to School Clothing and Footwear Allowance: Ógra Fianna Fáil oppose any reduction in the Back to School Clothing and Footwear Allowance in Budge 2015

Winter Fuel Allowance: Ógra Fianna Fáil are proposing a €5 per week increase in the Winter Fuel Allowance. This reverses some of the cuts to the scheme over the last number of years and seeks to alleviate fuel poverty. Ógra Fianna Fáil also call for the payment to be paid out monthly rather than weekly installments. This would help those people in receipt of the Winter Fuel Allowance to pay heating bills or purchase home heating oil.

School Meals Scheme: Ógra Fianna Fáil support the School Meals programme, providing meals to students in almost 1,000 schools nationwide. Ógra Fianna Fáil are proposing a large increase in this scheme, with the aim of providing the School Meals Scheme to all primary and secondary schools by 2018. We are proposing the scheme be expanded by €10m in 2015.

Department of An TaoiseachSalary and Pension benefits of Politicians: Ógra Fianna Fáil support the abolition of salary top-ups for the Ceann-Comhairle, Leas Ceann-Comhairle, Cathaoirleach of the Seanad and Oireachtas committee chairs. While we note that salary levels and pension entitlements of politicians have decreased since 2008, Ógra Fianna Fáil believe the Government must go further. Salary levels of national politicians should be set following a general election, with no increases provided for during the Dáil term. Politicians should not receive any pension or lump sum payments while serving in any public role, regardless of age. In addition, appointment as Minister or Minister of State should not entitle a TD to an additional pension benefit above that of a Dáil deputy.

Expenses: Ógra Fianna Fáil believes that in order to further restore confidence in the Oireachtas that all allowances and payments to politicians (whether at national, european or local level) must be vouched. The Department of An Taoiseach should draw up plans for the Public Representation Allowance (PRA) and Travel and Accommodation Allowance (TAA) to be fully vouched, payable in arrears. The current TAA bands should be scrapped and replaced with a fully vouched payment to cover the most economically effective means of travelling to and from Leinster House. Accommodation rates should be agreed


with hotels through a competitive tendering process.

Department of Transport, Tourism and SportPublic Transport Prices and Funding: Ógra Fianna Fáil note that many of our public transport providers are in financial difficulty. We believe this is partially due to a failure to reform and modernise services. In addition, price increases in rail and bus services have turned people away from using public transport.

Ógra Fianna Fáil believe that public transport prices should be fixed for the next 3 years. Any further increase in prices will cause a reduction in passenger numbers. In addition, we believe the price of many public transport services should be reduced to reflect willingness to pay. Public transport providers should make better use of varied pricing and early booking prices. Better standards and performance metrics must be introduced for public transport, with increased fines for failures to meet set targets.

Dublin City Centre Congestion Charge: Fine Gael and Labour in government have failed to ease Dublin’s congestion and parking crisis. Significant sums of money has been wasted over the last number of years, without a corresponding improvement in rush-hour traffic congestion. In 2013, 54,458 private cars entered the inner city between 7am and 10am.

Ógra Fianna Fáil support the introduction of a Dublin City Centre congestion charge. This charge would be fixed for a 5 year period at €4 per day per car. We believe such a levy could raise €37 million next year. Funds raised from this charge would contribute towards the financing of better (and cheaper) public transport, improved cycle and bus lanes, road widening etc.

Rural Transport: Currently Ireland’s national bus transport network (operated by Bus Éireann) is focussed on connecting main urban centres. Ógra Fianna Fáil support the creation of a truly national public transportation network. Creating such a network would involve integrating public rail and bus services (including subsidised bus services, e.g. school bus services) with private bus operators to help connect small communities and villages to populated, urban areas. We support the creation of integrated ticketing and an improved ticket pricing scheme to encourage greater use of the public transport network. We believe an allocation of €15 million should be provided for in 2015 to support the creation of a Rural Transport network.


Ógra Fianna Fáil Proposed Budget for 2015(€ millions)

Expenditure€ millionsReductions & Taxation€ millions

Policy initiatives as set out in Document441Reduced Expenditure595

Increased Taxation818

Total441Total1413

Net Reduction972

Expenditure€ millionsReductions€ millions

Irish language Funding10Savings from Benefits package20

Increased GLAS Scheme Funding75Prescription Drugs Budget25

National Forestry Strategy10Continued savings from Haddington Road150

Rural Social Scheme30Full Year Savings from 2013 (estimate)100

Modern Languages at Primary Level10VFM & Fraud prevention measures across Public Sector300

SUSI Grant20Total595

Qualification Allowance for Teachers5

Career Guidance Teachers5

Proposal on Unemployment Benefit/Assistance0Taxation Measures€ millions

School Meals Scheme1010% USC on incomes over €100k170

Winter Fuel Allowance50Sugar, Fats and Salt Tax188

Rent Allowance Increase (7.5%)30Vacant Land/Building levy50

Rental Accommodation Modernisation Scheme20Dublin City Centre Congestion Charge37

Levy on Cans and Glass Bottles (Start-up costs)5Taxation on Wine and Tobacco100

National Drug and Alcohol Strategy10Water charges in 2015450

STI and Sexual Health Awareness Campaign5Increasing Standard Rate Cut-off-177

Entrepreneurship and IT in Schools20Total818

Water Conservation measures25

Public Sector Youth Placement Scheme36

Increased provision for Social Housing50

Rural Bus Transport15

Total441



Fianna Fáil HeadquartersAras De Valera 65-66 Lower Mount Street Dublin 2 Phone: 01 6761551

Documents

Ógra Fianna Fáil Pre-Budget Submission 2015