Rory O'Hanlon
Question:61 Dr. O'Hanlon asked the Minister for Finance the total cost to the Exchequer in 1996 of the changes announced in the 1995 Budget. [3349/95]
Written Answers. - Cost of Budget Changes.
The cost, before buoyancy, of the changes announced in the 1995 budget is estimated at £302 million in 1995 and at £612 million in 1996. The net cost of the measures in 1995 is significantly lower at £220 million. This reflects the benefit to the Exchequer of tax and PRSI buoyancy and of the live register improvement deriving from the budget package. Such factors would similarly reduce the budgetary cost of the measures in 1996.
The costings exclude any allocation to social welfare equality payments, for which the £60 million provided in the current year has been met from the Social Insurance Fund surplus and other savings. As indicated in my Financial Statement last Wednesday, the recent judgment of the High Court on this matter requires careful consideration and it is not possible at this stage to identify what, if any, liability will fall to be borne by the Exchequer in respect of those costs next year.