Government urged to ease consolidation

The scale of the setback for both Government parties in the local and European elections is proportionate to the chances of €2bn in budget cuts being implemented next October.

The ESRI, Ibec, and now the Nevin Economic Research Institute, are among the bodies urging the Government to ease up on consolidation.

Finance Minister Michael Noonan has signalled that he will wait until the end of the summer when there is much greater clarity on tax receipts and economic growth before making any decision.