Tax cut possible if no economic shocks, Tanaiste says

The Minister for Finance has said tax cuts for workers are “entirely possible”.

However, Simon Harris stressed any cuts would be contingent on the economy “not hitting any shocks”.

Speaking on RTE’s Today With David McCullagh, the Tanaiste said: “I’m very keen on the idea that work has to pay, and I’m very conscious of the fact that we’re in an economy where wages are growing, thankfully, when more people are working than ever before, thankfully.

“We have to always make sure that as people earn a few extra bob or do a few extra hours or get a promotion, that more and more of that money isn’t going into the government coffers and is actually getting to stay with families and stay in communities.”

He added: “I think it’s entirely possible, subject to the economy being continuing to be well run, and not hitting any shocks, because there are many, but based based on what I see now, I expect us to be able to get back to the normal rhythm of a tax and a spending package in the next budget.

“And we’ve made clear commitments around a progressive tax regime in the Programme for Government and I intend to implement that.”