Tax cuts likely over windfall

TAX cuts are possible as Government coffers are predicted to grow by an extra €2 billion, one of the country’s leading economists said yesterday.

Bank of Ireland chief economist Dr Dan McLaughlin in his latest forecast says tax revenues are running 11% ahead of Government forecasts and that if the growth slows somewhat, finance minister Charlie McCreevy would have an extra €2bn to spend.

Dr McLaughlin said yesterday: "As far as we understand the Government is planning to introduce energy taxes and this will allow Charlie McCreevy the opportunity to give taxpayers something."