The first priority for Budget 2019 is to put the economy in a stable financial position as Brexit takes effect, the Taoiseach Leo Varadkar said at the Virginia Show on Wednesday.

“There is only a certain amount of money and the first priority for the budget has to make sure it’s broadly balanced; that we balance the books and reduce the debt to deal with any economic turmoil in the years ahead after Brexit,” Varadkar said.

“The best way to prepare for that is to make sure our finances are in order so there is additional funding for infrastructure, public services like housing, healthcare and education.

‘‘And also to make sure that there is a tax package that puts a little bit of money into everyone’s pocket.”

Sugar tax

He said any revenue-increasing measures such as a sugar tax would be for public policy reasons and that gains made from that would be used to reduce taxes, specifically on income.

The announcement coincided with the IFA’s pre-budget submission launch, which the Taoiseach said he, Minister for Agriculture Michael Creed and Minister for Finance Paschal Donohoe would examine over the next few weeks. “You can be sure we will take them [budget submissions] into account but it won’t be possible to do everything. The budget is in six or seven weeks’ time. No decisions are made yet.”

When asked about low-cost loans for farmers, the Taoiseach said that “we will make a decision over the next couple of weeks as to whether there will be another one”.

Meanwhile, the €300m Brexit loan scheme is still available to businesses affected.

“A lot of the farming sector is impacted and that is open at the minute,” said Minister for Business, Enterprise and Innovation Heather Humphreys. “This hasn’t fully been exhausted yet; the fund is still there. Applications are being processed as we speak.”

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