No borrowing in 2002, says McCreevy

The Minister for Finance Mr McCreevy confirmed in his Budget speech today that he would not be borrowing any monies in 2002 and…

The Minister for Finance Mr McCreevy confirmed in his Budget speech today that he would not be borrowing any monies in 2002 and predicted a Government surplus of €837 million in 2002.

Mr McCreevy acknowledged that as a result of the recent economic downturn, resources were more constrained than he would have wished and his spending plans were based on a cautious assessment of the economic prospects next year.

The health service will receive an additional €425 million, bringing total expenditure on health to €8.2 billion.

Social welfare will receive €1,079 million. The contributory old age pension will rose by £10 to 116 per week while the non contributory pension has been increased to £105 per week. All social welfare increase will be effective from January 1st 2002.

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Short term unemployment assistance will increase by £9.50 per week and the fuel allowance has been increased by £2.09 per week.

Child benefit for first and second children will increase by £25 per month while the allowance for third and fourth children will rise by £30 per month.