McCreevy to deliver toughest budget

FINANCE MINISTER Charlie McCreevy will deliver his toughest budget later this year after admitting yesterday that the economy will not recover this year.

The Department of Finance also said that Government spending needs to be prioritised towards infrastructure projects as this would benefit the economy.

Slashing its predicted growth figures, in its mid-term review of the economy, the department says the level of economic activity will be €1 billion lower than predicted.