Capital spending slashed to reboot economy

CAPITAL spending on roads, public transport, schools, health facilities and other infrastructure is to be slashed almost by half in what the Government presented as a “stimulus” to get the economy back on track.

A revised capital spending plan was announced yesterday, promising to invest €39 billion in infrastructure between now and 2016 – a drop from the €76.2bn capital spending promised in the National Development Plan (NDP) for 2007 to 2013.

Taoiseach Brian Cowen said the Government is aiming to get “the maximum bang for our buck” with resources that have reduced considerably since the NDP was drawn up.