Lenihan warns of €3bn in cutbacks and tax increases
The Finance Minister Brian Lenihan has warned that cutbacks and tax rises are on the horizon.
Mr Lenihan said there will be €3bn worth of spending cuts this year.
In December's Budget, Mr Lenihan announced €1bn in pay cuts for public service workers, ranging from 5% for those on average pay to 15% for those at the most senior level.
Those who pay no tax are likely to bare the brunt of any changes to the taxation system.
