Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

The change to which I referred is in respect of the year 2021 onwards; it does not take account of 2020 because the rate of expenditure growth for that year will depend on the decisions made on budget day. I am not in a position to indicate what those decisions will be right now because we have made no budgetary decisions. Predicting a gross rate of expenditure growth of 3.25% when the economy is growing at a rate of approximately 3%, which is our medium-term growth forecast, is credible and a significant change from where we were. I have heard the Deputy's views on the matter; I have heard what the IFAC has had to state and I have a fair bit of experience of managing this issue. That is why I decided a recalibration was merited.

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