Michael McGrath (Cork South Central, Fianna Fail)
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I will take that question. That is a decision we will make in the context of the summer economic statement. We will give consideration over the coming months to the issues the Deputy has raised. As he will know, the 5% spending rule was predicated on an assumption of inflation at 2% and then a trend real growth rate of 3%. That is where the 5%, as the Deputy will know, has come from. We are not at 2% inflation. We will average, we believe, less than 5% this year and less than 2.5% next year. I would like to see another couple of months of data to make an assessment closer to the summer economic statement as to what is the appropriate budgetary stance. That said, the spending rule was a very important innovation. I think it has been widely supported by the Irish Fiscal Advisory Council and others as providing an anchor in respect of expenditure growth. Clearly, however, it was not appropriate last year in the context of inflation averaging 8%, having an assumption of 2% inflation. Of course, inflation also has an impact on many of the elements of core expenditure, the extra costs associated in providing public services and so on. That was why we decided on a departure for budget 2023. We have not made a decision yet, but for next year-----