Irish budget, 2010
Encyclopedia
The 2010 Irish Budget refers to the delivery of a government budget
by the Government of Ireland on 9 December 2009, its third in fourteen months. It was also the third overall budget to be delivered by the ruling Fianna Fáil
party's Brian Lenihan
as the country's Minister for Finance
.
The 2010 Budget was described by commentators in Ireland and around the world in unusually harsh terms as €4 billion was removed from the country's national deficit. It was characterised by pay cuts for public sector workers and cuts in social welfare
. According to the BBC
, social welfare cuts had not been implemented by the country since 1924. The cuts prompted at least one angry outburst in Dáil Éireann
, the principal chamber of the Oireachtas
(Irish parliament). Among the other initiatives unveiled in this Budget was a car scrappage scheme as well as a new carbon tax.
The post-budget debate was interrupted by a famous use of unparliamentary language
by Green Party
TD Paul Gogarty
which attracted attention around the world.
. It also followed the difficult 2009 budget, which led to widespread protests, as well as a supplementary emergency budget
in April 2009. This meant that the 2010 budget was the third to be delivered by the Finance Minister in only fourteen months.
Excise duties on beer and cider were decreased by 12 cent, excise duties on a half-glass of spirits were decreased by 14 cent and a bottle of wine was decreased by 60 cent, with a warning from the Finance Minister that these reductions were open to being recalled if consumers did not benefit. Due to an increase in the smuggling of tobacco into Ireland, prices of tobacco remained unaltered.
A year-long car scrappage scheme was unveiled targeting vehicles which had been in use for more than a decade, with a €1,500 reduction in vehicle registration tax relief available for those who availed of this scheme (but only "under certain conditions").
The salary of the Taoiseach
was decreased by 20 per cent on a permanent basis.
Culture Ireland
received €4.083 million and the Irish Film Board
received €19.31 million, both the same as figures from 2007. The Arts Council
received €69.15 million, a decrease of 6 per cent. Section 481's tax relief for film and television production was not affected. The Zoological Society of Ireland
's grant of €3 million for funding Dublin Zoo
remained the same. However, the National Gallery of Ireland
's grant was decreased by 7 per cent leaving it with an annual total of €10.17 million.
The Irish Sports Council
received funding of €49.7 million, a decrease of 4 per cent. €59.2 million was allocated to horse and greyhound racing, a decrease of 13 per cent. The Sports Capital Programme received €48 million, down from €56 million the previous year. Aviva Stadium
development funding will increase from €1.5 million to €4.5 million. Funding for Abbotstown's National Sports Campus increased by 20 per cent. The National Aquatic Centre
received the rest.
Brian Cowen
said the Government would "do whatever was necessary to stabilise the deficit" and that "a job needed to be done", whilst maintaining that the Budget was "well received". Fine Gael
's Richard Bruton
responded to Brian Lenihan's claim that "the worst is over" by comparing the statement to former U.S. President
George W. Bush
declaring "mission accomplished" on the Iraq War in 2003. His colleague Alan Shatter
accused the Government of buying off children with alcohol: "Forget the food and milk — let them drink beer", describing it as being from "the Marie Antoinette
school of politics" and asking "which comedian was employed to author this bizarre document". The Labour Party
's Joan Burton
described it as "a sort of Top Gear lads Budget" with cheaper alcohol and cars being made available. Sinn Féin
's leader in the Dáil Caoimhghín Ó Caoláin
described anyone who had constructed Budget 2010 as "economically illiterate". His colleague Arthur Morgan
bemoaned how the Budget benefited "the corrupt banker".
ICTU
General Secretary David Begg was "shocked", claiming the Budget would cause Ireland's economy to fall further into recession. IBEC
Director General Danny McCoy described the Budget as "a turning point" and one which would place Ireland "on a sustainable path".
The Irish Nurses Organisation
described the public servant pay decrease as "grossly unfair, short-sighted, damaging and provocative" and would lead to "grave hardship". The Irish National Teachers' Organisation
said those involved in the public sector would "pay for Government's disastrous handling of the economy" and that "hardworking public servants and their families had been squeezed yet again to pay the price of the economic crisis". IMPACT
said the Budget was the same as "sacrificing long-term public service reform for short-term political expediency". The Association of Garda Sergeants and Inspectors said the Budget was an "attack on its members". The Construction Industry Federation said the loss of almost €1 billion was "a blow to jobs in its sector". The Irish Hotels Federation was grateful for the Government's "strong and decisive action". The Irish Hospital Consultants Association later revealed its willingness to agree 15% pay cut announced by the Finance Minister for its members in his Budget 2010.
The National Campaign for the Arts expressed relief and pleasure that it had not been affected very much by the Budget. Youth Work Ireland described the targeting of young people as "pure cynicism [...] a cynical move when contrasted with the 30,000 young people turned away from education courses last October". Drinks Industry Group of Ireland Chairman Kieran Tobin said reductions on the cost of alcohol would be "a great relief" and would "repatriate some of the revenue currently being lost to cross-border trade". Anti-smoking lobbyists ASH Ireland criticised the lack of increase in the price of tobacco. Friends of the Earth
described the carbon tax being implemented as "an important piece of the jigsaw in tackling climate change". Oxfam
Ireland CEO Jim Clarken spoke of being "extremely disappointed that the Government have piled further cuts on the massive 24% cut applied earlier this year" and accused the Irish government having "yet again, broken a promise to the world's poor".
