Written Answers Nos. 161-180
162. Deputy Richard Bruton asked the Minister for Finance the estimated amount of unclaimed tax reliefs in each of the years 2019 to 2023; and a breakdown of the estimated amount by individual relief, that is, medical relief, rent relief, disabled child relief and so on, in tabular form. [5816/24]
View answerI assume that the Deputy’s question relates to PAYE taxpayers.
I am advised by Revenue that, where an income tax return is not completed, it is not possible for Revenue to know if a taxpayer may be due additional credits or reliefs. Therefore, it is not possible to provide the Deputy with an estimated amount of unclaimed tax reliefs in each of the years requested. Some taxpayers may have overpaid tax in some years and underpaid in others and some may be entitled to additional credits or reliefs which they have not yet claimed while others may have additional income on which tax may be due.
Since 2019, Revenue makes an Employment Detail Summary (EDS) and a Preliminary End of Year Statement (PEOYS) available to all PAYE taxpayers through the myAccount service after the end of each tax year. The PEOYS sets out each PAYE taxpayer's provisional tax position for that tax year, based on information available on Revenue records. The PEOYS provides employees with a preliminary calculation of their Income Tax and USC position, and will indicate whether their tax position is balanced, underpaid, or overpaid for the year.
To assist taxpayers to balance their tax, Revenue regularly issues letters to taxpayers who, according to their Preliminary End of Year Statement, may have either overpaid or underpaid in a particular tax year. These letters advise the recipients to submit an Income Tax return to claim any additional tax credits or reliefs that they may be due and/or to declare any additional income they may have received. The letters also remind taxpayers of a four-year time limit in respect of submitting such claims. The quickest and easiest way to submit an income tax return is online through Revenue’s myAccount facility. MyAccount allows taxpayers to claim their entitlements, declare any additional income and ensure that they pay the right amount of tax at the right time.
I am further advised that, to date, Revenue has refunded €493 million to 839,000 taxpayers in respect of the 2019 tax year while, €444 million has been refunded to 708,000 taxpayers for 2020, €574 million has been refunded to 853,000 taxpayers for 2021, and €586 million has been refunded to 801,000 taxpayers for 2022. A further €300 million has been refunded to 400,000 taxpayers for 2023.
Based on the current provisional end of year position for PAYE taxpayers who have yet to submit an Income Tax return for the last 4 years in which a refund may be claimed, Revenue records indicate that, for 2020, €86 million is overpaid by 174,000 customers; for 2021, €133 million is overpaid by 236,000 customers; for 2022, €154 million is overpaid by 278,000 customers and, for 2023, €331 million is overpaid by 499,000 customers.
It should be noted, however, that Revenue has advised that the above figures are correct as of today’s date – they are a snapshot at a point in time, based on the figures available to Revenue, and will change depending on when the data is collated. Revenue further advises that the overall numbers of taxpayers may be less than the total of the above figures as some taxpayers may have overpaid tax in one or more of the years shown. Similarly, the net amount of tax overpaid may be less than the total of the figures shown as some taxpayers may have overpaid in some years and underpaid in others.
Finally, I can advise that Revenue, in conjunction with my Department, recently launched a public information campaign to raise awareness among PAYE taxpayers about the range of tax credits and reliefs available, and how they can claim those credits and reliefs.
163. Deputy Gino Kenny asked the Minister for Finance the last time a budget increased the blind persons tax credit. [5835/24]
View answer164. Deputy Gino Kenny asked the Minister for Finance the reason the blind persons tax credit was not increased in line with other tax credit increases in Budget 2024; and his plans to increase the credit in the future. [5836/24]
View answerI propose to take Questions Nos. 163 and 164 together.
The Blind Person’s Tax Credit was last increased in Budget 2008 from €1,760 to €1,830 for single persons and from €3,520 to €3,660 for a married couples or civil partners. It should be noted that as part of the suite of measures to deliver fiscal consolidation in Budget 2011, the Blind Person’s Tax Credit was reduced from €1,830 to €1,650 for single persons and from €3,660 to €3,300 for married couples or civil partners, and it has remained at these values since then.
As the Deputy will be aware, Budget 2024 included a significant tax package amounting to a cost of €1.3 billion in 2024 and €1.5 billion in a full year. The budget tax package was built around 3 key pillars: changes to tax credits, the standard rate band and USC, and the Government has sought to use each of these levers to spread the benefit of the available package as effectively as possible.
With regard to income tax, the main tax credits (personal, employee and earned income) were increased by €100 to €1,875 and the standard rate band was also increased by €2,000 to €42,000 for single persons with commensurate increases for married couples and civil partners.
