Lenihan looking for further savings cuts

Finance Minister Brian Lenihan has imposed a four-week deadline on each of his Cabinet colleagues to come up with cutbacks in their departments.

It is part of Minister Lenihan's plan to slash €3bn in December's budget. With tax hikes limited the cuts will have to come from current and capital spending.

At yesterday's Cabinet meeting Taoiseach Brian Cowen told his colleagues he wants them to come and offer up cutbacks in the next four weeks.

The Finance Minister is expected to have a face to face meeting with each other Minister by the end of June where each and every area will be examined.

The issue of public sector pay could come back on the agenda too, if as expected unions begin to return no votes on the proposed Croke Park Agreement.

Meanwhile the Finance Minister's chief advisor has said Ireland is in the "ultimate" phase in the resolution of its financial crisis.

Dr Alan Ahearne, who has been seconded to the Department of Finance from his post at NUI Galway, said he expects the economy to return to growth sooner than the predicted point of the second half of this year.

He is also predicting a return to job growth in 2011.

Email Updates

Receive our lunchtime briefing straight to your inbox

Related Articles

More in this Section

Well-known criminal shot a number of times in suspected gangland assassination in Dublin park

James Reilly: Ability to 'play God' and overrule recommendations 'dangerous'

140 migrants rescued from Mediterranean by Irish Navy

Enda Kenny denies making fools of those who paid water bills


Today's Stories

DJ: I was dancing to drug gang’s tune

Cork to US flights get green light for takeoff

Taoiseach denies any NY snub by Donald Trump

Families of missing persons plead for more resources for searching

Lifestyle

Top eight foodie gifts for Christmas under €10

How to be a better person in the digital age

Dublin Strolls provides a guide to the rich interiors of the city's architecture

The people behind the gardens

More From The Irish Examiner