George Colley - 1978

In George Colley's second term as finance minister (1977-79) he was obliged to fulfil the promises made to the electorate in the Fianna Fail manifesto, during the general election the previous year. It aimed for a current budget deficit of £265 million, through increases in personal income tax allowances and a 5 per cent extra public service pay allocation worth £40 million. Domestic rates and the wealth tax were abolished. The increase in consumption of imported goods through this stimulus meant a significant worsening of the balance of payments deficit.