Reducing USC could cost exchequer €1.86bn over four years

Making a start in phasing out the Universal Social Charge — a key commitment in the Programme of Government — would cost the exchequer hundreds of millions of euro in lost revenue next year and cost as much as €1.86bn over four years.

Options for reducing the USC, which currently raises a huge €4bn a year, is one of a number of Government pledges costed for the first time in papers released yesterday by the Department of Finance.

Civil servants say it is the first time that such tax documents have been released to the Oireachtas and the public before budget day.