I am also aware that the USC is a particular point of concern for many people and that is why I introduced the largest USC package since 2016 with a cost of €350 million in 2024. The 4.5 per cent rate of USC was decreased by 0.5 per cent to 4.0 per cent and the ceiling for the 2 per cent rate of USC was increased by €2,840 from €22,920 to €25,760. The increase in the 2 per cent ceiling will ensure that with the increase in the National Minimum Wage from €11.30 to €12.70 per hour, a full time worker earning the minimum wage will remain outside the higher rates of USC in 2024. Additionally, the reduced rate of USC concession for medical card holders was extended for a further two years.
Within the fiscal parameters available for Budget 2024, it was not possible to increase all tax credits and it was decided to spread the benefit of the tax package as effectively as possible across as many beneficiaries as possible. However, the tax changes introduced in Budget 2024 will benefit all income earners who pay income tax, including those persons in receipt of the Blind Person’s Tax Credit.
In all the circumstances, I am satisfied that the Blind Person’s Tax Credit in its current form is appropriately calibrated at present and there are no plans to increase the credit.
165. Deputy Michael Creed asked the Minister for Finance when a person in County Cork (details supplied) will receive their VAT refund. [5934/24]
View answerI am advised that Revenue has received four separate claims for refunds under the Value-Added Tax (Refund of Tax) (Flat-rate Farmers) Order 2012 from the person concerned. The peak filing period for these claims is between mid-November (the Income Tax filing period) and late January, hence Revenue has experienced a large volume of claims and is currently addressing a 6-week backlog. The claims are dealt with in date order of receipt.
166. Deputy Pearse Doherty asked the Minister for Finance the total number of complaints made with regard to the operation and services provided by the Financial Services and Pensions Ombudsman in 2019, 2020, 2021, 2022 and 2023, respectively; and if he will consider the value of introducing an independent assessor in order to independently assess complaints and make recommendations to the FSPO and the Minister; and if he will make a statement on the matter. [6013/24]
View answerThe Financial Services and Pensions Ombudsman (FSPO) plays a vital role in the financial consumer protection framework in Ireland. The FSPO is committed to providing a receptive service that is delivered in an accessible and inclusive manner, responsive to the needs of its customers.
The FSPO adheres to ‘Our Public Service’, a framework developed by the Department of Public Expenditure, National Development Plan and Reform for innovation and continuous development in Ireland’s public service.
The annual volumes of customer service complaints recorded by the FSPO since 2019 are as follows:
|
2019 |
68 |
|
2020 |
78 |
|
2021 |
66 |
|
2022 |
58 |
|
2023 |
79 |
The FSPO has segregated the management of customer service complaints from operational directorates involved in the management of financial service and pension complaints, allocating responsibility for these reviews to an entirely separate and independent strategic process.
The FSPO operates a Customer Charter and Customer Action Plan, which outline the standard of service and behaviour underpinning all interactions with customers and describe the FSPO’s policy of encouraging feedback from its customers, evaluating that feedback and, where possible, continuously improving on the quality of service offered.
With regard to the oversight of the FSPO, Part 4 of the 2017 FSPO Act also sets out the role of the FSPO Council, which is independently and robustly chaired, and which includes the FSPO’s oversight role in terms of keeping the efficiency and effectiveness of the Ombudsman under review.
As a body under the aegis of the Department of Finance, my officials regularly engage with the FSPO and the Council, including in terms of its capacity and capability as evidenced by the recent sanctioning of the 2024-2026 FSPO Workforce Plan.
The Department of Finance, in consultation with key stakeholders, also concluded a Periodic Critical Review of the FSPO which was published on its website in June 2023.
While the Minister has no role in the investigation of complaints brought to the FSPO under the Financial Services and Pensions Ombudsman Act 2017, there is a Service Level, Oversight and Performance Delivery Agreement in place between the Department of Finance and the Office of the Financial Services and Pensions Ombudsman, in accordance with the Code of Practice for the Governance of State Bodies (2016).
This sets out the arrangements for oversight, monitoring and reporting and also sets out the FSPO’s commitments regarding the operational roles, responsibilities, outputs and outcomes.
The FSPO is also accountable to the Public Accounts Committee and to other Oireachtas Committees under Sections 22 and 23 of the 2017 FSPO Act. In recent years, the FSPO has appeared regularly before the Committee on Public Petitions and the Ombudsmen.
In the UK, the Independent Assessor is appointed by the Board of the Financial Ombudsman Service and can consider complaints made about the standard of service provided by the UK Financial Ombudsman Service. This process covers the practical handling of a complaint, but it does not include disagreements about the outcome of a complaint investigation.
