The Finance Minister Paschal Donohoe has confirmed plans to merge the Universal Social Charge with PRSI.
Mr Donohoe's comments confirm a u-turn from Fine Gael who had wanted to scrap the charge entirely.
Minister Donohoe told the Dáil that the new Taoiseach and Finance Minister reserved the right to review policies from time to time.
However, he took issue with Sinn Féin who say their position on USC has now been vindicated.
He said: "You have no right to lecture…well you have the right actually, of course you have the right, I recognise that you have the right, but you certainly don’t have the track record to comment on the merits of economic policy options that are being considered by this government."