Mary Mitchell O’Connor, Fine Gael TD for Dun Laoghaire, has welcomed the Government’s decision to abolish the 0.6% Pension Levy at the end this year, with the additional 0.15% levy expiring at the end of 2015.

Deputy Mitchell O’Connor said: “The end of the Pension Levy is something I have discussed with Minister Noonan on many occasions. It has allowed the Government maintain the 9% VAT rate for tourism services.  However now that jobs are being created and the recovery is underway I am glad that we are lifting this burden. 

“The Irish people have made huge sacrifices to get the country to this point. Those sacrifices are starting to bear fruit but we acknowledge that many people have not yet felt the benefits of a recovering economy in their daily lives.

“Over the last three budgets we have restored the public finances without taxing income and jobs. This has been crucial to our economic recovery and helped the creation of 70,000 jobs since the launch of the Action Plan for Jobs in February 2012.

“Today’s decision on the pension levy is part of a bigger four year tax reform plan, including the reduction of the top rate of income tax from 41% to 40% and to increase the standard rate tax band above which the top rate of tax is paid by €1,000 to €33,800. This will make a significant difference for working families and individuals.

“We will ensure that the progress we have made as a country is maintained and the mistakes of the past will not be repeated.”