Paschal Donohoe rules out second emergency budget in case of no-deal Brexit

Paschal Donohoe rules out second emergency budget in case of no-deal Brexit

There will be no second emergency budget later this year, even if Britain crashes out of the European Union, Finance Minister Paschal Donohoe has said.

The Opposition has in recent days been critical of Mr Donohoe's decision to say October' budget will be the only one this year.

This is because they say he will be delivering his budget in advance of the Brexit October 31 deadline without knowing the full outcome.

Despite this mounting criticism, Mr Donohoe said he is determined to send a strong message that the Government is in control of the public finances.

“I am absolutely certain that the appropriate strategy for this year - and in the face of this uncertainty - is to put in place one single budget,” he said.

"It is very important that Ireland sends out a signal that we will deliver about our ability to make our own decisions and project the right kind of tone in terms of how we set our economic policy.

“If the Government finds itself in a situation... with a risk of a disorderly Brexit, this will be recognised in the content of my Budget day speech,” he said.

“But in terms of the engagement I have with the international markets and with my colleagues in Government, I am absolutely certain that the best course of action for this year is a single budget,” he said.

When pressed as to why he is closing the door on holding a supplementary budget, he said: “Because the framework I am introducing today gives me the framework which means I won't need to do that.

"We have put in place the resources we need to manage the economy and on Budget day, if needed, we will outline the way in which we will respond to the risk of a disorderly Brexit.

"We will move into a scenario in 2020 where very big questions will be asked of many as to how they manage their affairs,” he said.

The Budget is due to take place on Tuesday, October 8, and Mr Donohoe will outline his plans to increase overall Government spending by €2.8bn in 2020.

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