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The exchequer returns for the first quarter of the year point, not surprisingly, to an economy which is weakening . It is clear that the jobs market is in poor shape and that corporate profitability is under pressure.

The only bright spot is buoyancy in VAT receipts. It is not clear what is behind this, though strong sales of new houses appear to be an important factor. Spending, meanwhile, is broadly in line with what the Department of Finance had expected for the first quarter , but the rate of growth will have to slow sharply later in the year, if the Budget targets are to be met.