Ictu calls for stimulus plan to 2015

Trade unions have called on the Government to introduce an annual €3 billion stimulus programme for the economy for each of the next three years as well as a series of new taxes on wealth and unearned income.

In its pre-Budget submission, launched this afternoon, the Irish Congress of Trade Unions urged the Government to reverse its current strategy of tackling the financial deficit by means of a 2:1 ratio of spending cuts and tax rises. It suggested that the emphasis be placed on tax increasing measures.

Congress also recommended that the Government should introduce a financial transaction tax, as is being put in place in 10 other EU countries. It said this measure could generate €500 million annually for the exchequer.

Congress general secretary David Begg also said that the Croke Park agreement on public service pay and reform should be extended beyond its current expiry date of 2014.

The trade unions urged the Government to introduce a new 48 per cent tax rate for individuals with incomes over €100,000.

Congress said there should also be a new one per cent wealth tax.

The unions have also argued that corporations should contribute more by restricting write off and that the tax base in this area should be broadened. .