Written Answers Nos. 101-109
101. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform if he will accept a proposal to fund the provision of urgently needed affordable housing in an effort to address a most serious social and economic issue; if a means could be found to bring such a proposal into line with public expenditure and reform guidelines; and if he will make a statement on the matter. [9950/14]
View answerThe 2014 Estimate for the Department of Environment, Community and Local Government sets out an allocation of €575.8 million for a range of social and affordable housing programmes. In addition, a capital carryover amount of €22 million was approved for housing related expenditure.
As set out in the Ministers and Secretaries Amendment Act 2013, Ministerial Expenditure Ceilings are decided by Government within the context of a Government Expenditure Ceiling. As outlined in Circular 15/13 issued by my Department, the fiscal framework in place at EU level places constraints on this overall Government Expenditure Ceiling.
The National Treasury Management Agency reporting directly to my colleague the Minister for Finance has responsibility for ensuring that sufficient funding is available at all times to meet the day-to-day requirements of the Exchequer and it is a matter for the Agency to decide when and how much to borrow in the light of those needs.
102. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which discussions have taken place with his colleagues in the Department of the Environment, Community and Local Government with a view to agreement on a public expenditure proposal in respect of social and affordable housing which might meet the approval of his Department in the context of public expenditure constraints; and if he will make a statement on the matter. [9951/14]
View answerExtensive discussions took place with my colleagues in the Department of Environment, Community and Local Government in the context of the 2014 Estimates resulting in an allocation for 2014 of €575.8 million for a range of social and affordable housing programmes. In addition, a capital carryover amount of €22 million was approved for housing related expenditure. There will be further engagement between the two Departments during the year and in the negotiation of the 2015 Estimates.
104. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which reform, as a component in economic strategy, has achieved savings in line with projections; and if he will make a statement on the matter. [9953/14]
View answerAs set out in the Government's new Public Service Reform Plan 2014-2016, Public Service Reform has been, and will continue to be, an important part of the Government's overall recovery strategy.
From 2009 to 2013, there was a reduction in gross voted expenditure of 13.5%.
Staff numbers have been reduced by around 32,000 or 10% since 2008 and the paybill was reduced from €17.5 billion in 2009 to €14.1 billion in 2013, including the pension related deduction.
Public Service Reform has enabled us to maintain public services in the face of this necessary reduction in budgets and staff numbers, at a time of increased demands for public services.
In addition to the industrial stability that it brought, the benefits of the Croke Park Agreement were significant. The final report of the Implementation Body concluded that significant cost savings, amounting to €1.8 billion, were delivered over its lifetime. Building on this work, the Haddington Road Agreement will deliver a €1 billion saving in the cost of the public service pay and pensions bill by 2016.
In terms of cost reduction, approximately €300 million in savings, arising from the implementation of various measures under the Agreement, was incorporated into the various Votes in the context of the Revised Estimates for 2013.
The measures and reforms implemented under the Agreement helped to ensure that spending remained in line with profile and resulted in Ireland delivering on our fiscal target for 2013.
Alongside a greater focus on achieving better outcomes for service users, the Government's new Public Service Reform Plan maintains a strong focus on delivering greater efficiency and further cost savings. Some examples include:
- The new Office of Government Procurement is leading a radical new approach to public procurement with a target of delivering savings in the region of €500 million over the next 3 years;
- PeoplePoint, the Civil Service HR and Pensions Shared Services Centre became operational in March. There are now over 24,000 employees serviced by PeoplePoint across 19 organisations. Once PeoplePoint becomes fully operational, the savings are estimated at €12.5 million annually;
- A new single Payroll Shared Service Centre for the Civil Service (in 3 locations), which will consolidate and integrate payroll processes and practices from the 18 payroll centres currently providing payroll services to 53 Public Services Bodies, has commenced operation. It is estimated that this initiative will achieve savings of €5.6 million per annum when fully operational;
- Laois County Council is leading the rollout of a payroll and superannuation shared service for the Local Government sector. When fully operational, this will deliver savings of €4.3 million per annum;
- As already referenced, the Haddington Road Agreement will deliver a €1 billion saving in the cost of the public service pay and pensions bill by 2016.