Further, unlike the UK, the FSPO imposes no such restriction on the investigation of customer service complaints received during the course of an active complaint investigation.
167. Deputy Pearse Doherty asked the Minister for Finance if he will clarify the jurisdiction of the FSPO with respect to complaints made regarding entities that were not regulated by the Central Bank prior to a particular date, where the complaint concerns a time prior to that date; and if legislative provisions are possible to address this. [6019/24]
View answerConsumers can make a complaint against a “financial service provider", as defined in section 2 of the Financial Services and Pensions Ombudsman Act, 2017, as amended (the “2017 Act”). This definition includes a “regulated financial service provider” within the meaning of section 2(1) of the Central Bank Act 1942, as amended.
The functions and powers of the Ombudsman are prescribed by the 2017 Act.
Where a complaint is made against a provider who was not a “regulated financial service provider at the time the conduct complained of is said to have occurred, the FSPO does not have jurisdiction to investigate the conduct which is the subject matter of the complaint against that provider.
If a complaint is made concerning conduct on dates when a provider was unregulated but also conduct on dates after it became regulated the FSPO has jurisdiction to investigate the conduct which is said to have occurred on dates after the date the financial service provider became regulated.
168. Deputy Pearse Doherty asked the Minister for Finance the number of complaints (case) handlers operating in the Financial Services and Pension Ombudsman in each of the years 2019, 2020, 2021, 2022 and 2023, respectively; the number of current vacancies for the role of complaint (case) handler at present; and if he will make a statement on the matter. [6020/24]
View answerThe majority of staff employed with the Financial and Pension Services Ombudsman (FSPO) are deemed to handle complaints, primarily as assigned case owners. The exceptions to this are staff working in support areas such as Corporate Services, HR and ICT.
Complaint handlers, as at year end, 31 December 2019, 2020, 2021, 2022 and 2023
|
- |
2019 |
2020 |
2021 |
2022 |
2023 |
|
Total (FTE) |
60.6 |
72.6 |
69.6 |
68.6 |
74 |
Following the approval of the FSPO’s Workforce Plan in December 2023, the sanctioned staff complement in the FSPO was increased from 90.2 to 128, an overall increase of 42% in staffing.
As at 1 February 2024 the number of staff (FTE) is 93. Arising from the approval of the Workforce Plan there are 35 further roles to be recruited, of which 30 relate to complaint handling roles (i.e. excluding support staff).
I am informed by the FSPO that this recruitment process has already commenced.
169. Deputy Pearse Doherty asked the Minister for Finance the number of complaints submitted to the Financial Services and Pensions Ombudsman which are yet to be allocated to a complaint handler, disaggregated by the number of weeks since they were first submitted; the number of complaints submitted to the Financial Services and Pensions Ombudsman which are yet to have a preliminary decision issued disaggregated, by the number of weeks since they were first submitted; the number of complaints submitted to the Financial Services and Pensions Ombudsman which are yet to have a final decision issued disaggregated by the number of weeks since they were first submitted; and if he will make a statement on the matter. [6021/24]
View answerOn receipt by the Financial Services and Pensions Ombudsman (FSPO), all new complaints are reviewed and registered within two business days.
Where the initial review identifies the complaint as “complete” with all relevant information on hand, and compliance steps verified, the file is prepared for referral to the Dispute Resolution Service. Where the initial review identifies that further information or further assessment is appropriate, then the complaint is queued for further assessment, the current average time to assignment is 13 weeks. Of all the complaints currently on hand in the Registration and Assessment process the age by week received is set out in Table 1 below (including Tracker Mortgage related complaints).
There are 5,521 complaints open that have not received a Preliminary Decision. Table 2 breaks down this complaints data by year and month received. It is noted that most complaints are resolved in early stages or through mediation without the need to issue a preliminary decision. Accordingly, many of these complaints will not ultimately require a Preliminary Decision or a Legally Binding Decision, as set out in Table 2 below.
There are 5,583 complaints open and have not received a Legally Binding Decision. Table 3 in the attached breaks down this complaints data by year and month received. It is noted that most complaints are resolved in early stages or through mediation without the need to issue a Legally Binding Decision. Accordingly, many of these complaints will not ultimately require a Legally Binding Decision. See Table 3 below.
I am informed by the FSPO that the data contained in this response is extracted from a live database and therefore depicts complaint information at a specific moment in time. Data in this database is subject to ongoing verification and data categorisation as the understanding of the specific complaint is developed.
