Opposition parties have heavily criticised the Government's budget plans, saying they are designed to help developers instead of ordinary people, have done "nothing" for workers and ignore the biggest crises facing Irish society.
Sinn Féin, Labour and the Social Democrats outlined the situation in their initial response to the budget plans this afternoon.
Speaking in the Dáil, Sinn Féin's finance spokesperson Pearse Doherty said "when the dust settles on this spin" ordinary people will feel they have been "left in the poke", saying "the big message here is you're on your own".
Deputy Doherty asked "how out of touch do you have to get?", saying the cost-of-living crisis has gotten worse since last November's general election and "you've delivered nothing" for people.
The Sinn Féin TD said in his view this Budget "abandons workers and families to focus on the top", saying it's "hollow, a dead end" and "screws you over".
He said the Budget plans "bear no connection with what's actually going on out there in the real world", saying he believes Government saw a cost of living crisis "staring you in the face" and thought "do you know what's needed here, big tax breaks for the wealthy".
Deputy Doherty said "developers and landlords" are getting tax breaks of "hundreds of thousands of euro" while "people on €30,000 to €40,000 get nothing".
"This should have been a cost-of-living budget. The dogs in the street could have told you that.
"You're hoping people will not remember this by the time the next election comes around, but I fear they won't, because you have royally shafted them," he said.
Budget 'could have lifted children out of poverty'
Social Democrats finance spokesperson Cian O’Callaghan also criticised the budget, arguing it will be remembered for "prioritising big developers and fast-food chains over the needs of struggling households".
Deputy O Callaghan said: "This is a budget characterised by bad choices and missed opportunities. It paints a picture of a Government firmly on the side of vested interests rather than helping those struggling with the cost-of-living or desperately trying to put a roof over their heads.
"At a time when the Government has the gall to lecture us about protecting the national finances, it erodes the tax take by €1.3bn – a massive amount of money that could have been used in so many other ways.
"This budget could have lifted 40,000 children out of poverty with a second tier of child benefit; abolished the means test for carers; maintained the €1,000 cut in third level fees; reduced the cost of childcare for families while rolling out a public model; provided a weekly cost-of-disability payment; turbocharged the delivery of affordable homes; and introduced targeted energy credits to benefit 800,000 households.
"Instead, it awards multinational companies like McDonald’s and Starbucks millions in extra profits by reducing their VAT rate to 9%. Last year, McDonald’s Ireland made a massive profit of €42m. This is not a company that is struggling, unlike smaller independent hospitality businesses around the country that could have benefitted from more targeted supports."
Mr O’Callaghan continued that in his view the Budget is "a bonanza for big developers", saying the VAT on new apartment builds will be "slashed" with the "express purpose" of trying to "boost developers' profits".
"What we got today from this Government was a McBudget – a giveaway for property developers and the owners of fast-food chains. It’s a budget that struggling households around the country will find hard to swallow," he said.
‘Galway tent budget’
Labour's housing spokesperson Conor Sheehan gave a similar initial reaction, describing Government's financial plans as "a Galway tent budget" that is in his view focussed on helping developers before people.
In a statement immediately after the details of the Budget were announced, Deputy Sheehan said: "It’s abundantly clear that while Fianna Fáil had one eye on their failed presidency bid, Fine Gael have been firmly focused on ensuring their friends in high places get sorted with this year’s Budget.
"This Government is choosing to forgo €390m annually to give developers a VAT cut on apartments, with no strings attached. When stamp duty relief and CT tax deductions for cost rental are also taken into account, that amounts to a developer tax package of €563 million in a full year.
"With the VAT cut coming in to play from midnight tonight, developers will make an extra 4% on apartment sales, which is on top of the 15-20% margins made on apartments as it is. Just what is Fine Gael and Fianna Fáil playing at?
"A whopping €563 million tax cut for developers is truly incredible at a time when there are over 220,000 children living below the poverty line when housing costs are accounted for; at a time when house prices are astronomical and rents are out of this world."
Mr Sheehan continued that the Budget has provided "no additional measures for homeless services or preventions at a time when 5,145 children live in homelessness", saying "there are no new measures to end this scandal".
And he specifically took aim at the Government's planned derelict property tax announcement, which will replace the existing derelict sites levy.
"According to the minister’s announcement, the new derelict property tax will replace the levy and will be legislated for in the Finance Bill.
"Properties will be identified next year and a register published in 2027 and the tax will come into effect after that.
"If the track record of the residential zoned land tax and vacant property tax is anything to go by, it will be years before we see real progress. Why is the can being kicked down the road again?" he asked.
