On Saturday 27th June 2020 a new Coalition Government was formed between Fianna Fáil, Fine Gael, and the Green Party.  This is the first time a coalition Government has been formed with a rotating Taoiseach arrangement. A Programme for Government was agreed by all parties containing commitments towards restarting the economy, housing provision, health services, education, climate action, and a new social contract, all of which take into account challenges presented by Covid-19.

Here are some on the key aspects of the draft Programme for Government:

• Roadmap to recovery
  • pledge to create 200,000 new jobs by 2025
  • “July stimulus package” funded by the Recovery Fund
  • National Economic Plan to be announced in Autumn alongside Budget 2021
  • the National Economic Plan will focus on retraining and upskilling and will include the retrofitting of 500,000 homes by 2030
  • The government will retain the 12.5 corporation tax rate
  • The document says the government will seek to negotiate a new public sector pay deal but does not make any mention of pay rises due to public servants in the autumn.
  • Any “windfall” gains for the State from Nama or the sale of bank stakes will be used to reduce debt. A commission on welfare and taxation will be established. Most homeowners will face no increases in the local property tax, it promises, but new homes which are currently exempt will be brought into the net.
  • There will be continued support for SMEs, and special support for the hospitality, retail, entertainment and arts sectors.
  • Reducing Ireland’s fiscal deficit
    • Ireland could run a deficit of €30bn this year – Budget 2021 will include a “roadmap” detailing how Ireland will reduce our current deficit caused by the impact of Covid-19
• Green New Deal – Clean air strategy – a commitment to a 7 percent reduction in greenhouse gas emissions per annum from 2021 to 2030, a 51 percent reduction over a decade, with the aim to accomplishing zero emissions by 2050 –  2050 target to be set by Climate Action Bill which will be introduced in the Dáil in the first 100 days of government alongside a newly established Climat Action Council
  • 2:1 split on capital spending on transport and roads
  • retrofitting of half a million homes by at least B2 rating by 2030 starting in the midlands, homeowners to be given the option to repay costs through utility bills
  • electrification of transport including electric bikes
  • strategy for remote working and remote service delivery as well as an unprecedented modal shift in all areas by a re-orientation of investment to walking, cycling, and public transport
  • pledge to ban the sale of petrol and diesel cars, and the importation of used petrol and diesel cars by 2030
  • All new buses are to be electric or hybrid and after 2025, public sector bodies will only be allowed to buy low or no-emission cars
  • Financial assistance will be offered to taxi drivers switching to electric cars
  • significant investment in cycle lanes and greenways nationwide – 10% of transportation budget will go to these projects with a further 10% going towards pedestrian infrastructure
  • every local authority will be required to promote cycling within their communities
  • children will receive cycle training in schools
  • Cycle to Work scheme will be extended to include e-bikes and cargo bikes
  • public transport fares will be reviewed and a rural public transport service which connects localities to the public transport system will be developed
  • investment in the potential of offshore renewable energy sources
  • expansion of afforestation plan to transform organic farming with “fair price” for farmers
  • all ministers to make “climate action” a pillar of their strategies
  • The Government will propose that the Oireachtas establishes a standing Joint Oireachtas Committee on Climate Action, with powers similar to the Public Accounts Committee
  • a new National Energy Efficiency Action Plan to reduce energy use, while there are also plans to complete the Celtic Interconnector to connect Ireland’s electricity grid to France
  • end issuing of new licences for gas and oil exploration and extraction
  • There will be a policy statement to back up the Government position that it does not support the importation of fracked gas
  • withdraw of the Shannon LNG terminal from the EU Projects of Common Interest list in 2021
  • phase out single-use plastics and introduce a deposit return scheme for plastic bottles and aluminum cans
  • plan to install heat pumps in 600,000 homes by 2030
  • public sector decarbonisation target of 50 percent
  • the new Government will also establish the “Just Transition Commissioner” as a statutory office with appropriate staffing and resources
  • It promises to progress the establishment of a Citizens’ Assembly on Biodiversity and retain Irish Water in public ownership as a national, standalone, regulated utility. It will continue to provide a generous free allowance of water to every citizen and conduct a feasibility study examining how further assistance can be given to low-income households for the installation of water-efficient appliances
• Housing – More than 50,000 additional social homes within the next five years, rental reform and homeownership “within reach of all” is included in the programme for government – although document remains vague on how many homes will be provided by state or funded bodies, or how much will be “built” as opposed to bought or leased, with the document stating “the majority” of the 50,000 social homes would be built by local authorities, Approved Housing Bodies and State agencies
  • A commission on housing will be established and an unspecified referendum on housing will be held
