Equality of opportunity is central to political beliefs of the PDs

Suggestions that the McCreevy departure could provide an opportunity for a shift in the Government's direction are rejected by…

Suggestions that the McCreevy departure could provide an opportunity for a shift in the Government's direction are rejected by Tánaiste Mary Harney, who argues that the PDs' emphasis on tax cuts and minimising the role of the State are key to "delivering real change."

One of the biggest criticisms of Irish politics is encapsulated in the remark "all politicians are the same".

In one respect it's true. Most politicians and political parties aspire to the same broad goals. A fairer, caring society, one that rewards effort, looks after the old and the sick, provides a health service for those on the basis of medical need and offers equality of opportunity.

So if all political parties generally agree on what we are trying to achieve then people can rightly scratch their heads and ask what is the difference?

READ MORE

The answer to that question lies in how we bring about the circumstances which in turn creates that type of society.

We say the State has a duty to provide for people who can't provide for themselves - a health service that's responsive to medical need regardless of financial circumstances, an educational system based on equality of opportunity and a caring welfare system.

In economic policy, the Progressive Democrats believe in rewarding enterprise, initiative and risk-taking. When there's an opportunity for a handout or a job, you provide the job.

Our approach in Government has been to use that policy to help create prosperity, which in turn enables us to address social injustice.

Lower taxes help promote employment and enterprise. Other parties frequently challenge this approach. They say cutting taxes only benefits the rich and marginalises the poor. That is false and wrong. The claim that the Government and the Progressive Democrats make decisions at the expense of those most in need is quite frankly repugnant to me.

We endured many years in the late 1970s and 1980s where high taxes kept this country on its knees. We suffered high unemployment, we gained little international investment, and a culture emerged whereby any spare money was lodged into an offshore account rather than declared for tax.

When the Progressive Democrats came into power in 1997, unemployment was 12 per cent and emigration was a major problem. In the past seven years we put policies in place that led to the creation of 400,000 jobs, and which brought an end to mass unemployment and emigration. We reduced the burden of taxation on workers and on business.

Record levels of economic growth gave the Government an enormous boost in tax revenues, and resources to begin to address the many problem areas which had suffered from decades of neglect.

Anyone who doubts that low taxes promote economic activity just has to look at what happened when we reduced corporation and capital gains tax five years ago. Revenues increased threefold and fivefold respectively. In fact, Ireland now gets a substantially higher proportion of its revenue from these sources than other European countries with higher tax rates. A low-tax regime generates more activity, and that's good news for everybody.

It allowed us introduce a minimum wage for every worker in this country. It allowed us to introduce an allowance for carers. It allowed for a threefold increase in child benefit payments. It allowed for a 50 per cent increase in the old age pension.

It allowed us invest in urban-regeneration programmes, area-based partnerships, drug-awareness initiatives and new schools. It allowed us become one of the top 10 donors of international aid.

Earlier this year, I proposed that workers on the average industrial wage be removed from the upper tax band, and be taxed only at the standard rate.

At present 90 per cent of the minimum wage is tax free, but I want to see the minimum wage exempted entirely from tax. As a society we could do an awful lot more to provide support for caring, so I have also proposed that SSIA spending power be steered towards care and facilities for older people once it becomes available in 2006/7. These are the things I am seeking to achieve within the lifetime of this Government.

Equality of opportunity is central to our political belief. It does not mean we abdicate our responsibilities to those on the margins, or leave them to fend for themselves. There will always be those who will need ongoing support, and it is our duty to care for those who cannot care for themselves.

But people who can help themselves should have the opportunity for improvement and advancement, and they should be rewarded on the basis of what they have achieved. This principle is an integral part of what I would call a fair society.

Since our establishment in 1985 we have espoused the principle of fairness and openness. We have battled against the golden circles and vested interests which in the past thwarted our society and stifled our natural potential.

A society is defined by how it treats the vulnerable. It is also defined by how it treats its strongest - has it the capacity to ensure the law is always enforced without fear or favour?

There is much debate about the direction of Government policy. The ethos underlying our party, and which underpins our actions in Government, has and will continue to deliver real change, and make a significant difference to all people in this country.

My politics does not come from a textbook or some ideological model. It is based on practical experience of what will work. Notions of left and right are outdated. Some people feel happier to have their policies described as left wing but I am happier with policies that are seen to work - policies that lead to high-quality employment, a good standard of living, good-quality education and an equitable health and welfare system.

These are the things we will continue to strive for.

Mary Harney TD is Tánaiste and leader of the Progressive Democrats.