The best economic stimulus possible is to put money back in people’s pockets. Lowering taxes for hard pressed Irish workers will significantly benefit the wider economy.
Paying a marginal tax rate of 52% simply acts as a disincentive for people to work and spend in the economy.
I have spoken on several occasions to Minister Noonan about this and I strongly welcome his stated intention to reduce personal taxes for hard pressed middle income earners if possible. This would have the effect of putting money back in the pockets of public and private sector workers who have shown remarkable resilience in helping this country to weather the economic storm.
“More money in people’s pockets will encourage spending in the domestic economy which only incentivises job creation. The best and fairest economic stimulus of all is a tax cut. Supporting jobs growth must remain the clear focus of government and tax breaks for people at work is the logical next step.
“Our current rate of tax is a huge disincentive for people to stay in Ireland and work and is encouraging a brain drain of young professionals. We need to keep our best and brightest here in Ireland making a contribution to their own country – not Australia, not Canada, not the US.
“Fine Gael has shown the Irish people that we can be trusted with the economy and with job creation. Over 60,000 jobs have been created in the last year alone. Being at the heart of the European Union is vital to Ireland’s ability to create jobs and attract employers to our shores. Irish and multinational exporting companies account for well over 500,000 jobs in Ireland and the EU is by far our biggest market.