Political Correspondent for The Irish Times
Harry McGee
dubbed it "the most austere Budget in the history of the State". The Irish Examiner
said it "can only be described as one of the toughest Budgets in the history of the State". The BBC
called it "one of the most severe budgets in the Republic's history". The New York Times
referred to it as the "harshest budget in generations".
Global investors approved the measures introduced by Brian Lenihan, with Irish government bonds receiving a boost following the Budget. Former President of Ireland
Mary Robinson
announced two days after the delivery of Budget 2010 that she would be happy to take a 10 per cent reduction in her pension, a further 10 per cent added to what she had previously offered earlier that year.
Former RTÉ Economics Correspondent turned Fine Gael
TD George Lee gave his view in the Galway Independent
the following week under the headline: "not fair, not clever and not going to fix economy". Lee was critical of the proposed car scrappage scheme, saying it would benefit only the likes of France
, Germany
and Japan
where the new cars would be imported from. He also condemned what he called "the crazy result of this decision [to cut] is that an office cleaner in the Department of Finance will take a greater proportionate pay cut after tax than Minister Lenihan" and that the pay cut for Ministers announced in this Budget included the cut they had given themselves in the previous Budget in April 2009.
Fine Gael
leader Enda Kenny
criticised the Government for "acting in a disgraceful manner" and challenged them, "If you think you can come in here and do whatever you want you have another thing coming". Labour Party
leader Eamon Gilmore
suggested the Government would “round up its six strays and get here this evening to vote on the measure”, in a thinly veiled reference to supporting Independents as well as those within Fianna Fáil who had lost the whip. Jimmy Devins
and Eamon Scanlon
were specifically referred to by Gilmore as “the two strays from Sligo
”. Independent
Jackie Healy-Rae
replied to critics of his and his fellow Independents stance in supporting the Budget that they would be "glad to have us" on their side too if required to pass a vote.
Labour Party deputy Róisín Shortall
suggested that "there is no obligation on them [backbenchers and Independents] to support this. They are not under a whip. It's their choice. If they vote for these (measures), well then they have to face the consequences in their constituency". Green Party
deputy Paul Gogarty
said, "It's regrettable but necessargy. And everyone on this side of the house is going to stand by it, because it has to be done".
Gogarty was later condemned and forced to apologise for his use of "unparliamentary language
" after he yelled "Fuck you, Deputy Stagg, fuck you" at veteran Labour Party TD Emmet Stagg
during the debate on the Social Welfare Bill on 11 December 2009. Fine Gael Senator Frances Fitzgerald
remarked, “If only Paul Gogarty got as upset about carers, blind pensioners and dole recipients as he does about perceived slights to his ego.” Fine Gael deputy Lucinda Creighton
called for the expulsion of Gogarty from the House. Ceann Comhairle
Séamus Kirk
, requesting the need for “decent standards”, sent the expletives to the Dáil Committee on Procedure and Privileges. It was discovered that "fuck" was not actually contained alongside such terms as "brat"; "buffoon"; "communist"; "coward"; "fascist"; "guttersnipe"; "hypocrite"; "rat
"; "scumbag
"; "scurrilous
" and "yahoo" in Salient Rulings of the Chair, an 83-page document governing parliamentary language.
Green Party deputies were described as "less than pleased" at Gogarty's conduct. Green Party leader John Gormley
later commented on the incident: “It was unacceptable language. He should not have said it. He has apologised and withdrawn the remarks. I have not had an opportunity to speak to him as yet. It is over. He has apologised now.” Stagg was not bothered, citing "a thick skin" and the "development of a hide". Gogarty received a positive response from his constituents and went on to feature on Operation Transformation
the following month.
The Social Welfare Bill passed by 81 to 75 votes on the evening of 11 December. Government deputies who missed the vote included former Taoiseach Bertie Ahern
, former Ceann Comhairle John O'Donoghue
and Donegal North East
deputies Jim McDaid
and Niall Blaney
.
for fiscal year 2010 are €2.355 billion(+182.4%).
Government budget
A government budget is a legal document that is often passed by the legislature, and approved by the chief executive-or president. For example, only certain types of revenue may be imposed and collected...
by the Government of Ireland on 9 December 2009, its third in fourteen months. It was also the third overall budget to be delivered by the ruling Fianna Fáil
Fianna Fáil
Fianna Fáil – The Republican Party , more commonly known as Fianna Fáil is a centrist political party in the Republic of Ireland, founded on 23 March 1926. Fianna Fáil's name is traditionally translated into English as Soldiers of Destiny, although a more accurate rendition would be Warriors of Fál...
party's Brian Lenihan
Brian Lenihan, Jnr
Brian Joseph Lenihan was an Irish Fianna Fáil politician and barrister who served in the government of Ireland as Minister for Justice, Equality and Law Reform from 2007 to 2008 and as Minister for Finance from 2008 to 2011...
as the country's Minister for Finance
Minister for Finance (Ireland)
The Minister for Finance is the title held by the Irish government minister responsible for all financial and monetary matters. The office-holder controls the Department of Finance and is considered one of the most important members of the Government of Ireland.The current Minister for Finance is...
.
The 2010 Budget was described by commentators in Ireland and around the world in unusually harsh terms as €4 billion was removed from the country's national deficit. It was characterised by pay cuts for public sector workers and cuts in social welfare
Welfare
Welfare refers to a broad discourse which may hold certain implications regarding the provision of a minimal level of wellbeing and social support for all citizens without the stigma of charity. This is termed "social solidarity"...
