Tough Budget would be a recipe for disaster, says economist

A TOUGH Budget by Finance Minister Charlie McCreevy in December will be a disaster for the economy a top economist warned yesterday.

But IIB Bank, chief economist, Austin Hughes said Minister McCreevy should slap a 2 increase on cigarettes as means of raising €600m.

“A really tough Budget won’t work. It isn’t necessary and it could even damage this economy by undermining confidence among Irish businesses and households,” said Mr Hughes.