Fine Gael 'must push for budget wins on tax' despite tension with Fianna Fáil

Tánaiste Micheál Martin strongly criticised three Fine Gael junior ministers who stated in a newspaper op-ed that the budget should include a €1,000 tax cut for workers, a proposal that has been slammed as 'nuts' by senior Fianna Fáil figures. Picture: Niall Carson/PA

Fine Gael members have told the Taoiseach that the party must push for its own budget wins on tax despite the tensions it is causing with Fianna Fáil.

Relations between the two main parties have become strained in recent days after three Fine Gael junior ministers — Jennifer Carroll McNeill, Martin Heydon, and Peter Burke — stated in a newspaper op-ed that the budget should include a €1,000 tax cut for workers, a proposal that has been slammed as "nuts" by senior Fianna Fáil figures.

Tánaiste Micheál Martin strongly criticised the three during a private Fianna Fáil meeting on Wednesday night and made it clear that Finance Minister Michael McGrath should be given the space and respect to work on budgetary measures and he would ensure that this happens.

However, a number of Fine Gael members dug in and stressed the need to push for a strong tax package at their own party meeting on Wednesday night.

'Fine Gael policy territory'

TDs stressed that tax is "Fine Gael policy territory" at a meeting of the parliamentary party, adding they should continue to seek improvements in line with the UK and Scandinavian countries.

It is understood Michael Creed told the meeting that Fine Gael shouldn't be taking lectures from Fianna Fáil "who crashed the country" or the Green Party which is "still on probation".

Mayo TD Alan Dillon suggested that the entry point for the higher rate of tax be raised to €50,000, which was supported by John Paul Phelan.

Mr Phelan also said that Fine Gael is the only party that has a consistent policy of lowering personal taxation.

Separately, Mr Martin told his party members that Fianna Fáil's priority will always be protecting those on fixed, low, and middle incomes.

The Tánaiste said that the Government is engaged in a collective budgetary process and having reviewed all the details and considered all the information available ministers will make a collective decision on the budget.

He said ministers of state writing op-eds is "not helpful" and "it undermines this process".