Fianna Fáil and Fine Gael have been rewarded by voters who believe they have managed the economy well. Buoyed by strong corporation tax receipts, Ireland is running a budget surplus of at least €23 billion (£19 billion). As a result, all parties have committed to substantial increases in public expenditure, both current and capital.

IRELAND faces weeks of coalition talks before a new government can be formed, as the two major right-wing parties work to form a stable administration in the wake of Friday’s general election.