LISBON (Reuters) - Portugal will deepen its planned budget deficit cut next year by 1.5 percentage points of GDP, and may resort to tax hikes if necessary, Finance Minister Fernando Teixeira dos Santos said yesterday.

Speaking in Brussels, shortly after policymakers stitched together an emergency $1 trillion euro zone rescue package to stabilise financial markets, he said the Portuguese 2011 deficit would be reduced to 5.1 percent of gross domestic product.

"In 2011 we will continue our efforts so as to cut the deficit by 1.5 points more than what had been planned," he said in televised remarks.

"We have special focus on spending reduction, the consolidation will be done on the spending side. But if an additional effort proves to be necessary, if a tax rise is necessary, we will have to resort to such measures," he added.