The Nevin Economic Research Institute (NERI) is insisting the Government should make an adjustment of €800m in the upcoming 2015 Budget.

The economic think-tank says the figure is needed to avoid doing harm to Ireland's emerging economic recovery.

NERI says despite recent positive economic growth figures, concerns remain around the high level of debt, weak credit conditions and unemployment.

In its quarterly Economic Observer, the group says there is no room for a reduction in the overall level of taxation in the Budget and the focus should be on boosting employment and incomes.

NERI Director Dr Tom Healy says, "NERI’s research shows that there is a strong case for increasing the overall level of public capital investment to help address the current crisis in housing and the pressures in education."

There have been a number of estimates and suggestions for the budgetary adjustments required. In July, employers group IBEC said the Government could hit its budgetary targets with adjustments of just €200m. Finance Minister Michael Noonan has said the adjustments will be less than the €2bn originally planned.