The Government’s new expenditure benchmarks, intended to limit spending growth to 1.8% in 2016, has had an "inauspicious start" according to Davy economist, Conall McCoille.

In an economic note, published this morning, he said the Government’s budgetary white paper, published over the weekend, and indicating an additional €1.5bn spending allocation to various departments during 2015, meant the total package of policy changes – including those expected in tomorrow’s budget – would now equal €3bn or effectively double the amount that had been expected.

He added that by raising spending in this way before the end of the current year, the government could still attempt to present the Budget as consistent with April’s much heralded Stability Programme Review, but that in fact the economic stimulus is twice the target set.

Mr Mac Coille added, "No doubt the introduction of an additional €1.5bn of spending in the final quarter of 2015 has been implemented with the forthcoming election in mind."

Speaking to the Irish Examiner, he concluded that we are going to see "a big giveaway ahead of the election."