Fears lack of jobs stimulus could scupper recovery

IN spite of an almost €8.8 billion drop in the overall budget deficit and a tax take €470 million ahead of expectations, economists have warned the lack of jobs stimulus in the upcoming budget could send the economy backwards rather than forwards in 2011.

Yesterday’s exchequer returns showed the Government had an overall budget deficit of €13.349bn in the first 11 months of 2011, €8.7bn less than the deficit of €22bn in the same period in 2009.

They also confirmed tax receipts for the year now stand at €29.5bn, €470m or 1.6% ahead of target.