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'Too early' to say if USC cuts will be part of next budget - Taoiseach

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Taoiseach Micheál Martin said the Government had to try to reduce pressure on people over the cost-of-living increases

Taoiseach Micheál Martin has said it is "too early" to get into specifics when asked if the Government was looking at cuts to the USC as part of the next budget.

Mr Martin said the Government had to try to reduce pressure on people over the cost-of-living increases arising from the war in the Middle East.

He said there was many instruments and mechanisms they could use to reduce costs on people, including tax, but it would have to be discussed by the three Government partners and between the relevant ministers.

Asked about the dispute between Jack Chambers and James Lawless over plans to levy government departments on overspending, he said it was normal for ministers ahead of a budget to try advance their cause.

He added that the Department of Higher Education and Research received a "very good budget allocation last year".

"It got a very good allocation last year we're now about to enter into negotiations on next year’s budget, and one can expect ministers will obviously be advancing their cause in respect of their departments that’s normal and that will happen."

Mr Martin said overall Irish public expenditure had increased significantly over the last number of years, it had increased this year, and will continue to increase next year.

'Not where we want it to be'

Regarding the EU budget, Mr Martin said the Government had advocated for an increased Common Agriculture Policy and simplification of how it is administered, but added that it "would be very challenging", adding that it is "not where we want it to be".

"We will be looking at mechanisms to make sure that farmers can benefited at least to the same degree that they did in the past."

Mr Martin said Brexit did not make sense and it had "damaged the British economy".

"One of the challenges facing politics in the United Kingdom is the fact that there has been stagnant investment for quite a long time and that has been exacerbated by Brexit, but that's a matter for the British people and British political parties to navigate."

From an Irish perspective, he said they were supportive of a stronger relationship between the European Union and the United Kingdom.