The ESRI has backed the Government over it’s handling of the 5% spending rule in the budget.
It follows criticism last week that the Government was guilty of ‘over-spending’ amid inflationary pressures.
The research institute suggests the tax and welfare measures announced in Budget 24 will insulate most households from rising prices next year.
Its latest quarterly briefing by the Economic and Social Research Institute forecasts domestic demand to rise by just 0.6% this year and GDP to shrink by 2.7%.
