Too early to speculate on raising taxation and cutbacks says Minister Craine

Yesterday it was revealed that the UK are clawing back an additional £75 million on top of the existing £114 million they already claim back as part of their VAT sharing agreement.

 

It will be phased in over the next three years with £30 million going out this year, £50 million next year, and £75 million for each subsequent year.

The big question now is how will the Government plug this major deficit; Treasury Minister Anne Craine has said that the Treasury have started their budget round of discussions with Department’s but said yesterday it's too soon to comment on the possibility of cut backs and raised taxation.

 

Minister Craine told 3FM that they will be looking at all options available to them to reduce the damage to the public aswell as protecting the economy and allowing it to grow.