These are just some examples of the ways in which reform will continue to drive efficiency and reduce costs in the Public Service. The Government's new Public Service Reform Plan and a Progress Report on Public Service Reform can be seen at reformplan.per.gov.ie
105. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which the Croke Park and Haddington Road agreements continue to contribute to meeting expenditure targets; if any adjustment is likely to prove necessary; and if he will make a statement on the matter. [9954/14]
View answerI refer the Deputy to my response on 22 January, 2014 to Parliamentary Question No. 91, and my response on 21 November, 2013 to Parliamentary Question No. 23. As I outlined in those responses, I am satisfied that the Croke Park Agreement delivered on its objectives by facilitating significant cost savings amounting to €1.8 billion over its lifetime, with the vast majority of commitments around reform and changed work practices being substantially delivered. This was a view shared by the Implementation Body in their final report.
In relation to the Haddington Road Agreement, the Government has set a target of a €1 billion reduction in the Public Service pay and pension bill by 2016. That remains the key objective of the Agreement and I am satisfied that the various measures negotiated under the Agreement will deliver on this target. The focus of Public Service Management is now firmly on the delivery of the required level of savings.
In terms of cost reduction in 2013, approximately €300 million in savings, arising from the implementation of various measures under the Agreement, was incorporated into the various Votes in the context of the Revised Estimates for 2013.
The measures and reforms implemented under the Agreement helped to ensure that spending remained in line with profile and resulted in Ireland delivering on our fiscal target for 2013. In addition to these monetary targets, a number of changes in work practices and reforms, such as additional working hours, have been implemented since 1 July, 2013.
Finally, the Haddington Road Agreement will act as a key enabler for the delivery of the next phase of the Government's ambitious reform agenda, which is set out in detail in the recently published Public Service Reform Plan 2014-2016.
106. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which normal retirement, early retirement or other factors are likely to feature in the context of staffing levels throughout the public sector in the current and future years; if particular or sensitive areas have been identified, which may require future attention in terms of adequate staffing to meet demand; and if he will make a statement on the matter. [9955/14]
View answer107. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the Departments and their respective subordinate agencies which have so far contributed most in terms of meeting targets in respect of staff and cost reduction; the extent to which such Departments are likely to experience any reprieve in future years; and if he will make a statement on the matter. [9956/14]
View answer109. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the degree to which the public sector pay bill has fluctuated in each of the past five years to date in 2014; and if he will make a statement on the matter. [9958/14]
View answerI propose to take Questions Nos. 106, 107 and 109 together.
On the issues raised by the Deputy regarding pay bill trends over time and the scale of the numbers reductions across different Government Departments and agencies I refer the Deputy, in the first instance, to my Department's web site, at http://databank.per.gov.ie. Here the Deputy will find comprehensive data on all Government Departments on expenditure - both pay and non-pay - as well as the corresponding staffing levels and trends for the years in question up until end 2013. It shows that there has been a ten percent reduction in Public Service Numbers over the last five years, from a peak of around 320,000 in 2008 to just under 288,000 at end 2013. Over the period from 2009 to 2013, the pay bill has been reduced from a peak of €17.5 billion to €14.1 billion, net of the pension related deduction.
On the matter of the impact of retirement across the public service in the years ahead, this is something that public service managers deal with and manage every year in the normal course of events, and there will continue to be scope to recruit or redeploy existing staff, taking account of existing number and pay ceilings, to address service delivery issues that may arise from retirements. The identification of areas that are perhaps more sensitive or exposed to retirement in the coming years and responding to that is a matter for sectoral managers across the public service. To support them in this are the new more flexible work conditions and additional hours provided for in the Haddington Road Agreement and initiatives such as the workforce planning framework, which my Department has supported and which provides for medium term staff resource planning.
