Finance Minister Michael McGrath has stated that a reduced 9pc Vat rate will not be reintroduced despite demands from industry groups and politicians.
McGrath cited the change in the tax warehousing scheme, which now has a zero interest rate on outstanding debt, as one of the reasons for not considering a Vat rate cut.
McGrath’s remarks indicate that the government is not inclined to lower the Vat rate and is focusing on other measures to support the economy.
