Let’s extract a little patriotism from super-rich

AMONG the proposals being mooted by the Government for the next and subsequent budgets is an extension of tax to the lower paid.

This is to be accompanied by continued draconian reductions in the provision of health, education and other services required by the population generally and particularly by the poor.

Government cuts and impositions on the poor and those on middle incomes who spend most of their money in Ireland will flatten the economy and increase the disastrous levels of unemployment and emigration.

Much of the €90bn irresponsibly borrowed abroad by Irish banks since 2003 is still in the possession of the super-rich.

The borrowings which have bankrupted many developers have been paid to others.

The repayments on these borrowings are now being made by citizens generally. Surely this money must be restored to the state as a priority.

The only way to recover this money is through an assets tax which is common in several countries – France, Norway, Switzerland – and in several states in the US.

If the €320bn in assets (Wealth of the Nation report, 2007) held by the top 5% in 2007 has now shrunk to €250bn (estimate of Unite, the trade union), a 2% annual assets tax on the top 5% of asset-holders would bring in €5bn a year.

Raising the tax on the top 6% who earn more than €100,000 per annum from 27% to 32% of total salary would generate a further €1.5bn per year.

A significant increase in income and assets taxes on the rich is no longer merely desirable in equity, it is a necessity in order to rescue the economy and to protect human services provision.

There is a real economic emergency. Surely the super-rich should make an emergency contribution. How about a little patriotism from them?

Paddy Healy

Griffith Court

Fairview

Dublin