Bank bailout causes deficit to hit €14.7bn

THE massive cost to taxpayers of the bank bailout has sent the mid-year exchequer deficit soaring to €14.7 billion, new figures reveal.

Another worse-than-expected crash in tax take, coupled with the €6bn nationalisation of scandal-hit Anglo Irish Bank and recapitalisation of Bank of Ireland and AIB, ripped the huge black hole in the nation’s finances, which dwarfs the €5.6bn shortfall recorded 12 months ago.

Tax take was €118m below what the Finance Department predicted just nine weeks ago at the time of the crisis April budget.