Reshape National Reserve Fund to fund State pensions, fiscal watchdog urges

"This option could reduce its reliance on excess corporation tax receipts and save for future pensions costs,” said IFAC chairperson Sebastian Barnes

In its latest assessment of Budget 2023, the fiscal watchdog said the slowing economy had significantly increased the short-term risks, but the Government also needs to improve planning for long-term spending, with its climate targets lacking "clarity". 

The Government should think about reshaping the so-called rainy-day or National Reserve Fund and "should be transparent" about the costs of funding future State pensions, the Irish Fiscal Advisory Council has said. 

In its latest assessment of Budget 2023, the fiscal watchdog said the slowing economy had significantly increased the short-term risks, but the Government also needs to improve planning for long-term spending, with its climate targets lacking "clarity".