170. Deputy Rose Conway-Walsh asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if he will provide an update on the legislative programme. [3500/24]
View answerThe Deputy will be aware that the Government Legislation Programme for the Spring 2024 Session was published on 16 January.
The Spring Legislation Programme sets out that my Department has one Bill on the Legislation for Priority Publication list, which is the Civil Service Regulation and Public Service Management (Amendment) Bill.
My Department also has one item on the Legislation for Priority Drafting list, which is the River Shannon Management Body Bill.
Finally, my Department has four items on the All Other Legislation list – the Ethics in Public Office Reform Bill; the Freedom of Information (Amendment) Bill; the Statute Law Revision Bill; and the Arterial Drainage (Amendment) Bill.
171. Deputy Pearse Doherty asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the first year cost of the recently announced and proposed public sector pay deal; and if, following its implementation, it will require a further revised estimate for 2024. [5897/24]
View answerProposals for a new public service pay agreement – Public Service Agreement 2024 to 2026 were finalised at the Workplace Relations Commission (WRC) on 26th January. Public service unions and associations can be expected to ballot on these proposals in the coming weeks.
The proposed Agreement runs for two and a half years and the total estimated cost amounts to €3.6 billion, of which €1.1 billion falls in 2024. In total, the Agreement provides for increases of 10.25% over the two and a half year period. This is made up of general round increases totaling 9.25%, as well as a provision for a Local Bargaining mechanism equivalent to 1% of the basic pay cost.
The Revised Estimates for 2024 provided for an allocation of €700 million in respect of a future public service pay agreement, which was being negotiated at that time. The additional €400 million, upon ratification of the agreement, will be provided to departments as required through supplementary estimates later in 2024.
172. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if he is considering the high cost of accommodation as a significant factor in recruitment and retention challenges; and what considerations will be given to this. [5955/24]
View answerAs the Deputy is aware, a broad range of factors, of which accommodation costs is only one, influences staff recruitment and retention. As a result of Ireland's robust economic growth, unemployment is low and labour market conditions are tight. Labour and skills shortages are presenting recruitment and retention challenges for employers across the labour market, including the civil and public service.
Despite this, staff numbers in the public sector have continued to grow consistently. Between 2015 and Quarter 3 of 2023, the most recent data available to my Department, overall estimated public service numbers in full-time equivalent terms increased by almost twenty-nine percent , from 302,000 to 389,070. Staff numbers are estimated to increase to 407,000 in 2024, an increase of almost 8 percent over the two-year period from end-2022.
The public service is a good employer and continues to offer competitive pay and other terms and conditions to attract and retain staff, including flexible working arrangements, pension provision and secure employment. In the case of recruitment policy in the civil service, for which I have policy responsibility, my Department works closely with the Public Appointments Service and other Government Departments to achieve the objectives set out by the Civil Service Renewal 2024 Action Plan to ensure that the State remains an employer of choice.
In relation to remuneration, pay in the public service has been governed by a system of collective agreements since the negotiation of the Croke Park Agreement in 2010.
Proposals for a new public service pay agreement – A Public Service Agreement 2024 to 2026 was reached at the Workplace Relations Commission (WRC) on 26 January 2024. Public service unions and staff associations are expected to ballot on these proposals in the coming weeks.
The Agreement runs for two and a half years and the total cost amounts to €3.6 billion.
In total, the Agreement provides for increases of 10.25% over a two and a half year period. This is made up of general round increases totalling 9.25%, as well as a provision for a Local Bargaining mechanism equivalent to 1% of the basic pay cost.
This Agreement, like its predecessor, is weighted towards lower paid public servants. Over the lifetime of the agreement, the lowest paid public servants will see cumulative benefits of up to 17.3%, inclusive of the local bargaining provision. This is a progressive approach, which ensures that those who are most vulnerable to inflation and cost of living issues will see the greatest increase in their pay
The following pay adjustments will apply over the lifetime of this Agreement:
2024
• A general round increase in annualised basic salary for all public servants of 2.25% or €1,125, whichever is greater, on 1 January 2024.
• A general round increase in annualised basic salary for all public servants of 1% on 1 June 2024.
• A general round increase in annualised basic salary for all public servants of 1% or €500, whichever is greater, on 1 October 2024.
2025
• A general round increase in annualised basic salary for all public servants of 2% or €1,000, whichever is greater, on 1 March 2025.
• A general round increase in annualised basic salary for all public servants of 1% on 1 August 2025.
2026
• A general round increase in annualised basic salary for all public servants of 1% or €500, whichever is greater, on 1 February 2026.
