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13 November 2014
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You are in: BBC Newsline > Latest Stories > Budget day down south

Rossa White

Budget day down south

Brian Lenihan unveiled a set of measures to try to stabilise the Republic's economy

Donna and Noel outline the main points of the mini budget

Our Dublin Correspondent Shane Harrison explains the measures introduced in the new budget, who they are likely to affect and what the impact may be, particularly on border areas.

Some have described it as unpatriotic to cross the border to shop. For others it's necessary to make ends meet. For decades, people living on an near the border have shopped north or south depending on the prices or exchange rates. In the past six months or so, with more pounds for your euro, the northern traders have benefited.

But with new budget measures, like increased income tax and a 25 cent price hike in cigarettes, Simon Hunter has been to Newry to see how southern shoppers have been reacting.

What about the traders? To gauge their reaction our reporter, Chris Page, was also in Newry.

Rossa White

It's happening just five months after the main budget because of the huge hole in the government's finances, an estimated 22 billion Euros. In simple terms - people aren't spending, so there's less tax for the coffers.

Compared to the UK, the South has a generous social welfare system and nearly 40% of the population, the lower paid, pay virtually no income tax. That may be about to change. Our Dublin correspondent Shane Harrison went out to talk to people about their hopes and fears before budget day.

last updated: 08/04/2009 at 12:26
created: 06/04/2009

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