‘Weak case’ for tax cuts, says economic report

The case for cutting taxes is “extremely weak”, an economic think-tank has said —while two groups have called for fuel taxes to be lowered in this year’s budget.

The Nevin Economic Research Institute (NERI) said that cutting taxes now “will limit our resilience to future economic shocks” in its quarterly economic report.

NERI senior economist Tom McDonnell said: “In light of our ongoing revenue deficits, and given limited fiscal space and significant under-spends in crucial areas of spending like education, childcare, housing and infrastructure, the case for cutting taxes is extremely weak.”