Howlin Rejects Call For 2 Billion Euro In New Austerity Measures

Howlin rejects call for 2 billion euro in new austerity measures

The Public Expenditure Minister has rejected the European Commission's call for 2 billion euro in new austerity measures in the budget. Speaking outside this morning's Cabinet meeting, Brendan Howlin says that level of adjustment would "hinder" rather than assist Ireland's economic recovery. It comes after the EC yesterday joined the IMF and the Fiscal Advisory Council in calling for 2 billion euro worth of cuts and new taxes because of concerns about the "volatility" of our growth forecast. But Brendan Howlin says that would stifle Ireland's chances of meeting our growth and deficit targets. "THe means of getting to that 3 percent deficit have changed; as both Michael (Noonan) and I have said, we believe we do not need to make adjustments of a further 2 billion" he said., "In fact we believe that that would actually hinder growth as opposed to assist growth into the future" he added.