. According to the BBC
BBC
The British Broadcasting Corporation is a British public service broadcaster. Its headquarters is at Broadcasting House in the City of Westminster, London. It is the largest broadcaster in the world, with about 23,000 staff...
, social welfare cuts had not been implemented by the country since 1924. The cuts prompted at least one angry outburst in Dáil Éireann
Dáil Éireann
Dáil Éireann is the lower house, but principal chamber, of the Oireachtas , which also includes the President of Ireland and Seanad Éireann . It is directly elected at least once in every five years under the system of proportional representation by means of the single transferable vote...
, the principal chamber of the Oireachtas
Oireachtas
The Oireachtas , sometimes referred to as Oireachtas Éireann, is the "national parliament" or legislature of Ireland. The Oireachtas consists of:*The President of Ireland*The two Houses of the Oireachtas :**Dáil Éireann...
(Irish parliament). Among the other initiatives unveiled in this Budget was a car scrappage scheme as well as a new carbon tax.
The post-budget debate was interrupted by a famous use of unparliamentary language
Unparliamentary language
In a Westminster system, unparliamentary language is words or phrases that are deemed to be inappropriate for use in the House whilst it is in session. This includes, but is not limited to the suggestion of dishonesty or profanity. The most prohibited case is any suggestion that another member is...
by Green Party
Green Party (Ireland)
The Green Party is a green political party in Ireland. It was founded as the Ecology Party of Ireland in 1981 by Dublin teacher Christopher Fettes. The party became the Green Alliance in 1983 and in 1987 was renamed to its current title in English...
TD Paul Gogarty
Paul Gogarty
Paul Nicholas Gogarty is a former Irish Green Party politician. He was a Teachta Dála for the Dublin Mid West constituency from 2002 to 2011. He currently works as a media commentator and journalist.-Early and private life:...
which attracted attention around the world.
Background
The budget for 2010 was occurred in the context of a major recession, which followed the 2008–2009 Irish financial crisis2008–2009 Irish financial crisis
The 2008–2011 Irish financial crisis, which had stemmed from the financial crisis of 2008, is a major political and economic crisis in Ireland that is partly responsible for the country falling into recession for the first time since the 1980s...
. It also followed the difficult 2009 budget, which led to widespread protests, as well as a supplementary emergency budget
Irish emergency budget, 2009
The 2009 Irish emergency budget refers to the delivery of an emergency government budget by the Government of Ireland on 7 April 2009, its second in six months. It was also the second overall budget to be delivered by the ruling Fianna Fáil party's Brian Lenihan as the country's Minister for Finance...
in April 2009. This meant that the 2010 budget was the third to be delivered by the Finance Minister in only fourteen months.
Budget summary
The following are the main points of Budget 2010.- 4% cut in social welfare payments, excluding the state old age pension
- Child benefit decreased by €16 each month, although welfare-dependent families remain unchanged
- 20-21 year-olds Jobseekers' Allowance decreased to €100 per week in the event of these not having any dependents, 22-24 year-olds Jobseekers' Allowance decreased to €150 per week, the latter point also applying to anyone who does not take a job when offered
- 5-10% cut in public sector pay
- Carbon taxCarbon taxA carbon tax is an environmental tax levied on the carbon content of fuels. It is a form of carbon pricing. Carbon is present in every hydrocarbon fuel and is released as carbon dioxide when they are burnt. In contrast, non-combustion energy sources—wind, sunlight, hydropower, and nuclear—do not...
introduced - High end VATValue added taxA value added tax or value-added tax is a form of consumption tax. From the perspective of the buyer, it is a tax on the purchase price. From that of the seller, it is a tax only on the "value added" to a product, material or service, from an accounting point of view, by this stage of its...
reduced from 21.5% to 21% - Each item on medical card prescription to cost 50c after April 2010
- Higher income tax for PAYE earners (Due to tax credits being cut)
- A new Universal Social Charge (USC) to replace the Health levy portion of PRSI
- At least €70 million towards those affected by recent flooding2009 Great Britain and Ireland floodsThe 2009 Great Britain and Ireland floods was a weather event that affected parts of Great Britain and Ireland throughout November and into December 2009. November was the wettest month across the United Kingdom since records began in 1914 and was well above average temperatures. The worst affected...
and to the prevention of similar disasters in future
Excise duties on beer and cider were decreased by 12 cent, excise duties on a half-glass of spirits were decreased by 14 cent and a bottle of wine was decreased by 60 cent, with a warning from the Finance Minister that these reductions were open to being recalled if consumers did not benefit. Due to an increase in the smuggling of tobacco into Ireland, prices of tobacco remained unaltered.
A year-long car scrappage scheme was unveiled targeting vehicles which had been in use for more than a decade, with a €1,500 reduction in vehicle registration tax relief available for those who availed of this scheme (but only "under certain conditions").
The salary of the Taoiseach
Taoiseach
The Taoiseach is the head of government or prime minister of Ireland. The Taoiseach is appointed by the President upon the nomination of Dáil Éireann, the lower house of the Oireachtas , and must, in order to remain in office, retain the support of a majority in the Dáil.The current Taoiseach is...
was decreased by 20 per cent on a permanent basis.
