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YOU’VE PROBABLY BEEN hearing a lot about the Summer Economic Statement today.
It all sounds like pretty boring stuff, but it does actually matter to our pockets.
So, what is the Summer Economic Statement?
What is actually being talked about is how much money the government has to spend in the next Budget – on the likes of new transport systems, better roads, and improved health services.
Don’t get too excited though, there’s not too much extra to play with this year.
During the recession, Budget Day wasn’t exactly something to look forward to. This year, it also appears to be tight, with no windfall Budget expected.
How much extra money do we have to spend?
The new Finance and Public Expenditure Minister Paschal Donohoe said he has just €300 million more to spend on last year.
When this is added to items the government has already committed to spending money on, overall expenditure will increase by €2 billion. This means that in total spending will amount to around €60 billion.
What about taxes? Are they getting cut?
Donohoe wasn’t giving much away today and was pretty vague on the specifics. However, he did reiterate that the taxation system should reward those that work and said he was in favour of combining the Universal Social Charge and PRSI contributions.
Perhaps the biggest hint on income tax came from Junior Finance Minister Michael D’Arcy who said that hitting the higher tax bracket of 40% over €33,800 was a big issue for attracting businesses to Ireland in the context of Brexit, stating that it is something that will be looked at on Budget Day.
Are we spending any of the cash on BIG projects announced?
The minister remained tight-lipped about big projects like the Cork to Limerick road and Metro North, though he said he was aware of the speculation.
As of yet, he has not made choices as to what the next big projects should be, but said long-term planning is needed. The government hasn’t had to deal with this problem for a number of years, due to the lack of funds.
“The time-frame to deliver these projects is long… Delivering new projects like the Metro is an eight to nine-year project,” he said, stating that the planning and procurement process can take years.
For this reason, he said a ten-year capital spending plan will be announced in November.
How’s the economy doing and what about jobs?
The Irish economy is growing at a healthy pace, according to Donohoe.
In terms of jobs, he expects the economy to deliver an additional 50,000 jobs next year.
However, the minister said Ireland could reach a point where there is more work than there is people to do it, which could result in further progress slowing down due to such a labour market.
The economy is projected to grow by 3.7% in 2018. He said tax receipts were higher in the second half of last year, but he is not expecting that to be the case this year.
What about Brexit? Have they thought about that?
“We live in an increasingly uncertain world and must plan accordingly,” Donohoe told reporters today. He said this is why they will be establishing the ’rainy day fund’.
This is another term you have probably heard bandied around, but we’re not actually going to start saving money for a rainy day until 2019.
The government have also decided not to save as much money in the ‘rainy day fund’ as it previously committed to.
The former Finance Minister Michael Noonan said it should put €1 billion in the bank.
However, today Minister Paschal Donohoe committed to putting just €500 million each year from 2019 into the fund, half of the amount which had previously been indicated.
But Donohoe defended the fund, stating that other countries have similar “fiscal buffers”.
Fianna Fáil have criticised the government for not taking the challenges facing Ireland seriously enough.
Any more details of tax cuts and spending? Well, we’ll have to wait until October.
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The airport is a public place. Stuff the DAA.
No, the airport is an operational workplace! If thousands of extra people suddenly appeared where exactly would they go?
The slightest bit of congestion could ruin the operation at the airport and inconvenience thousands!
Save this sort of thing for dedicated public spaces where it can be safely controlled!
The Airport doesn’t have to be congested for the operation to be ruined, DAA run it, its long ruined by them busy or not
:-)
Have you been to the airport lately.the Daa have done a brilliant job. What major international airport do you no that takes 20 mins to get through security?
20 minutes on a really really really good day, 50 mins to an hour every other day
@Connor.
How is this the DAA fault.If team Ireland don’t want a fuss made of today when they come home that’s there choice.All the DAA are saying is don’t come out to the airport as you won’t get to see team Ireland as there more then likely going through VIP.I’m sure if it was an official home coming the DAA would pull out all the flags and escort the plane in with the airport fire service.
@Jason, The reason it takes 20mins to get through the airport is because we now have 2 terminals and less passengers going through the airport when we had one terminal!
