The Senator says that some shuffling may be needed to meet the overall £65 million cuts target, as departments are having varying levels of success with the Comprehensive Spending Review.

In comments to the Corporate Services Scrutiny panel, the minister said that some departments would not meet their stated cuts target, but that the shortfall would be made up by others that had exceeded theirs.

Just days after plans for an extra Social Security charge to cover long-term care costs were put on hold for a year, the Treasury Minister has given the clearest indication yet that ministers want to leave the tax system alone over the next three years as Island households struggle with the double impact of low wage rises and high inflation.