S&P says budget will not derail recovery

Leading international credit ratings agency, Standard & Poor’s (S&P), has said the Government’s budgetary measures for next year, as set out last Tuesday, will not derail the country’s recovery, nor overheat the economy.

“The Irish Government’s pre-election budget is expansionary, as expected, but unlikely to derail fiscal consolidation,” S&P said in its post-budget report yesterday.

“We believe much of Ireland’s strong growth in the past few years has stemmed from the economy rebounding from a deep financial crisis.