Mr. Seamus Coffey:

Consider it in terms of tax revenue. Previously, I examined the impact on corporation tax receipts and it could have an impact of up to 50% on those, but the broader impact would be on employment and investment. At the moment, we seem to be in a sweet spot in terms of attracting investment and employment and our ability to raise tax revenue, particularly from US companies. The CCCTB would not leave us in that sweet spot.

Regarding the relationship between the Department of Public Expenditure and Reform and us, the issue is one of a difference in approaches. We were forecasting Government spending on the basis of a standstill situation, wherein one provides Government services and maintains them in real terms. The Department had a different view of what a standstill scenario was, namely, one in which there was no policy change. Some of the factors that we built in involved policy changes. It is just a matter of viewing this from a different perspective.

A certain degree of interaction or disagreement between various bodies is a good thing. If we make a mistake, we want the Department to point it out. If we disagree with it, there is no point in us not pointing that out. If there is not that type of interaction and, at times, dispute, it suggests that we are not examining these matters carefully enough. Even though there might be differences of opinion, the relationship in terms of gaining information and levels of interaction between our secretariat and departmental officials is excellent. There might be disagreements over approaches, but the interaction is positive.