I think the Irish public should take on this attitude next time they are thinking of supporting their athletes. DON’T !!!!!! This whole thing stinks and has been well blown out of proportion
Me,me,me, it’s all about me. What about the atheletes and their families?
Let them go home to their friends and families first and organise something properly after they have had a rest.
They are supposed to be inspiring for the next generation of athletes who will go on to represent Ireland. They were part funded by the Irish people to represent the Irish people. They will have the next 4 years to spend time with their family.
Also if you read the articles on this properly it seems that the athletes were not consented about a homecoming and it boils down to officials messing around. What the hell is the point in spending 4 years training to be a part of these games if your just going to come home and hide away. reaching the Olympics and representing your country is defiantly something to celebrate, and brining home 5 medals is the icing on top of the cake. Now lets all eat that cake,
Part funded Simon?
I suppose – if by “part” you basicly mean “the smallest amount you could imagine”.
If you win a gold medal in the Olympics in shooting, for example, congrats – you’ll get a grant the next year for all of 30k. In a sport where a full competitive year will cost between 100k and 120k. And you’ll have to put in several of those years to win the medal first. And the year *after* you get the 30k? You don’t get 30k, because you didn’t win a gold medal in the Olympics the year before (yes, despite there not having been an Olympics).
One of these days, someone’s going to actually look at the levels of support our international athletes get compared to what they need, and report it; and it’ll cause a few days of outrage before it’s forgotten and the Irish Sports Council continues to hamstring its best staff and make a hames of sport in this country.
Well Mark, “part funding” is part funding in any form, even if its just for €1, but with profiling like this then no one will want to take up any sport, and thus funding will not be increased. A few hours out of their life to parade in front of their supporters (who roared louder than a jumbo jet at take off in the excel), and give them inspiration to follow in their foot steps. And as I said before this was more to do with incompetence of organisers rather than the athlete’s.
Give a euro, get to tell them they’re failures for not winning a Gold with that euro? You working for the Indo or something Simon? :D
An open top bus, in Bray, in this weather?
Sounds ideal.
weather is to be lovely later so it must be true i just heard it on tv3 lol
TV3 Haha ha :-)
Ben you are the voice of common sense and reason. But then whenever did the mob listen to either?
Typical bloody Irish..Why does something so exciting and uplifting have to be caught up in a debate about where we can and should go to applaud these truely inspiring people…
It’s all part of a new government plan to tax misery.
RTE seem to making a real “controversy” out of this. Must be their groupthink mentality in full force.
The athletes don’t want it and I don’t think the public are that bothered. It’s not that they don’t appreciate them it’s just that there’s no need for this kind of malarky. Let the individual communities welcome them home if they wish.
Also as somebody else pointed out, the protocol is to do homecomings after the para olympics. That’s what Team GB and NI are doing.
I’m not sure if people get the message from the Olympians: they do NOT want a ceremony. Sometimes it’s best to respect ones wish. Something the Irish people are stubborn and oblivious to.
no that’s what the media have told you to hide the real fact that there arguing over who will foot the bill
Once our politicians get involved it will always be a cock up.
Do they deserve it?
Methinks not!
Except the boxers and they will enjoy local celebrations more.
Could they not handle a few more hours to let the people who supported them welcome them home. People should boycott Wednesdays event.
I think an organised celebration is the way to go and the athletes can have their local homecomings too. Dublin airport is not suitable really for a mass gathering like after Euro 88, USA 94. It would cause logistical problems. These things need some organising and the crowd expected would be an issue. Then again after 96 there wasn’t too many on O Connell st for Michelle, it was lashing rain I know. However this time I sincerely feel we have been caught unawares by our success and the interest arising has been phenomenal.
i understand they’re all probably gagging to get home to their families/friends, but Katie in particular received a huge amount of support from the Irish public. You just had to listen to the wonderful singing in the arena to know that. It would have been nice for the public to see her arrive home (as well as our other boxing medalists).
Wednesday will be a bit anticlimactic in my opinion.
Is John Delaney in charge of this? Sounds very familiar.
have your say