Bank says political stability will help boost NI economy

One of the North's leading banks is predicting that political stability will help boost the economy over the coming years.

In a report out today, the AIB's First Trust Bank says devolution should boost business optimism and also increase tourist numbers.

However, the bank is warning that an impending British government review of public spending could spell bad news.

Two-thirds of the money spent in the North comes from the public sector, with the British government employing one-third of the total workforce and 60% of all working women.

Elsewhere, First Trust says it also expects consumer spending to be hit by higher domestic rates as London puts pressure on the Stormont Executive to raise more local revenue.