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Dáil Éireann debate -
Wednesday, 18 Nov 1981

Vol. 330 No. 13

Ceisteanna—Questions. Oral Answers. - Expenditure Reductions.

12.

asked the Minister for Finance if he will give specific details in tabular form of the proposed expenditure reductions of £148.5m outlined in his Budget statement of 21 July 1981.

In a reply to a Question from Deputy Nolan on 12 November (Question No. 20) I gave details of £19.9 million of the £148.5 million savings referred to in this question. Details in respect of the remaining savings of £128.6 million are, as requested, set out in a tabular statement which I propose to have circulated with the Official Report. Following is the statement:

(1)

(2)

(3)

Service

Savings allowed for in the July Budget

Main heads under which the savings in Col. 2 are to be achieved

£m

Agriculture

7.96

Staff costs, intervention expenses and disadvantaged areas scheme.

Transport

9.27

CIE rates and fares subsidies and incidental expenses.

Health

2.40

Drug refund scheme and hospital charges.

Energy

59.00

Subsidy to compensate ESB for non-authorisation of increases in charges

Global pay provision

50.00

Curtailment of special pay increases and non-filling of vacancies.

In each area that the real or imaginary savings take place, is it entirely in current expenditure or is it divided between current and capital? Would the Minister indicate the effect these savings, if real, will have on employment?

As the Deputy very obligingly asked for this information in tabular form in his Question I have supplied it in that form. It is on the record of the House and it would be inappropriate for me to give details in respect of particular parts of the tabular statement which the Deputy sought. The bulk of the savings were on current spending. Looking at them quickly I cannot see any that were not on the current side but that is not a categorical statement.

I am sure the Minister appreciates why I looked for it in tabular form but that does not take away from the Minister the right to reply to my supplementaries. What effect will these real or imaginary cuts have on employment at present and before the year's end?

The effect will be quite small but one can never guarantee that any cut in public expenditure will not have some effect on employment, at least indirectly. This is a problem the Government face at all times when pruning public spending.

Does the Minister's tabular statement contain the word "education"?

Am I to take it that there is no reduction in the education Estimate?

I am replying solely to the limited question posed to me by Deputy Fitzgerald and am not in a position to range over all areas of expenditure adjustment. The Deputy asked for a tabular statement in respect of the particular figure. I told Deputy Wilson there is no reference to education in that statement. It would be inappropriate for me to go any further than that. If the Deputy has queries about this he is welcome to put them in the form of a question and I or the relevant Minister will respond.

Will the £79.3 million of the capital budget for education be totally spent?

That is a separate question.

I asked the Minister a specific question on the reductions outlined in his budget statement. Do I now understand from what the Minister said that there are further cuts in current expenditure over and above £148 million? That is the implication of the Minister's answer to Deputy Wilson.

These savings about which the Deputy put down a question — I presume he knows what he was asking — relate to 1981 only. Decisions taken by the Government in the context of the pre-budget discussions in July may yield no financial saving in 1981 and would not fall to be replied to in respect of the question posed by Deputy Fitzgerald. They may yield saving in 1982, 1983 and so on. If the Deputy or any other Deputy wishes information about these matters he is welcome to put down a question and I or the relevant Minister will be happy to reply to him.

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