The Taoiseach Enda Kenny says changes to the tax system will make it easier for emigrants to return home.

Mr Kenny said the government is keen to raise the amount workers can earn before the top rate of income tax kicks in, saying "the government can longer call upon workers in the country to carry such a high burden."

The top rate of tax was raised in the Budget in October, but Mr Kenny has hinted that it could be raised further.

Comparing Ireland to other countries, he said that workers in Australia do not pay the highest rate of tax until they earn well over €80,000 - and Ireland needs to compete.

Red C research commissioned by Labour found that the party risks a hammering at the general election if USC is not drastically cut. 

Mr Kenny says change will needed: