Donohoe defends spending increases saying previous budgets have not added to inflation 

Public spending set to grow by 6.9% next year despite calls for restraint

On Tuesday, Public Expenditure Minister Paschal Donohoe and Finance Minister Jack Chambers outlined next year's budget package of €8.3bn with  €6.9bn going towards more public spending. Picture: Niall Carson/PA

Public Expenditure Minister Paschal Donohoe has defended the expansionary nature of the Government’s forthcoming budget saying measures introduced in previous years have not added to inflation. 

This comes as Mr Donohoe, along with Finance Minister Jack Chambers, published the summer economic statement which set out the fiscal parameters for the budget in October.