Income Redistribution or Electioneering?


About this Item

Cowen’s budget sets out to reward workers with an increase in tax credits, and a widening of the tax bands.

  • Title
    Brian Cowen Delivers His Third Budget
  • 1st Broadcast
  • Contributor
    David Davin Power (Reporter)
    Brian Dobson (Newsreader)
    Sharon Ní Bheoláin (Newsreader)
  • Clip Duration
  • Material Type
  • Series title
    RTÉ News
  • Clip title
    Income Redistribution or Electioneering?
  • Extended description

    This is Brian Cowen’s third budget and the last before next year’s election. In his opening statement, Minister for Finance, Brian Cowen attributed the success of the Irish economy to the hard work of the Irish people.

    Cowen’s budget sets out to reward this effort with an increase in tax credits, and a widening of the tax bands. Economic buoyancy enabled Cowen to reduce the top rate of tax from 42% to 41%, with a promise of a further reduction to 40% the following year if the coalition government is returned to office.

    The budget also marked the achievement of the promise made by Fianna Fáil to increase the old-age pension to €200. Furthermore, with a €20 increase in the weekly rate of unemployment benefit, Mr. Cowen described the budget as the biggest support package for those on low incomes in the history of the state.

    Was this an exercise in income redistribution or a cynical electioneering? While the budget was warmly welcomed by government back-benchers, opposition parties anticipated these cheers turning to tears. Joan Burton, the Labour Party finance spokesperson, said, “When Fianna Fáil see an election around the corner, their first instinct is to buy it”.

  • Information

    A RTÉ News report by David Davin-Power. This report is introduced by RTÉ Newsreaders, Brian Dobson and Sharon Ní Bheoláin.

  • Local keywords
    Memorable Budgets, 2007, Budget, Brian Cowen
  • Geographical coverage
  • Topic
    Politics and Economics
  • Publisher Broadcaster
  • First broadcast channel
    RTÉ One
  • Production year
  • Country of production
  • Original identifier
  • IPR restrictions
    Rights Reserved - Free Access
  • Rights terms and conditions

    Copyright RTÉ. This material may not be replicated in any form or manner without the prior express permission of RTÉ. Any form of reproduction in print, television, video, multimedia, web site or other electronic media or any form of dissemination for commercial or non-commercial use must be licensed by the RTÉ Archives.

    If you wish to licence video or audio clips, still images or text, or would like further guidance please contact us.

    RTÉ Archives are committed to respecting the copyright of others and have attempted to source and credit the copyright owners of all material used here. RTÉ would like to hear from any copyright owners who are not properly identified here so that the necessary corrections can be made. If you feel your copyright has not been respected please contact us.

  • Item type
  • Item colour
  • Item sound
  • Aspect ratio
    16:9 (widescreen)
  • Language used
    English (eng)