Speaking in the Dail today, the Minister for Finance Michael Noonan said that we must not gamble with the future and that the Government will not take chances that destabilise the recovery.

The Minister for Finance stated how important the farming and agri-food sector is to the economy.

The Department of Agriculture, Food and the Marine has been allocated €1.3 billion in Budget 2016.

The only tax increase in Budget 2016 was on cigarettes, which will increase by €0.50 per packet of 20 to €10.50.

The rates of USC are to be reduced and thresholds adjusted:

1.5% rate cut to 1% (On the first €12,012 of income).
3.5% rate cut to 3%. (On income in excess of €12,012 up to an increased threshold of €18,668).
7% rate to 5.5%. (On income in excess of €18,668 up to €70,044).

The Capital Acquisitions Tax threshold for transfers from parent to child is to increase from €225,000 to €280,000.

Minister Noonan announced that the pension levy will also be abolished from the end of 2015. The Government has also moved to introduce an earned income tax credit of €550 for self-employed people, including farmers.

There will be a reduction in the commercial motor tax rates; the maximum rate of commercial motor tax will be €900 per annum, down from €5,195, the Minister said.

As part of Budget 2016 statutory minimum wage to increase to €9.15 per hour.

The Government announced that there will be free childcare between ages three and five and a half or until the child starts primary school.