Simon Harris says budget tax package must deliver for ‘working people’

By Claudia Savage, David Young, Press Association

The Tánaiste has said there “has to be a tax package that delivers for working people” in the next budget.

Speaking ahead of the publication of the summer economic statement, Simon Harris, who is also Minister for Finance, said the next budget needs to be “value for money” as the Government will “strive to improve public services”.

The statement will outline the position of public finances ahead of the publication of the budget in October.

Speaking to reporters outside Leinster House on Wednesday, Mr Harris described the statement as “a pivotal moment in the annual budgetary cycle”, saying “there will be a personal income tax package” this year.

“I hear a lot of people saying things about a budget of eight billion; of course, it’s not that at all, that’s additionality,” he said.

“The budget next year for our country will be well over €120 billion, and it’s really important that right across the system we strive to get value for money, we strive to get impact, and we strive to improve public services.

“But I’ve also been really clear, particularly since taking up the finance portfolio, that there has to be a tax package that delivers for working people.

“There are far too many people in this country who play by the rules, work really hard, sit in traffic, and find themselves at the end of the week, at the end of the month, in just about getting by.”

Mr Harris was asked if the Government could afford to extend energy support provided to hauliers to deal with rising fuel costs.

If we were having this conversation a week ago, oil prices were falling, there was de-escalation in the Middle East, now we see the escalation of the conflict, oil prices rising again. So the Government's approach to this would be the same as it has been from day one - to be nimble, to be agile, to keep things under review

The Tánaiste said the economy is in “relatively good shape” and there has been “an ability to respond, but it is important we stay nimble”.

“I fully understand the concerns of people,” he said.

“If we were having this conversation a week ago, oil prices were falling, there was de-escalation in the Middle East; now we see the escalation of the conflict, oil prices rising again.

“So the Government’s approach to this would be the same as it has been from day one – to be nimble, to be agile, to keep things under review.

“It would be imprudent to start trying to predict where the war will be and where oil prices will be in six weeks or so.

“And when it comes specifically to hauliers I’d make the point that the diesel rebate scheme we put in place (will be) until the end of September.”