Arts
The arts budget decreased by 6 per cent to €166 million from the previous year's €178 million.Culture Ireland
Culture Ireland
Culture Ireland is the Irish State Agency established to promote and advance Irish Arts internationally. It was set up in 2005 and is funded by the Department of Arts, Heritage and Gaeltacht Affairs. Its budget for 2010 was €4.083m...
received €4.083 million and the Irish Film Board
Irish Film Board
The Irish Film Board is Ireland’s national film agency and major film funding body. It was recommended for abolition by the Special Group on Public Service Numbers and Expenditure Programmes in 2009.-Formative years:...
received €19.31 million, both the same as figures from 2007. The Arts Council
Arts council
An arts council is a government or private, non-profit organization dedicated to promoting the arts mainly by funding local artists, awarding prizes, and organizing events at home and abroad...
received €69.15 million, a decrease of 6 per cent. Section 481's tax relief for film and television production was not affected. The Zoological Society of Ireland
Zoological Society of Ireland
The Zoological Society of Ireland is the body responsible for running Dublin Zoo, where it is based, and Fota Wildlife Park in County Cork...
's grant of €3 million for funding Dublin Zoo
Dublin Zoo
Dublin Zoo , in Phoenix Park, Dublin, Ireland is the largest zoo in Ireland and one of Dublin's most popular attractions. Opened in 1831, the zoo describes its role as conservation, study, and education...
remained the same. However, the National Gallery of Ireland
National Gallery of Ireland
The National Gallery of Ireland houses the Irish national collection of Irish and European art. It is located in the centre of Dublin with one entrance on Merrion Square, beside Leinster House, and another on Clare Street. It was founded in 1854 and opened its doors ten years later...
's grant was decreased by 7 per cent leaving it with an annual total of €10.17 million.
Sport
The Government allocated €115 million for sport, a decrease from the previous year's €127 million.The Irish Sports Council
Irish Sports Council
The Irish Sports Council or ISC is the organisation which directs the development of sport within the Ireland.The ISC is a statutory authority and was established in July 1999 under powers provided by the Irish Sports Council Act...
received funding of €49.7 million, a decrease of 4 per cent. €59.2 million was allocated to horse and greyhound racing, a decrease of 13 per cent. The Sports Capital Programme received €48 million, down from €56 million the previous year. Aviva Stadium
Aviva Stadium
The Aviva Stadium is a sports stadium located in Dublin, Ireland, with a capacity for 50,000 spectators. The stadium is built on the site of the old Lansdowne Road venue, which was demolished in 2007, and replaces that stadium as home to its chief tenants: the Irish rugby union team and the...
development funding will increase from €1.5 million to €4.5 million. Funding for Abbotstown's National Sports Campus increased by 20 per cent. The National Aquatic Centre
National Aquatic Centre
The National Aquatic Centre is a water-sports facility located in the townsland of Abbotstown , near the village of Blanchardstown, in the city of Dublin, Ireland....
received the rest.
Tourism
The Government allocated more than €155 million for tourism, an increase of 2 per cent from the previous year's Budget. €22 million of this was dedicated to tourist attractions. "Imaginative initiatives", including rail discounts for senior visiting citizens, were announced.Reaction
TaoiseachTaoiseach
The Taoiseach is the head of government or prime minister of Ireland. The Taoiseach is appointed by the President upon the nomination of Dáil Éireann, the lower house of the Oireachtas , and must, in order to remain in office, retain the support of a majority in the Dáil.The current Taoiseach is...
Brian Cowen
Brian Cowen
Brian Cowen is a former Irish politician who served as Taoiseach of Ireland from 7 May 2008 to 9 March 2011. He was head of a coalition government led by Fianna Fáil which until 23 January 2011 had the support of the Green Party and independent TDs.Cowen was also leader of Fianna Fáil from 7 May...
said the Government would "do whatever was necessary to stabilise the deficit" and that "a job needed to be done", whilst maintaining that the Budget was "well received". Fine Gael
Fine Gael
Fine Gael is a centre-right to centrist political party in the Republic of Ireland. It is the single largest party in Ireland in the Oireachtas, in local government, and in terms of Members of the European Parliament. The party has a membership of over 35,000...
's Richard Bruton
Richard Bruton
Richard Bruton is an Irish Fine Gael politician and has been a Teachta Dála for the Dublin North Central constituency since 1982. He was appointed as Minister for Jobs, Enterprise and Innovation on 9 March 2011...
responded to Brian Lenihan's claim that "the worst is over" by comparing the statement to former U.S. President
President of the United States
The President of the United States of America is the head of state and head of government of the United States. The president leads the executive branch of the federal government and is the commander-in-chief of the United States Armed Forces....
George W. Bush
George W. Bush
George Walker Bush is an American politician who served as the 43rd President of the United States, from 2001 to 2009. Before that, he was the 46th Governor of Texas, having served from 1995 to 2000....
declaring "mission accomplished" on the Iraq War in 2003. His colleague Alan Shatter
Alan Shatter
Alan Joseph Shatter is an Irish Fine Gael politician. He is a Teachta Dála for the Dublin South constituency and has been the Minister for Justice and Equality and Minister for Defence since March 2011.-Background and early life:...
accused the Government of buying off children with alcohol: "Forget the food and milk — let them drink beer", describing it as being from "the Marie Antoinette
Marie Antoinette
Marie Antoinette ; 2 November 1755 – 16 October 1793) was an Archduchess of Austria and the Queen of France and of Navarre. She was the fifteenth and penultimate child of Holy Roman Empress Maria Theresa and Holy Roman Emperor Francis I....
school of politics" and asking "which comedian was employed to author this bizarre document". The Labour Party
Labour Party (Ireland)
The Labour Party is a social-democratic political party in the Republic of Ireland. The Labour Party was founded in 1912 in Clonmel, County Tipperary, by James Connolly, James Larkin and William X. O'Brien as the political wing of the Irish Trade Union Congress. Unlike the other main Irish...
