| Click for the Finfacts Ireland Portal Homepage |

Finfacts Business News Centre

Home 
 
 News
 Irish
 Irish Economy
 EU Economy
 US Economy
 UK Economy
 Global Economy
 International
 Property
 Innovation
 
 Analysis/Comment
 
 Asia Economy


Finfacts changes from 2015

RSS FEED


How to use our RSS feed

Follow Finfacts on Twitter

 
Web Finfacts

See Search Box lower down this column for searches of Finfacts news pages. Where there may be the odd special character missing from an older page, it's a problem that developed when Interactive Tools upgraded to a new content management system.

Welcome

Finfacts is Ireland's leading business information site and you are in its business news section.

Links

Finfacts Homepage

Irish Share Prices

Euribor Daily Rates

Global Cost of Living

Irish Tax - Income/Corporate

 

Feedback

 

Content Management by interactivetools.com.

News : Irish Economy Last Updated: Apr 28, 2015 - 1:43 PM


Irish Spring Statement: Coalition's unofficial launch of general election campaign today
By Michael Hennigan, Finfacts founder and editor
Apr 28, 2015 - 7:41 AM

Email this article
 Printer friendly page

The taoiseach and tánaiste were presented with free shoes at the announcement that Zalando, the German fashion goods e-commerce company, will open a services operation in Dublin, April 22, 2015.

Irish Spring Statement: The Coalition's announcement today of plans for tax cuts and spending rises in the coming three years will mark the unofficial launch of the general election campaign, which must be held at the latest by March 2016.

Michael Noonan, finance minister, on Monday confirmed that pressure will be put on banks to reduce variable mortgage rates.

The Irish Times reports that the Government’s spring economic statement will set out scope for €2bn in tax cuts in the next three years and it is being cast "as the opening salvo in a long re-election campaign by Fine Gael and Labour," and it assumes that more than €600m will be available for tax concessions in each of the next three years."

The report says that the tax plan, which will be pitched as a mechanism to support the creation of 20,000 jobs, will follow a template set down in October’s budget. "In that budget...Noonan directed tax concessions at 'squeezed middle' workers earning between €32,800 and €70,000 with cuts centred on the universal social charge and the higher income tax rate." He also raised the threshold at which people enter the marginal rate.

To put limits on public pay demands, it is reported that spending and tax cuts will be set on a 50/50 basis while gross domestic product is forecast to expand 4% in 2015. Employment is projected to reach the peak achieved before the crash in 2018 and a new high in 2019. See here on the shaky assumptions for this forecast:

Spring Statement: Coalition visionless on Irish economy's long-term challenges

More than one-in-five EU part-time workers underemployed; 29% in Ireland

Jobs peaked in Q2 2008 at 2.1473m and were at 1.9389m in December. Ignoring the mix of jobs, public schemes and underemployment, to return to Q2 2008 levels would require 208,0000 jobs to be added in 2015-2018 — 52,000 each year.

"In the next couple of weeks, the Government, after consultation with the banks, will be putting additional options on the table to deal with the residue of the most difficult cases, which haven't been resolved already," Noonan said  in Limerick Monday on mortgage arrears and variable rates, according to The Irish Independent.

He added: "I have had consultations with the governor of the Central Bank, and he has done a piece of analysis to show the margin, between the cost of money and what they are getting for money when they lend it for mortgages, and he has that for me in the next 10 days or so.

"I'm calling in then, the senior management of the six major lenders in the market in Ireland, and I'll present them with the evidence from the Central Bank, and I'll say to them I think they should reduce their interest rates and that we want to discuss it, and I'll want them to explain why they can't, but we'd prefer it if they did.

"If you call that pressure, that's pressure, but I would see that as a discussion (with the banks) in the normal way. But I don't have legal authority to direct (the banks)," he added.

Proceedings begin at 1400 in Dáil Éireann today.

Related Articles


© Copyright 2015 by Finfacts.ie

Top of Page

Irish Economy
Latest Headlines
Finfacts launches new news site
Irish Farmers & Milk Prices: 'Shackles' off in April; Demanding safety-net in August
Irish pension managed funds returns at over 12% year-to-date in 2015
Irish chartered accountants' salary packages surge 13% in 12 months
Irish services PMI fastest rate since late 2006; Official data up only 2.4% in 12 months
Irish Economy: Tax €893m above target in year to July — €653m from corporation tax
Fact and Fiction: Time to review Ireland's economic statistics?
Irish M&A deals H1 2015: Dutch or UK firm acquires Irish firm for €32.6bn - they are both American
Irish manufacturing PMI strong in July
Irish Economy: Fall in GNP in Q1 2015; GDP rises
Irish Economy 2015: Central Bank lauds strong recovery; Time to start paying down debt
Irish Budget 2016: Ibec demands 20 tax cuts, spending and investment rises
Low pay in Ireland; Lowest social security & corporate taxes in Europe
Ireland vs Greece: Enda Kenny's false claims on growth, taxes and debt
Irish standard of living in 2014 below Euro Area average, Italian level; Prices 5th highest in EU28
Irish goods exports rose a record 30% in April - due to fake tax-related transactions
Mexican tall ship to sail into Dublin on June 17th
Irish industrial production up 20% in first four months of 2015; Construction down 2.6% in first quarter
Irish Economy 2015: ESRI slams return to boom-time pro-cyclical fiscal policy
Irish pension fund returns in average range 1.6% - 1.8% in May 2015
Irish service sector PMI remains strong; Tax avoidance clouds data
Ireland: Official unemployment rate at 9.8% in May; Broad rate at 19% — 440,000 people
Ireland: Fiscal Council warns of dodgy forecasts, no plan; OECD warns of new property bubble
Irish Public Finances: Tax revenue in first five months of 2015 €734m ahead of target
No simple measure of economic progress in Ireland: GDP & GNP defective
Irish manufacturing PMI rises in May; Production up unbelievable 45% in year to March!
ESRI says data volatility hinders Irish economic forecasting; Tax avoidance taboo cause
Ireland at 16 in international competitiveness ranking; US, Singapore and Hong Kong on top
Irish Economy 2015: Sectors to add 200,000 jobs?; Broad jobless rate at 19%
Irish Export Performance: Myths and reality - Ireland is a poor exporter
Irish Economy: 41,300 jobs added in 12 months to Q1 2015 - Construction up 19,600
China-Ireland: Economic relationship on a slow burn
Estonia, Austria, France, Ireland head global alcohol rankings
Irish Exchequer Returns: Tax receipts under target in April but ahead in year
Irish service sector PMI rose in April
Irish manufacturing PMI remained strong in April- includes overseas manufacturing
Irish Live Register + 90,000 activation scheme numbers at 439,000 in April
Ireland: Coalition drops 2018 full-employment target
Ireland Spring Statement: Noonan promises 200,000 net new jobs by 2018
Irish Economy 2015: Retail sales volume up 1.4% in month of March