Rory O'Hanlon
Question:47 Dr. O'Hanlon asked the Minister for Finance if the Government's projected increase in public spending of 2 per cent in 1996 and 1997 is based on a public spending increase of 6 per cent in 1995. [6301/95]
Written Answers. - Increase in Public Spending.
Rory O'Hanlon
Question:48 Dr. O'Hanlon asked the Minister for Finance the projected percentage increase in public spending in 1995. [6302/95]
I propose to take Questions Nos. 47 and 48 together.
The position in relation to public spending in 1995 is shown in the following table.
The Government's projected increase in expenditure on current supply services of 2 per cent above inflation in 1996 and 1997 is based on the increase of 5.8 per cent in gross current supply services provided for in the 1995 budget.
The recent announcement regarding the Government's decision to accept the judgment of the High Court in relation to the social welfare entitlements of married women under the EU equal treatment directive does not undermine the Government's commitment to adhere to the strict limits on spending which it has set for itself. The Government has committed itself to paying the full equal treatment arrears amount of £260 million as quickly as possible. In the current year, payments to the women affected will amount to an estimated £200 million. These liabilities are, of course, non-recurrent.
In the budget, I made a provision of £60 million against this contingency. The additional expenditure of £140 million in 1995 will not increase the Exchequer borrowing requirement because the Government has decided to finance it by the sale of certain assets. For the purpose of calculating the 2 per cent increase in current supply services expenditure in 1996, the additional £140 million spending in 1995 will not be included in the base.
|
1994 |
1995 |
||
|
Provisional Outturn |
Post-Budget Allocation |
Percentage Increase |
|
|
£m |
£m |
||
|
Current Expenditure |
|||
|
Central Fund Services |
2,821 |
2,987 |
5.9% |
|
Supply Service (Gross) |
10,905 |
11,536 |
5.8% |
|
Sub-total |
13,726 |
14,523 |
5.8% |
|
Capital Expenditure |
|||
|
Exchequer Capital Programme |
1,112 |
1,258 |
13.1% |
|
Other (Non-Programme) |
120 |
105 |
-12.5% |
|
Sub-total |
1,232 |
1,363 |
10.6% |
|
Total |
14,958 |
15,886 |
6.2% |