's Joan Burton
Joan Burton
Joan Burton is an Irish Labour Party politician and the current Minister for Social Protection. She is a Teachta Dála for the Dublin West constituency....
described it as "a sort of Top Gear lads Budget" with cheaper alcohol and cars being made available. Sinn Féin
Sinn Féin
Sinn Féin is a left wing, Irish republican political party in Ireland. The name is Irish for "ourselves" or "we ourselves", although it is frequently mistranslated as "ourselves alone". Originating in the Sinn Féin organisation founded in 1905 by Arthur Griffith, it took its current form in 1970...
's leader in the Dáil Caoimhghín Ó Caoláin
Caoimhghín Ó Caoláin
Caoimhghín Ó Caoláin is a Sinn Féin politician from Ireland. He has been a Teachta Dála for the Cavan–Monaghan constituency since 1997 and was the parliamentary leader of Sinn Féin in Dáil Éireann from 1997–2011.-Biography:Caoimhghín Ó Caoláin was born in Monaghan in 1953. He was educated at St....
described anyone who had constructed Budget 2010 as "economically illiterate". His colleague Arthur Morgan
Arthur Morgan (Irish politician)
Arthur Morgan is a former Irish Sinn Féin politician. He was a Teachta Dála for the Louth constituency from 2002 to 2011....
bemoaned how the Budget benefited "the corrupt banker".
ICTU
Irish Congress of Trade Unions
The Irish Congress of Trade Unions , formed in 1959 by the merger of the Irish Trade Union Congress and the Congress of Irish Unions , is a national trade union centre, the umbrella organisation to which trade unions in both the Republic of Ireland and Northern Ireland affiliate.-Influence:There...
General Secretary David Begg was "shocked", claiming the Budget would cause Ireland's economy to fall further into recession. IBEC
Irish Business and Employers Confederation
The Irish Business and Employers Confederation is Ireland's largest business and employers lobbying organisation. It represents the interests of over 7500 organisations of all sizes, regions and industry sectors...
Director General Danny McCoy described the Budget as "a turning point" and one which would place Ireland "on a sustainable path".
The Irish Nurses Organisation
Irish Nurses Organisation
The Irish Nurses and Midwives Organisation was founded in 1919. It is the largest Irish professional union for nurses and midwives with 35,000 members....
described the public servant pay decrease as "grossly unfair, short-sighted, damaging and provocative" and would lead to "grave hardship". The Irish National Teachers' Organisation
Irish National Teachers' Organisation
The Irish National Teachers' Organisation , in Irish Cumann Múinteoirí Éireann, which was founded in 1868, is the largest teachers' trade union in Ireland. It represents teachers at primary level in the Republic of Ireland, and at primary and post-primary level in Northern Ireland. The head office...
said those involved in the public sector would "pay for Government's disastrous handling of the economy" and that "hardworking public servants and their families had been squeezed yet again to pay the price of the economic crisis". IMPACT
Irish Municipal, Public and Civil Trade Union
The Irish Municipal, Public and Civil Trade Union is a trade union in the Republic of Ireland. It primarily organises workers in education, health, local government and the civil service...
said the Budget was the same as "sacrificing long-term public service reform for short-term political expediency". The Association of Garda Sergeants and Inspectors said the Budget was an "attack on its members". The Construction Industry Federation said the loss of almost €1 billion was "a blow to jobs in its sector". The Irish Hotels Federation was grateful for the Government's "strong and decisive action". The Irish Hospital Consultants Association later revealed its willingness to agree 15% pay cut announced by the Finance Minister for its members in his Budget 2010.
The National Campaign for the Arts expressed relief and pleasure that it had not been affected very much by the Budget. Youth Work Ireland described the targeting of young people as "pure cynicism [...] a cynical move when contrasted with the 30,000 young people turned away from education courses last October". Drinks Industry Group of Ireland Chairman Kieran Tobin said reductions on the cost of alcohol would be "a great relief" and would "repatriate some of the revenue currently being lost to cross-border trade". Anti-smoking lobbyists ASH Ireland criticised the lack of increase in the price of tobacco. Friends of the Earth
Friends of the Earth
Friends of the Earth International is an international network of environmental organizations in 76 countries.FOEI is assisted by a small secretariat which provides support for the network and its agreed major campaigns...
described the carbon tax being implemented as "an important piece of the jigsaw in tackling climate change". Oxfam
Oxfam
Oxfam is an international confederation of 15 organizations working in 98 countries worldwide to find lasting solutions to poverty and related injustice around the world. In all Oxfam’s actions, the ultimate goal is to enable people to exercise their rights and manage their own lives...
Ireland CEO Jim Clarken spoke of being "extremely disappointed that the Government have piled further cuts on the massive 24% cut applied earlier this year" and accused the Irish government having "yet again, broken a promise to the world's poor".
