A spending freeze on health, education and infrastructure projects is expected later today when the Government announces paltry increases in spending for 2003 in a bid to curb public spending.
It has already been confirmed there will be no extension of medical card eligibility next year, despite the Fianna Fáil's manifesto pledge to give medical cards to 200,000 extra people in the lifetime of the Government.
The replacing of old, out-of-date schools will also be put on hold and road and rail projects will be deferred.
Therefore, three sectors the Government said it would protect from cutbacks - health, infrastructure and education - will see major development projects deferred.
It is expected that capital spending on housing, transport and other infrastructure will be lower next year than in 2002.
The Taoiseach, Mr Ahern, has arranged that the Fianna Fáil party's finance policy committee will meet this afternoon so Mr McCreevy can explain the position to TDs and senators.
Fine Gael leader Mr Enda Kenny, accused Mr McCreevy of moving to "wring a bit more life out of our old people, our sick people, our children".
Labour's health spokeswoman, Ms Liz McManus, said the "Government secured votes in the general election on the basis of manifesto promises like [the medical card scheme]. As we now know, that election campaign was a daily litany of lies and deceit".
The Budget Estimates are due to be released at 3 p.m.