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Public Expenditure Policy

Dáil Éireann Debate, Tuesday - 28 November 2023

Tuesday, 28 November 2023

Questions (238)

Bernard Durkan

Question:

238. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform whether he remains satisfied that levels of public expenditure here are adequately proofed to ensure best outcome for the Exchequer and taxpayer; and if he will make a statement on the matter. [52561/23]

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Written answers

The Government’s approach to public expenditure policy is set out in the Medium Term Expenditure Strategy (MTES). The objectives of the MTES are twofold, to ensure that the level of core expenditure growth is sustainable long-term and that investment in expenditure protects and delivers improvements to public services. This framework must be responsive to the economic landscape and is reviewed annually as part of the whole of year budget process including the Summer Economic Statement and the Estimates process.

The ongoing dialogue between my Department and other Departments and Offices is part of the monitoring process for existing levels of service provision and any emerging pressures. Managing the delivery of services within budgetary allocations is a key responsibility of each Minister and measures are in place to help ensure that budgetary targets are met.  My Department ensures that expenditure is being managed within the overall fiscal parameters and the drawdown of funds from the Exchequer is monitored against the published expenditure profiles. There is regular reporting to Government and information in relation to voted expenditure is published monthly with the Exchequer Returns. 

Budgetary and expenditure reforms remain a key feature of public expenditure management throughout all Departments. This important goal has been fully embedded across the system of Government and is progressed in a number of ways including the day-to-day management of resources, regular engagement across Departments on cross cutting issues and through the public service reform programme. It is also progressed through a range of core budgetary reform initiatives including, but not limited to:

- The Public Spending Code;

- National Development Plan;

- Performance Budgeting;

- Equality Budgeting;

- Green Budgeting

- Well-being budgeting; and

- The Spending Review Process.

These reforms and processes broaden the approach to how public expenditure is appraised, implemented and reviewed. They govern not only how and where the money is spent but also the impact of public expenditure across different cohorts of society and the different categories of expenditure. They work in tandem with broader initiatives, such as the establishment of the Irish Government Economic and Evaluation Service (IGEES), to develop capacity and enhance the role of economics and value for money analysis in public policy making.

Additionally, my Department engages in international fora, including OECD working parties and committees. These discussions focus on spending reviews, budgetary reform and other areas that that strengthen the public sectors’ ability to promote systemic change as way to respond to economic, social and environmental challenges.

While each reform may be considered in isolation, it is important to recognise that each represents one part of the overall reform process. Together, these expenditure reforms aim to provide a more comprehensive and thorough insight into how public services are supporting the Irish population.

It is with this more complete understanding that policymakers can work towards the achievement of value for money objectives in the context of the entire budgetary process, ensure responsiveness to emerging opportunities and trends where appropriate, and enhance the impact of policies and programmes on the lives of people in Ireland.

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