IBEC warns tax changes will make us uncompetitive

The main employers' body, IBEC, says any tax hikes, or the introduction of any new taxes, such as the carbon energy tax, will only serve to make us more uncompetitive.

It says day-to-day spending must be reined in, but spending on crucial infrastructure projects must be maintained - even if this means borrowing.

Director General Turlough O'Sullivan says if the benchmarking awards can only be made through higher taxation, then the Government should postpone them.