Fine Gael Cork North Central Deputy and member of the Finance Committee, Dara Murphy, has said the worth of the backbench TD has been proven by the inclusion in Budget 2014 of a proposal put forward by him at a Parliamentary Party meeting on possible Budget initiatives.

Mr Murphy said: "Last February, the Fine Gael Party was asked to put forward any proposals they had that may provide workable solutions that could be used in framing Budget 2014. I proposed a number of initiatives and among them was a scheme which would encourage people to spend their savings by making renovations to their homes for which VAT could be claimed back. This initiative was designed to benefit VAT complainant contractors and to encourage contractors to avoid the black economy and to operate above board.

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"I subsequently wrote to the Minister for Enterprise, Richard Burton TD, who agreed that the suggestion was worth assessing and relayed it to the Minister for Finance. I was delighted to see my proposal, which the Department of Finance has confirmed is unique to Ireland, included in the Budget in the form of the Home Renovation Initiative Scheme.

"The Scheme allows for those who undertake work on their principal private residence, to the value of between €5,000 and €30,000, to claim the VAT of 13.5% back over a two year period. This offers an incentive to those with savings to spend them, while at the same time offering a significant boost to plumbers, carpenters and small building contractors.

"The charge has been levied against Government backbencher deputies in the past that they are nothing more than button pushes who are there to support Government initiatives. The inclusion of this initiative in the Budget, on the back of representations made by me, is proof that backbenchers can influence Government policy in a way that will have a positive impact on constituents' lives, and on the State purse."

(CD/JP)