Political Correspondent for The Irish Times
The Irish Times
The Irish Times is an Irish daily broadsheet newspaper launched on 29 March 1859. The editor is Kevin O'Sullivan who succeeded Geraldine Kennedy in 2011; the deputy editor is Paul O'Neill. The Irish Times is considered to be Ireland's newspaper of record, and is published every day except Sundays...
Harry McGee
Harry McGee
Harry McGee is the current Political Correspondent with The Irish Times. He has previously worked for several publications, including being Political Editor of the Irish Examiner, as well as jobs with the Sunday Tribune, the Sunday Press, the Connacht Tribune newspapers, public service broadcaster...
dubbed it "the most austere Budget in the history of the State". The Irish Examiner
Irish Examiner
The Irish Examiner, formerly The Cork Examiner and then The Examiner, is an Irish national daily newspaper which primarily circulates in the Munster region surrounding its base in Cork, though it is available throughout the country...
said it "can only be described as one of the toughest Budgets in the history of the State". The BBC
BBC
The British Broadcasting Corporation is a British public service broadcaster. Its headquarters is at Broadcasting House in the City of Westminster, London. It is the largest broadcaster in the world, with about 23,000 staff...
called it "one of the most severe budgets in the Republic's history". The New York Times
The New York Times
The New York Times is an American daily newspaper founded and continuously published in New York City since 1851. The New York Times has won 106 Pulitzer Prizes, the most of any news organization...
referred to it as the "harshest budget in generations".
Global investors approved the measures introduced by Brian Lenihan, with Irish government bonds receiving a boost following the Budget. Former President of Ireland
President of Ireland
The President of Ireland is the head of state of Ireland. The President is usually directly elected by the people for seven years, and can be elected for a maximum of two terms. The presidency is largely a ceremonial office, but the President does exercise certain limited powers with absolute...
Mary Robinson
Mary Robinson
Mary Therese Winifred Robinson served as the seventh, and first female, President of Ireland from 1990 to 1997, and the United Nations High Commissioner for Human Rights, from 1997 to 2002. She first rose to prominence as an academic, barrister, campaigner and member of the Irish Senate...
announced two days after the delivery of Budget 2010 that she would be happy to take a 10 per cent reduction in her pension, a further 10 per cent added to what she had previously offered earlier that year.
Former RTÉ Economics Correspondent turned Fine Gael
Fine Gael
Fine Gael is a centre-right to centrist political party in the Republic of Ireland. It is the single largest party in Ireland in the Oireachtas, in local government, and in terms of Members of the European Parliament. The party has a membership of over 35,000...
TD George Lee gave his view in the Galway Independent
Galway Independent
The Galway Independent is a free newspaper distributed in Galway on Wednesdays....
the following week under the headline: "not fair, not clever and not going to fix economy". Lee was critical of the proposed car scrappage scheme, saying it would benefit only the likes of France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
, Germany
Germany
Germany , officially the Federal Republic of Germany , is a federal parliamentary republic in Europe. The country consists of 16 states while the capital and largest city is Berlin. Germany covers an area of 357,021 km2 and has a largely temperate seasonal climate...
and Japan
Japan
Japan is an island nation in East Asia. Located in the Pacific Ocean, it lies to the east of the Sea of Japan, China, North Korea, South Korea and Russia, stretching from the Sea of Okhotsk in the north to the East China Sea and Taiwan in the south...
where the new cars would be imported from. He also condemned what he called "the crazy result of this decision [to cut] is that an office cleaner in the Department of Finance will take a greater proportionate pay cut after tax than Minister Lenihan" and that the pay cut for Ministers announced in this Budget included the cut they had given themselves in the previous Budget in April 2009.
Social Welfare Bill and "unparliamentary language" controversy
Attempts by the government to quickly legalise the Social Welfare Bill proposed in the Budget before the weekend were met with disapproval from the Opposition.Fine Gael
Fine Gael
Fine Gael is a centre-right to centrist political party in the Republic of Ireland. It is the single largest party in Ireland in the Oireachtas, in local government, and in terms of Members of the European Parliament. The party has a membership of over 35,000...
leader Enda Kenny
Enda Kenny
Enda Kenny is an Irish Fine Gael politician, and has been the Taoiseach since 2011. He has led Fine Gael since 2002. He served as Minister for Tourism and Trade from 1994 to 1997. He is also a two-term Vice President of the European People's Party.Kenny has been a Teachta Dála for Mayo since...
criticised the Government for "acting in a disgraceful manner" and challenged them, "If you think you can come in here and do whatever you want you have another thing coming". Labour Party
Labour Party (Ireland)
The Labour Party is a social-democratic political party in the Republic of Ireland. The Labour Party was founded in 1912 in Clonmel, County Tipperary, by James Connolly, James Larkin and William X. O'Brien as the political wing of the Irish Trade Union Congress. Unlike the other main Irish...
leader Eamon Gilmore
Eamon Gilmore
Eamon Gilmore is an Irish Labour Party politician and the current Tánaiste and Minister for Foreign Affairs and Trade. He has been the Leader of the Labour Party since September 2007, and a Teachta Dála for the Dún Laoghaire constituency since 1989, first with the Workers' Party of Ireland, and...
suggested the Government would “round up its six strays and get here this evening to vote on the measure”, in a thinly veiled reference to supporting Independents as well as those within Fianna Fáil who had lost the whip. Jimmy Devins
Jimmy Devins
James "Jimmy" Devins is a former Irish Fianna Fáil politician and medical doctor. He served as a Teachta Dála from 2002 to 2011....
and Eamon Scanlon
Eamon Scanlon
Eamon Scanlon is a former Irish Fianna Fáil politician. He was a Teachta Dála for the Sligo–North Leitrim constituency from 2007 to 2011.-Personal life:...
were specifically referred to by Gilmore as “the two strays from Sligo
Sligo
Sligo is the county town of County Sligo in Ireland. The town is a borough and has a charter and a town mayor. It is sometimes referred to as a city, and sometimes as a town, and is the second largest urban area in Connacht...
