A new review of the Irish economy suggests the Government could restructure taxes and spending in order to sustain further recovery.
According to Goodbody Stockbrokers, no new austerity measures are needed to meet the 3% deficit target next year.
In its latest quarterly economic outlook tax revenue is higher than expected, at around a billion so far this year.
Goodbody has said the water charges that have already been announced will bring in €500m.