Donohoe : No decision on whether October budget will be based on no-deal Brexit
The Finance Minister said the Government will make a judgment in September on what it thinks is the most likely Brexit scenario.
Ireland’s Finance Minister has said the Government has not decided whether to base October’s budget on a no-deal Brexit scenario but added that the risk of the UK crashing out is growing.
Paschal Donohoe said the Government will make a judgment in September on what it thinks is the most likely scenario at the end of October when the UK is to leave the EU.
“That in turn will have an effect on policy decisions that I make,” he said. “That’s a decision that Government has yet to make.”
Budget 2020 will be announced on October 8, three weeks before Brexit.
Mr Donohoe previously said the Government would need to run a budget deficit next year if a Brexit deal is not agreed.
The Government is planning two budgets to deal with either scenario.
He said the Cabinet would discuss its plans at its first meeting after the summer recess next week.
“As we look at the unfolding situation in the UK, the risk of no-deal Brexit is growing. That risk is something that will have a material effect on the decisions that I will make,” he added.
“But I wouldn’t want to pre-judge any decision that I will make at that point.”