Fine Gael Spokesperson on Innovation Deirdre Clune TD believes the 2010 Budget has failed to address the main problem facing the country, unemployment.

Economic Recovery requires innovative leadership not wishful thinking.

Instead of making jobs the cornerstone of his Budget the Minister for Finance Brian Lenihan has focused on symptoms of the problem rather than the problem itself.

High unemployment is the key economic factor responsible for the worsening state of the public finances. It is the reason that income tax and VAT has collapsed and it is responsible for the spiralling social welfare budget.

Cutting social welfare payments such as child benefit and jobseekers’ payments may temporarily halt the growth in the social welfare budget but real reductions will not be achieved unless unemployment is reduced.

Youth unemployment has been ignored. CSO figures show that in the last 2 years youth unemployment in Cork City jumped by 2,177, from 1,572 in November 2007 to 3,749 in November 2009. In a list of the top 10 local social welfare offices that have seen the biggest percentage increase in youth unemployment 5 are in Cork County. This Budget offers nothing for young people trapped in unemployment.

Fine Gael’s proposed pro jobs tax cuts, NewERA stimulus package, and policies focused on tackling youth unemployment were ignored.

The Minister has unfairly targeted the low paid in the public sector cutting the wages of those under €30,000 by 5%. As a result someone on €15,000 who is earning too little to pay tax will suffer the full hit of 5% while those on higher pay in the public sector who pay 41% tax will be cushioned from the full impact of the reductions.

Fianna Fáil and Green TDs and Ministers only interest now is avoiding a General Election and they will vote for any Budget that achieves this.