McCreevy defends cutbacks with warning of future gloom

FINANCE Minister, Charlie McCreevy yesterday defended the belt-tightening spending plans for 2003 and warned the economic outlook is poor for years to come.

Mr McCreevy also insisted the first-time buyers' grant was being abolished because it was an inefficient use of resources and insisted he was not going to relent on the issue. He said it was brought in 25 years ago to prop up the ailing building industry and was now unnecessary.

As criticisms and opposition politicians’ attacks mounted, he also stood by his continued investment of public money in the national pensions scheme. He equally stressed that there would be no changes in the special savings schemes.