Pearse Doherty (Donegal, Sinn Fein) | Oireachtas source

I will ask my questions together to speed up the process. In terms of the fiscal space for next year, there is no provision in the numbers with respect to the public pay deal. The Minister has explained the reason for that, which is that the decision has not been made. If there is vote to accept it, can the Minister indicate how much of the fiscal space for 2018 that would take up, as opposed to the overall expenditure level?

In terms of the two-to-one profile, and I know it is a nuanced position where it is at least two-to-one, can the Minister explain whether that two-to-one profile will work in the following fashion? If the fiscal space is €300 million, there would be €100 million of tax cuts, or, for example, if the Minister were to decide on budget day to get rid of the 9% VAT rate, which would bring in an additional €500 million, that would be solely for tax expenditure, so there would be €500 million extra for tax cuts. Currently, the fiscal space is €300 million. If the Minister got rid of the 9% VAT rate, it would be €800 million. Does the 2:1 ratio start at that point, or does it start at €300 million figure? Does the Minister understand my point?