  • commitment to supply housing increases by up to 35,000 annually
  • While social housing provision has previously relied heavily on the private sector, the new government will “ensure local authorities are central to delivering housing”
  • local authorities to complete a housing demand assessment to avoid an “over-concentration of particular housing types” a measure likely aimed at the growth of the build-to-rent, co-living and student sectors
  • retain the right of social housing tenants to purchase their homes, but only after ten years with a reduction of just 25% of market value
  • state-backed affordable home purchase scheme will be a “matter of priority” – methods of delivery include the requirements by private developers in building affordable homes and the use of the Land Development Agency in land acquisition for the delivery of affordable homes
  • Establishing the LDA on a statutory basis will be done as a “matter of urgency”. The point of the organisation remains the same – to work with government departments, local authorities, State agencies, and other stakeholders to assemble strategic sites. However, there appears to be a marked change in its principles, with all mention of it having a role in the provision of private housing eliminated
  • LDA will have compulsory purchasing powers
  • Any lands for sale will be offered to the LDA first
  • develop a cost rental model
  • It will also “examine” the creation of a system of holding rental deposits
  • reform the Fair Deal scheme to incentivise renting out vacant properties
  • legislate for tenancies of indefinite duration
  • strengthen the regulatory and enforcement mechanisms for short-term lettings
  • ensure “equity and fairness for landlords and tenants”
  • Funding for homeless services will be increased, including funding for drug-free hostels
• New Social Contract – The new Government has undertaken to provide a “safety net” to those most severely impacted by Covid-19 as the special unemployment payments and income protection payments come to an end
  • There is a commitment to protect social welfare rates in addition to other benefits which vulnerable groups are currently entitled to
  • commitment to progress to living wage over the lifetime of the government, although no details on what that figure should be
  • Pensions and retirement
    • those who reach the retirement age of 65 will no longer have to sign on and be actively seeking work
    • there will be a Total Contributions Approach aligning the contributory pension closer to the contribution that has been made
    • Free travel will remain for those aged 66 and over
    • a new auto-enrolment scheme will be introduced for pensions, to encourage more people to have a separate pension scheme to the State pension – this will be an opt-out scheme and will be phased in over a decade
  • A Low Pay Commission is also being retained to determine the appropriate level for the minimum wage. The commission will also look at introducing Universal Basic Income
  • In the area of equality, there is a commitment to give long-term undocumented immigrants a pathway to regularise the status. This will happen within 18 months of the formation of the Government
  • Direct Provision will be abolished in place of a new system where accommodation will be provided on a not-for-profit basis, “accommodation for asylum seekers that has the protection and promotion of human rights at its core” – legislation will be published by the end of the year explaining how the new system will work
  • LGBT1+ policy
    • the policy will include legislation to allow adoptive leave and benefit for same-sex male couples
    • Those aged 16 and 17 will no longer have to acquire two specialist reports to apply for gender recognition
    • a ban on conversion therapy
    • and the expunging of criminal records for gay men convicted of historical offenses
  • Disability
    • there is a promise to prioritise early diagnosis interventions
    • an awareness-campaign, with a special emphasis in the short term on helping those who were most impacted by Covid-19
  • Childcare – The new government will examine setting a cap on childcare fees parents pay regardless of their income, with a report analysing the legal and economic ramifications of such a move to be published later this year
    • The programme recognises that cost of, and access to, childcare remains a problem. The three parties promise to reduce the cost of childcare for parents – A potential cap on creche fees will be considered based on similar caps in other European countries, with an analysis to be completed into the proposal this year
    • A new agency called Childcare Ireland will be established to lead and oversee reforms in the sector. The agency will be responsible for the development of a high-quality childcare sector and will be tasked with mapping out long-term career paths for childcare staff
    • Other policies include examining subsidies for childminders, with a report on that proposal to be published by the end of the year
    • The three parties agreed to determine a minimum rate of pay and employment terms and conditions for childcare workers through a Joint Labour Committee and employment regulation order. A new apprenticeship model for childcare and other early-years careers will also be drawn up
    • Tax changes for the sector include a new home carer tax credit to support couples who opt for one parent to remain at home rather than working and availing of childcare subsidies
    • The programme for government also promises to ensure the system of inspecting and reporting on standards in childcare facilities is transparent
