Friday, March 28 14:15:32
Cutting taxes may be an option for Ireland in upcoming budgets but the Government must be prepared to accept that may result in a drop in tax receipts and cuts to public services.
That is according to the Secretary General of the European Commission, Catherine Day, who was speaking at a conference in Dublin hosted by the Commission representation in Ireland and Dublin Chamber of Commerce.
Finance Minster Michael Noonan and other Cabinet colleagues have recently floated the idea that a reduction in the income tax burden may be of the things that happens next. The EU's most senior civil servant, Catherine Day, said the Commission has noted that discussion.
The one day "Post-Troika - what next for Ireland? conference", attracted an audience of more than 250 delegates in Dublin's Aviva Stadium.
Other speakers at the conference included the Minister of State for Public Service Reform and the Office of Public Works, Brian Hayes and the Department of Finance's chief economist John McCarthy.
John McHale, Chair of the Fiscal Advisory Council, Professor Frances Ruane from the ESRI and David Begg, the ICTU's general secretary were also key speakers.
Catherine Day told the conference that Ireland has reached the point where it can "move from fire-fighting to re-building".
"The new EU budgeting process recognises that our economics are inter-dependent. This process works through a close partnership between the Commission and each member state," she stated.