New Taoiseach Brian Cowen has named Brian Lenihan to replace him as Minister for Finance. Mr Lenihan was previously Minister for Justice.
Mr Cowen acknowledged in his Dáil speech earlier that the Government faced tougher economic times. 'We have made great gains, but we face great challenges too,' he told TDs after his appointment.
Exchequer figures last week showed that the amount taken in in tax receipts in the first four months of the year was already more than €700m behind the Budget target. Some economists said the total for the year could be €2 billion.
This means the new minister could face some tough talks with Cabinet colleagues in an attempt to keep spending under control.
Speaking last month, then Finance Minister Cowen said it was crucial that all Government departments adhered to their agreed spending limits this year.
Meanwhile, new Tánaiste Mary Coughlan is the new Minister for Enterprise, Trade & Employment.
