The Taoiseach has said water charges will be the last austerity measure implemented by the Government.
Enda Kenny's comments come ahead of a cabinet meeting later this week where new plans for Irish Water will be put to ministers.
Two weeks after a row erupted between the coalition parties over the scheme, the Minister for the Environment is reportedly preparing proposals that could allay some of the fears among the Labour party.
Speaking in Co. Wicklow last night, the Taoiseach also promised that water charges would be fair and affordable.
He argued that in the long run, water charges will actually save the taxpayer money