Irish Union Leader Criticises Low Tax Policies

by Jason Gorringe, Tax-News.com, London

07 July 2003

Peter McLoone, general secretary of Ireland's largest public sector union IMPACT, has said that the country's public services are suffering as a consequence of the government's low tax policies, and has called for increases in taxation on the business community and the wealthy to correct the imbalance.

Ireland has the lowest rate of corporate tax in the European Union at 12.5%. It additionally has one of the lowest rates of income tax in Europe, although McLoone told an Irish Congress of Trade Unions (ICTU) conference that this "comes at a price". The Union leader argued that the "thousands of people waiting for a hospital bed, a speech therapist, or a psychologist, are paying the price. Children who, literally, have the school ceiling coming down on them are paying the price. The vulnerable young people whose preventative anti-drugs service is coming under the axe are paying the price."

The IMPACT general secretary has called on the ICTU to oppose any further attempts by the government to reduce taxation, and to urge it to adopt policies aimed at improving public services and workers' living standards.

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