    • In terms of Covid-19, there will be cost reductions for parents through the National Childcare Scheme
    • Parental leave will be extended to allow parents to have more time with their child in the first year
    • There is also a pledge to increase remote working, more flexible hours and hub working arrangements to support families
• Health – The capacity of the public health service will be built up to protect against further surges of Covid-19 – focus on learning from, and build on some responses during the pandemic, particularly in electronic health and prescribing
  • Promise to accelerate the implementation of Slaintecare – (the 10-year programme for the future of the health services agreed on an all-party basis in 2017)
  • Extra beds will be provided
  • Children’s services will be extended
  • A range of patient charges will be cut
  • increase in home-care hours and the introduction of a statutory home-care scheme
  • the extension of free GP care to “more” children and to carers
  • the abolition of inpatient hospital charges for children
  • Free dental care for children is to be extended
  • Prescription charges and the drug payment scheme threshold will be reduced
  • Carparking charges at hospitals will be capped “where possible”
  • the income threshold for medical cards for over-70s will be increased
  • Talks will also begin with pharmacists on a new contract and an extension of their role in providing services
  • The new national children’s hospital will be opened and building of the new maternity hospital at St Vincent’s Hospital will start once governance arrangements have been “concluded”
  • Claims for medical negligence are handled will be “re-assessed” so the Irish regime is brought into line with other OECD countries
  • There are plans to increase excise duty on tobacco, use taxation to discourage vaping and introduce planning restrictions on outlets selling junk food and drinks adjacent to schools
  • Promises to “work to end” the admission of children to adult psychiatric units through an increase in inpatient beds and new ways of assigning these beds
• Education and Research – The programme for government commits to establishing a Citizens’ Assembly on the future of education at primary and secondary level and also promises a new digital education strategy
  • The primary curriculum will be reviewed and reformed as will the post-primary curriculum prioritising critical thinking, problem-solving and continuous assessment
  • In primary schools, there will also be a new healthy eating education programme, a new modern languages programme and a strategy to support gifted and talented students at both primary and post primacy
  • The parties will also seek to increase the capitation grant with a view to reducing the reliance on voluntary contributions made to schools
  • Commitment to further reduce teacher ratios in primary schools, but no specific number mentioned
  • A free schoolbooks scheme would also pilot in September 2020 and if successful this would be expanded nationwide “if resources allow.”
  • There are plans for additional supports for students who are homeless, living in family hubs, or in direct provision
  • The parties also want to achieve the target of at least 400 multi-denominational primary schools by 2030 to improve parental choice
  • In terms of higher education, the draft document also pledges to develop a long-term sustainable funding model for Higher Level education in collaboration with the sector.
  • Student contributions will be maintained at the current level
  • The new Government will conduct a review of the SUSI scheme in 2020 following the impact of Covid-19
  • There is a commitment to provide a range of free, adequate, safe and suitable period products in all educational publicly-funded settings
  • On research, the parties will examine solutions for extensions for researchers who cannot access facilities to complete projects as a result of the Covid-19 crisis
• Insurance sector
  • commitments to reform the insurance sector with the role of the Personal Injuries Assessment Board due to be enhanced and reformed. The new administration will expand the Garda National Economic Crime Bureau as part of the efforts to tackle insurance fraud.
• A Shared Island – North and South – A new unit will be established in the Department of Taoiseach to work towards a consensus on a shared island;  “This unit will examine the political, social, economic, and cultural considerations underpinning a future in which all traditions are mutually respected.”
  • The parties also plan to work with the Executive and the UK Government to “deepen multi-agency cross-border co-operation on crime, including information sharing between the Police Service of Northern Ireland and An Garda Síochána.”
  • They will also seek to develop an all-island strategy to tackle climate breakdown and the biodiversity crisis
  • The document also says the new Government will work with the Northern Ireland Executive to deliver key cross-border infrastructure initiatives, including the A5, the Ulster Canal connection from Clones to Upper Lough Erne, the Narrow Water Bridge, and cross-border greenways, in particular, the Sligo-Enniskillen greenway
  • They will also “ensure the Decade of Centenaries is marked in an inclusive, appropriate and sensitive manner.”
  • The parties will engage with the British Government with a view to ensuring access by “an independent, international judicial figure” to all original documents relating to the Dublin and Monaghan Bombings, as well as the Dublin bombings of 1972 and 1971, the bombing of Kay’s Tavern and the murder of Seamus Ludlow – in accordance with the all-party Dáil motions on these matters.