”. Independent
Independent (politician)
In politics, an independent or non-party politician is an individual not affiliated to any political party. Independents may hold a centrist viewpoint between those of major political parties, a viewpoint more extreme than any major party, or they may have a viewpoint based on issues that they do...
Jackie Healy-Rae
Jackie Healy-Rae
Jackie Healy-Rae is a former Irish politician who served as an Independent Teachta Dála for the Kerry South constituency from 1997 to 2011.-Early and private life:...
replied to critics of his and his fellow Independents stance in supporting the Budget that they would be "glad to have us" on their side too if required to pass a vote.
Labour Party deputy Róisín Shortall
Róisín Shortall
Róisín Shortall is an Irish Labour Party politician. She has been a Teachta Dála for the Dublin North West constituency since November 1992, and is the current Minister of State for Primary Care....
suggested that "there is no obligation on them [backbenchers and Independents] to support this. They are not under a whip. It's their choice. If they vote for these (measures), well then they have to face the consequences in their constituency". Green Party
Green Party (Ireland)
The Green Party is a green political party in Ireland. It was founded as the Ecology Party of Ireland in 1981 by Dublin teacher Christopher Fettes. The party became the Green Alliance in 1983 and in 1987 was renamed to its current title in English...
deputy Paul Gogarty
Paul Gogarty
Paul Nicholas Gogarty is a former Irish Green Party politician. He was a Teachta Dála for the Dublin Mid West constituency from 2002 to 2011. He currently works as a media commentator and journalist.-Early and private life:...
said, "It's regrettable but necessargy. And everyone on this side of the house is going to stand by it, because it has to be done".
Gogarty was later condemned and forced to apologise for his use of "unparliamentary language
Unparliamentary language
In a Westminster system, unparliamentary language is words or phrases that are deemed to be inappropriate for use in the House whilst it is in session. This includes, but is not limited to the suggestion of dishonesty or profanity. The most prohibited case is any suggestion that another member is...
" after he yelled "Fuck you, Deputy Stagg, fuck you" at veteran Labour Party TD Emmet Stagg
Emmet Stagg
Emmet Stagg is an Irish Labour Party politician. He is currently a Teachta Dála for the Kildare North constituency and Labour Party Chief Whip.-Early life:...
during the debate on the Social Welfare Bill on 11 December 2009. Fine Gael Senator Frances Fitzgerald
Frances Fitzgerald (Irish politician)
Frances Fitzgerald is an Irish Fine Gael politician, and is the current Minister for Children and Youth Affairs. She has been a Teachta Dála for the Dublin Mid West constituency since February 2011...
remarked, “If only Paul Gogarty got as upset about carers, blind pensioners and dole recipients as he does about perceived slights to his ego.” Fine Gael deputy Lucinda Creighton
Lucinda Creighton
Lucinda Creighton is an Irish Fine Gael politician. She has been a Teachta Dála for the Dublin South East constituency since 2007. She was appointed the Minister of State for European Affairs in March 2011.-Early and private life:...
called for the expulsion of Gogarty from the House. Ceann Comhairle
Ceann Comhairle
The Ceann Comhairle is the chairman of Dáil Éireann, the lower house of the Oireachtas of Ireland. The person who holds the position is elected by members of the Dáil from among their number in the first session after each general election...
Séamus Kirk
Séamus Kirk
Séamus Kirk is an Irish Fianna Fáil politician. He is a former Ceann Comhairle of Dáil Éireann, serving from October 2009 to March 2011. He has been a Teachta Dála for the Louth constituency since 1982.-Background:...
, requesting the need for “decent standards”, sent the expletives to the Dáil Committee on Procedure and Privileges. It was discovered that "fuck" was not actually contained alongside such terms as "brat"; "buffoon"; "communist"; "coward"; "fascist"; "guttersnipe"; "hypocrite"; "rat
Rat
Rats are various medium-sized, long-tailed rodents of the superfamily Muroidea. "True rats" are members of the genus Rattus, the most important of which to humans are the black rat, Rattus rattus, and the brown rat, Rattus norvegicus...
"; "scumbag
Scanger
Skanger is a word used to describe a person, mainly in Ireland, roughly equivalent to the British chav.Both words refer to a socioeconomic grouping typical of low income urban working class youths. There are many stereotypes of each group, and it is worth noting that popular culture often openly...
"; "scurrilous
Scurrilous
Scurrilous is the third studio album by Canadian progressive metal band Protest the Hero. It was released on March 22, 2011 on Vagrant Records in the US and Underground Operations in Canada. The word scurrilous is defined as "vulgar verbal abuse; foul-mouthed; coarse, vulgar, abusive, or...
" and "yahoo" in Salient Rulings of the Chair, an 83-page document governing parliamentary language.
