Thursday, 2 May 2013

Questions (58)

John Lyons

Question:

58. Deputy John Lyons asked the Minister for Finance the percentage of tax revenues that were used up in interest repayments for 2012 and that will be used up for interest repayments in 2013 and in 2014; and if he will make a statement on the matter. [20910/13]

View answer

Written answers (Question to Finance)

The information requested by the Deputy is set out in the table below. As the Deputy’s question concerns the percentage of tax revenues used for interest expenditure, the figures in the table reflect national debt interest expenditure rather than general government interest expenditure. Expressing national debt interest expenditure as a percentage of tax revenues is a standard metric used in the context of debt sustainability.

-

2012

2013F

2014

% of Tax revenue spent on interest of National Debt

15.5

19.9

20.6

Sources: Department of Finance, NTMA

Although the national debt interest/tax revenue ratio has increased sharply in recent years, it is expected to stabilise in the coming years and remain well below the ratio prevailing in the mid-1980s