I move: "That the Bill be now read a Second Time."
I am pleased to introduce the Appropriation Bill 2024 to the House. It is critical annual financial legislation. It has to be enacted before the end of the year to give effect to the authorisation of voted expenditure throughout 2024 and to allow for the continuation of expenditure into 2025. It has two main functions. The first is to provide legal authorisation for all of the expenditure that has occurred in 2024, on the basis of the Estimates voted on by the Dáil over the year. These allocations are known as the amounts to be appropriated for supply services. They are set out in section 1 and Schedule 1 to the Bill. These relate to the Revised Estimates, Further Revised Estimates and Supplementary Estimates that have been agreed by the Dáil over the course of the 2024. In net terms, these amount to €86.5 billion. In gross terms, and taking into account expenditure on the Social Insurance Fund and the National Training Fund, total gross voted expenditure allocated for this year is €104.3 billion. This reflects the Government’s sustainable investment in public services and a balanced and budgetary approach that will support households and firms, deliver improvements in public services, boost the resilience of the economy and further enhance the capital stock, including, most importantly, homes.
Our social protection system seeks to provide an effective social safety net for the more vulnerable members of society. The 2024 gross expenditure allocation for social protection, including spending on the Social Insurance Fund, is over €27 billion. This helped to improve our social welfare system. It delivered a €12 increase in core weekly rates and increased the income of an estimated 1.45 million recipients. It delivered increases to the qualified child payment and working family payment income thresholds and to the domiciliary care allowance rate and other important measures.
Investment in the Irish health service has also delivered better outcomes for our citizens. Ireland now performs well on treatable and preventable causes of mortality and has made significant improvements over the past decade, including reductions in the mortality rate for all cancers. We have had the highest proportion of a population reporting good or very good health among all EU countries as of 2022. The number of people on waiting lists for outpatient care has fallen since 2021 and there have been significant improvements in the average waiting time of patients.
Housing has also seen a considerable increase. In 2023, 11,938 new social homes were delivered. It is expected that this delivery will continue to grow in 2024 and grow in future years as the delivery pipeline continues to increase. A sum of €8.3 billion in funding is being provided this year for the housing, local government and heritage Vote group, including €4.9 billion in capital funding.
Education funding in 2024 saw the provision of an appropriate school place to over 970,000 students in primary, post-primary and special schools around the country, with a record number of teachers, almost 77,000, employed by the Department of Education. Close to 1,200 new teachers were employed in September 2024 for the commencement of the 2024-25 school year. Education capital expenditure in 2024 is supporting the continued progression of the 350 building projects currently at construction, while also facilitating close to 90 school building projects that are to proceed from tender stage to construction over the course of 2024 and early next year.
Funding has also enabled a range of other schemes and initiatives across government. In transport, the continuation of fare initiatives has helped with cost of living. There has been further investment in greenways and active travel. In further and higher education, we continue to invest in our apprenticeship programme, which is delivering 16,000 places this year. Provision to support childcare providers through the core funding scheme has ensured that fees for parents using these services have remained frozen, while the subsidies through the national childcare scheme have continued to increase. Over 200,000 children have benefited from the national childcare scheme to date this year, with out-of-pocket costs for parents having fallen by up to 50% for users of full-time early learning and childcare. The NCS subsidies are worth up to €5,000 per child in 2024.
A balanced approach to public service pay was achieved in the public service agreement for the period to 2026. The funding outlined in the Appropriation Bill reflects the Government’s continued commitment to responding to challenges as they arise. Of course, one of the greatest challenges we have experienced recently is the impact of inflation on living standards. I am conscious that so many are still worried about heating and lighting their homes this winter. We have a further package of cost-of-living supports in this budget. The 2024 cost of this package, of €2 billion, of progressive supports for households and businesses, including two €125 energy credits, are reflected and included in this Bill.
The second principal function of the Appropriation Bill is to provide a legal basis for expenditure to continue into next year. As set out in the Central Fund (Permanent Provisions) Act 1965, the authority for spending in 2025, prior to the agreement of the 2025 Estimates by the Dáil, is based on the amounts included in the 2024 Appropriation Bill. For this reason, it is essential that this Bill be enacted before the end of 2024. Should that not happen, there would be no authority to spend any voted moneys from the start of January 2025 until the approval of the 2025 Estimates.
To account for the complexity of very big projects, we now have multi-annual capital envelopes in place. This allows for the carryover of up to 10% of unspent voted capital.
Schedule 2 to the Bill sets out the proposed capital expenditure amounts that are to be carried forward to 2025 by Vote. This stands at €207.21 million, which is 1.6% of the total 2024 gross voted Revised Estimates capital allocation of just over €13 billion. The carryover figure is on a downward trend and is much lower than the carryover amounts requested by Departments in recent years. It reflects our increasing ability to spend our full capital budget in any given year for which it is allocated.
As in previous years, the Bill includes a provision for repayable advances from the Central Fund to the Paymaster General’s supply account in order to meet certain 2025 Exchequer liabilities due for payment over the first week of January.
The provision for these advances is critical as the banking system will be closed on Wednesday, 1 January. This means it is necessary for the funding to be in place in departmental bank accounts before the end of this year in order to meet those liabilities on a timely basis.
The Bill also provides for prefunding certain payments under Social Welfare Acts due between 1 and 6 January 2025 that are made on an agency basis by An Post. The advances provision in the Bill ensures that these payments can be transferred from the Department of Social Protection to the network of An Post offices throughout the country. Section 3 provides for up to €900 million to be advanced from the Central Fund to meet these requirements. This is a higher amount than in recent years due to payroll dates accruing in early 2025. This is technical, and any advances needed would then be repaid to the Central Fund next January.
This Bill is an essential element of housekeeping undertaken by the Dáil each year. It will authorise in law all of the expenditure that has taken place in 2024 on the basis of the Estimates voted on by the Dáil over the course of this year. It also provides authority for voted expenditure to continue in the period between the beginning of January 2025 and when the Dáil approves the 2025 Estimates. This is to ensure continued funding for the delivery of front-line public services, investing in health and education services, social protection payments, funding An Garda Síochána and so forth. It reflects the continuation of a planned approach to public spending. I commend the Bill to the House.