Planned hike in carbon tax divides ministers ahead of Budget

A proposed hike to diesel and petrol prices is reportedly one of the main sticking points ahead of tomorrow's Budget.

Some ministers are reported to be concerned about the planned 50% increase to carbon tax.

They say the measure will be hugely unpopular in rural areas, while extra diesel costs could also hit hauliers as they prepare for the impact of Brexit.

According to the Irish Independent, the carbon tax hike could be more modest as a result.