Green Party deputies were described as "less than pleased" at Gogarty's conduct. Green Party leader John Gormley
John Gormley
John Gormley is an Irish politician. He was the leader of the Irish Green Party from 2007 to 2011, and was a Teachta Dála for the Dublin South East constituency from 1997 to 2011. He served as Minister for the Environment, Heritage and Local Government from 2007–11...
later commented on the incident: “It was unacceptable language. He should not have said it. He has apologised and withdrawn the remarks. I have not had an opportunity to speak to him as yet. It is over. He has apologised now.” Stagg was not bothered, citing "a thick skin" and the "development of a hide". Gogarty received a positive response from his constituents and went on to feature on Operation Transformation
Operation Transformation (TV series)
Operation Transformation is an Irish health and fitness programme. The show is a cross-media event broadcast via radio, web and television on RTÉ 2fm, RTÉ.ie and RTÉ One since 2008...
the following month.
The Social Welfare Bill passed by 81 to 75 votes on the evening of 11 December. Government deputies who missed the vote included former Taoiseach Bertie Ahern
Bertie Ahern
Patrick Bartholomew "Bertie" Ahern is a former Irish politician who served as Taoiseach of Ireland from 26 June 1997 to 7 May 2008....
, former Ceann Comhairle John O'Donoghue
John O'Donoghue (politician)
John O'Donoghue is a former Irish Fianna Fáil politician. He was a Teachta Dála for the Kerry South constituency from 1987 to 2011. He is a former Ceann Comhairle of Dáil Éireann, the lower house of the Oireachtas. He resigned as Ceann Comhairle on 13 October 2009 due to controversy about his...
and Donegal North East
Donegal North East (Dáil Éireann constituency)
Donegal North–East is a parliamentary constituency represented in Dáil Éireann, the lower house of the Irish parliament or Oireachtas. The constituency elects 3 deputies...
deputies Jim McDaid
Jim McDaid
James "Jim" McDaid is a former Irish Fianna Fáil politician and medical doctor. He served as a Teachta Dála for the Donegal North East constituency from June 1989 until he resigned in November 2010.-Early life:...
and Niall Blaney
Niall Blaney
Niall Blaney is a former Irish politician. A member of Independent Fianna Fáil until he joined Fianna Fáil in 2006, he served as a Teachta Dála for Donegal North East from 2002 to 2011....
.
Estimated tax receipts
Estimated of tax receipts for fiscal year 2010 are €31.930 billion(-1.9%).| Rank | Category | € millions Euro The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,... |
|---|---|---|
| 1 | Total | 31,930 |
| 2 | Income tax Income tax An income tax is a tax levied on the income of individuals or businesses . Various income tax systems exist, with varying degrees of tax incidence. Income taxation can be progressive, proportional, or regressive. When the tax is levied on the income of companies, it is often called a corporate... |
11,979 |
| 3 | Value added tax Value added tax A value added tax or value-added tax is a form of consumption tax. From the perspective of the buyer, it is a tax on the purchase price. From that of the seller, it is a tax only on the "value added" to a product, material or service, from an accounting point of view, by this stage of its... |
10,460 |
| 4 | Excise Excise Excise tax in the United States is a indirect tax on listed items. Excise taxes can be and are made by federal, state and local governments and are far from uniform throughout the United States... |
4,525 |
| 5 | Stamp duties | 975 |
| 6 | Capital gains tax Capital gains tax A capital gains tax is a tax charged on capital gains, the profit realized on the sale of a non-inventory asset that was purchased at a lower price. The most common capital gains are realized from the sale of stocks, bonds, precious metals and property... |
340 |
| 7 | Capital Acquisitions Tax | 240 |
| 8 | Customs Customs Customs is an authority or agency in a country responsible for collecting and safeguarding customs duties and for controlling the flow of goods including animals, transports, personal effects and hazardous items in and out of a country... |
200 |
Non-tax revenue
Estimated of non-tax revenueNon-tax revenue
Non-tax revenue or non-tax receipts are government revenue not generated from taxes. Examples include:* Aid from another level of government - for example, in the United States, federal grants may be considered non-tax revenue to the receiving states, and equalization payments* Aid from abroad *...
for fiscal year 2010 are €2.355 billion(+182.4%).
| Rank | Category | € millions Euro The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,... |
|---|---|---|
| 1 | Total | 2,355 |
| 2 | Credit Institutions Scheme | 1,000 |
| 3 | Central Bank Surplus Scheme | 640 |
| 4 | National Lottery Surplus | 272 |
| 5 | Dividend Dividend Dividends are payments made by a corporation to its shareholder members. It is the portion of corporate profits paid out to stockholders. When a corporation earns a profit or surplus, that money can be put to two uses: it can either be re-invested in the business , or it can be distributed to... s |
176 |
| 6 | Winding up of Ulysses Securitisation | 140 |
| 7 | Other Receipts | 127 |
See also
- Irish emergency budget, 2009Irish emergency budget, 2009The 2009 Irish emergency budget refers to the delivery of an emergency government budget by the Government of Ireland on 7 April 2009, its second in six months. It was also the second overall budget to be delivered by the ruling Fianna Fáil party's Brian Lenihan as the country's Minister for Finance...
– an earlier Budget delivered by the Irish Government in 2009 - Irish budget, 2011Irish budget, 2011The 2011 Irish Budget refers to the delivery of a government budget by the Government of Ireland on 7 December 2010. It was also the fourth overall budget to be delivered by the ruling Fianna Fáil party's Brian Lenihan as the country's Minister for Finance. The budget for 2011 was occurred in the...