The savings on Promissory notes in the ‘New Deal’ €8,000 per household?

I played around with some figures to compare the cost of the old scheme versus the new one. To do this I put everything into today’ money because we are dealing with different time periods so net present values have to apply (link to the spreadsheet so you can play too).

Using different rates we get the costs below:

Discount rate Old Deal New Deal Savings 5.00% €30.98bn €17.66 €13.32 3.00% €34.64 €25.75 €8.89

To put it in perspective, I heard that Anglo and INBS cost each person working in the country €22,000. This deal will save each person in the country somewhere between €1,937 and €2,900 off of that amount or up to €8,000 per household.

I’m sure that the usual disagreements will come into play, the discount rate used (I defaulted to 5% even though we have an ‘at or just below 2%’ agenda), and I didn’t net out all costs and fund flows (again, this is just an …

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