Skip to main content
Normal View

Budget Timetable

Dáil Éireann Debate, Tuesday - 16 April 2013

Tuesday, 16 April 2013

Questions (313, 314)

Éamon Ó Cuív

Question:

313. Deputy Éamon Ó Cuív asked the Minister for Finance the date on which the budgetary process for 2014 will commence in view of the fact that the budget is due to be delivered in Dáil Éireann early this year; and if he will make a statement on the matter. [17074/13]

View answer

Éamon Ó Cuív

Question:

314. Deputy Éamon Ó Cuív asked the Minister for Finance the changes made by him, since coming to office, to the operation and the timing of the budgetary process; and if he will make a statement on the matter. [17075/13]

View answer

Written answers

I propose to take Questions Nos. 313 and 314 together.

The budgetary process for 2014, like any other year, is a “whole-year” process and in that regard preparations have already commenced for Budget 2014.

Last March, both ECOFIN and the European Parliament agreed on the content of two draft regulations known as the “two-pack”. The “two-pack” is currently undergoing the jurist linguists process which finalises the regulations in all official languages and it is expected that they will be formally adopted in May or June.

One of the regulations concerning common provisions for monitoring and assessing draft budgetary plans includes the following requirements:

- the draft budget for central government and the main parameters of the draft budgets for all the other sub-sectors of the general government must be published by the 15th of October each year;

- draft budgetary plans in a common format must be submitted by all Euro area Member States not in a programme of assistance;

- the draft budget must be based on independent macroeconomic forecasts which are defined as forecasts produced or endorsed by an independent body; and

- the budget for the central government must be adopted or fixed upon and published by the 31st of December each year.

In light of these requirements, the Government has decided to bring Budget Day forward from the first week in December to on or before the 15th of October from now on. This means that Budget 2014 will be presented on Tuesday, the 15th of October this year.

The Government has also decided that the Finance Bill should complete its passage through the Oireachtas by the 31st of December each year. This timeline will be considerably shorter than the present requirement that it must be enacted within 120 days of the Budget. Under the new arrangements, the Finance Bill will have to be passed 65 to 70 days after the Budget.

Following the Government decision on the timing of the budget, the Departments of Finance and Public Expenditure and Reform are considering the follow-on implications of moving both Budget Day and the Finance Bill forward. It is the intention of both Departments to keep all bodies that contribute to the Budget and Finance Bill processes fully informed of changes so that they can plan accordingly.

The decision on implementation of the independent macroeconomic forecasts is still under consideration. Furthermore, the Government will decide later in the budgetary process whether to submit a draft budgetary plan in the common format as Ireland is exempt from this requirement because it is in a programme.

With regards to the operational budgetary process, the Deputy should be aware that there have been numerous European developments over the past few years including strengthening of the Stability and Growth Pact through the six-pack, the Fiscal Stability Treaty and continuing with the two-pack as outlined above. The impacts of all of these are taken into account.

Furthermore, the Deputy should also note that my colleague, Mr. Brendan Howlin T.D., the Minister for Public Expenditure and Reform has implemented significant changes on the Expenditure side of the Budget including the introduction of a Medium-Term Expenditure Framework, which includes multi-annual expenditure ceilings, the extension of the performance budgeting initiative, including the introduction of IrelandStat and the introduction of a public spending code.

Top
Share