DAVY VIEW

September’s tax receipts continue to support our view that the economy is on course to grow by at least 4.5% this year. However, the expansionary nature of Budget 2025 and higher corporation taxes paid by foreign-owned firms will likely add to this. The challenge for the next government will be to re-balance economic growth towards addressing infrastructure shortfalls and long-term needs of the economy rather than short-term policies like the large and repeating cost-of-living supports to households.