McGrath: Vat cut has to be reversed as Government 'can't do everything'

Vat reduction was introduced before Christmas
McGrath: Vat cut has to be reversed as Government 'can't do everything'

Minister Responding To Expenditure Extended Vat Reduction Was Michael Wire For Public The Behal/pa Julien Be Picture: Mcgrath To Calls

The Vat cut introduced before Christmas has to be reversed as the Government “can’t do everything”, Public Expenditure Minister Michael McGrath has said.

Speaking to a private meeting of the Fianna Fáil parliamentary party, Mr McGrath was responding to calls for the Vat reduction to be extended.

Taoiseach Micheál Martin warned his party that the Covid-19 case numbers in hospitals are still 25% higher than the April peak and the ICU numbers are coming down slowly.

He said the priority now is the phased return of schools and construction. He also said there will be no cliff edge to economic support with over €1bn per month spent supporting income, employment, businesses, and families.

At the Fine Gael party meeting, party members including Charlie Flanagan raised concern that punishments for people travelling abroad will be "disproportionate" while Senator Regina Doherty is believed to have said that she is worried that people will be "demonised" for going overseas.

The number of mourners at funerals and wakes should be increased as Covid-19 cases fall, the Fine Gael parliamentary party also heard.

Tánaiste Leo Varadkar was asked by Kildare TD Martin Heydon about the current restrictions which only allow 10 mourners at a funeral.

Sources say that Mr Heydon said this figure is "extremely difficult" on families who may have a large number of children and asked that the number be revised to 15. Mr Heydon also asked that attendances at larger churches be examined as level 5 restrictions ease.

Mr Varadkar is said to have been sympathetic to the position but said that the gatherings had been "a big problem" in the past.

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