Four-year plan - the main points

 

The National Recovery Plan 2011-2014 - main points

* €15bn in measures aim to bring deficit under 3% GDP by 2014

* €6bn of adjustments to be front-loaded in 2011

* An extra €1.9bn sought via income tax changes

* Standard VAT rate to rise from 21% to 23% in 2014

* Entry point for income tax to fall to €15,300 – from €18,300 currently – by 2014

* Minimum wage to be reduced by €1 to €7.65

* Reduction of social welfare spending of €2.8bn targeted

* Domestic water charges to be introduced by 2014

* Introduction of a site value tax in 2012

* Students' contribution charge to rise from €1,500 to €2,000

* Reform of capital acquisitions, capital gains tax

* Pension-related tax changes to yield €700m

* Tax savings of €240m on public sector pension deductions

* Site valuation tax to be introduced

* Cut in public service staff by 24,750 from end-2008 levels to 2005 levels

* Overall pay adjustments of €1.2bn by 2014

* 10% pay cut, new pension scheme for new public sector entrants