Corporate tax rate hike concerns

Reports that Cyprus has been asked to increase its corporate tax rate by the troika as part of the conditions for an EU bailout have raised concerns that there could be renewed pressure on Ireland’s rate.

On his way into a meeting in Brussels last night, to agree the outlines of a bailout of at least €10bn for the island, Michael Noonan, the finance minister said he did “not think it will affect us”.

Meanwhile, Taoiseach Enda Kenny gave assurances that Ireland was in line to benefit from further reductions in its debt from the EU, saying he did not see “one iota of a row back” on commitments.