The Exchequer returns for the first nine months of the year will be available on Thursday, 2 October 2003. In the meantime, Exchequer figures are available up to and including 31 August 2003. An Exchequer deficit of €892 million was recorded for the first eight months of the year. This compares with a budgeted deficit of €1,869 million for the year as a whole. Based on the available figures, it is estimated that the Exchequer borrowing requirement for 2003 could be up to €500 million higher than forecast at budget time.
The higher forecast deficit is due to the possibility that tax receipts could be up to €500 million lower than the budget day forecast. Total Exchequer tax receipts to the end of August 2003 were €19,093 million compared to €18,523 million for the same period in 2002 equivalent to an increase of 3.1% year on year. This compares with a budget day target of 8% for the year as a whole.
Overall, total Exchequer expenditure is expected to come in broadly on target. The provision for capital spending in 2003 is €5.5 billion. While current indications are that there may be some small underspends in a limited number of Departments, it is too early at this stage to be definitive. Capital expenditure is especially susceptible to timing factors and it normally accelerates in the final quarter of the year. The position regarding capital projects is a matter in the first instance for the Ministers concerned.