The Agreement also provides for a new local bargaining process that will enable employers and grades, groups and categories of public servants to address issues involving changes in structures, work practices or other conditions of service. The Local Bargaining provision of 1% will be implemented in September 2025.
173. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if he will consider the establishment of a state-run construction company to assist in achieving the National Development Plan goals and particularly the urgent need to address the housing crisis and critical infrastructure development. [5956/24]
View answerAs the Deputy is aware the Land Development Agency was established in 2018. The Land Development Agency’s (LDA) main purpose is to maximise the supply of affordable and social homes on public land in a financially sustainable manner. The LDA is a commercial, State-sponsored body that has been created to coordinate land within public control to provide affordable and social homes and build communities across the nation.
The ESRI published its report titled 'The National Development Plan in 2023: Priorities and Capacity' on 12th January 2024. The ESRI report acknowledges that it is clear that an accelerated NDP will create levels of labour demand in the construction sector where supply is simply unavailable. The report goes on to say that the effect of injecting additional demand is likely to lead to construction wage inflation and the drawing of labour away from other sectors.
In light of the ESRI report the question of establishing a State backed construction company would need careful consideration, notwithstanding the length of time it would take to establish such an entity in terms of legislation. It would also have to compete with private sector companies in an already constrained employment market and be funded by the taxpayer.
174. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the degree to which reforms throughout the public sector remain in place to ensure accountability, collective responsibility and good value for money; and if he will make a statement on the matter. [5981/24]
View answer176. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which he continues to rely on reform as a means of meeting public expenditure challenges ahead; and if he will make a statement on the matter. [5983/24]
View answer177. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent if any to which public expenditure and reform strategies need to be revised to meet any challenges in the short to medium term; and if he will make a statement on the matter. [5984/24]
View answer179. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent, if any, to which various Government Departments can be rewarded for adherence to public expenditure and reform guidelines while maintaining maximum level of service; and if he will make a statement on the matter. [5986/24]
View answerI propose to take Questions Nos. 174, 176, 177 and 179 together.
I set out the comprehensive approach Government is taking to public expenditure policy in the Medium Term Expenditure Strategy (MTES) and the budgetary and expenditure reforms in my reply to the Deputy in PQ reference number 5989/24. In addition, my Department is leading on an ambitious programme of change to deliver better public services.
I launched the Public Service Transformation Strategy, Better Public Services, in May 2023. The strategy is aimed at delivering tangible outcomes for the public and building trust in public institutions in particular by placing users at the centre of service design and delivery. It also aims to support the Public Service to become more innovative and agile with an enhanced ability to work together to improve the lives of the people of Ireland. Key priorities for delivery under the pillars of the strategy include:
• Embedding service design in the public service, through the implementation of the ‘Action Plan for Designing Better Public Services’ which is a roadmap for embedding a design mind-set in the development and delivery services;
• Developing of a Digital Life Events Service and Government Digital Wallet, which will use a design-led approach to develop an online service providing citizens with better access to key ‘life events’ services in an equitable, inclusive and sustainable manner;
• Promoting and advancing the use of new and emerging technologies, such as Robotic Process Automation and Artificial Intelligence, to transform and deliver new and better services, reduce costs, creative efficiencies, and provide enhanced value to the public and
• Establishing the public service as an employer of choice by attracting, retaining, and upskilling and developing its staff, commencing with the development of a Public Service apprenticeship model in accordance with the commitments in the Action Plan for Apprenticeship 2021-2025.
Better Public Services is aligned with the ten-year strategy for the Civil Service, Civil Service Renewal 2030 which is built on three core themes – Digital First and Embedding Innovation; Workforce, Workplace and Organisation of the Future, and Evidence-Informed Policy and Services. It is also aligned Connecting Government 2030: A Digital and ICT Strategy for Ireland’s Public Service thereby providing a coherence of reform across the civil and wider public service.
The Public Service Leadership Board (PSLB) provides collective and collaborative leadership for public service reform and development. The board includes Secretary General/CEO level participation drawn from the Civil Service Management Board (CSMB) and representation from a broad range of public service organisations.
There is a strict control and accountability framework in place for the use of public monies. The objective of the framework is to ensure that all public monies are expended for the purpose of and in accordance with the laws under which they were approved. The fundamental principle is that there should be transparency and accountability in the management of public money, in line with economy, efficiency and effectiveness. As part of the broader approach to ensuring value for money, the introduction of shared services and centralised procurement in earlier phases of reform have been further integrated in public service operations and expanded into new areas. These expansions will continue and we are exploring new areas to further embed reforms that will enhance the cost-effectiveness of public services; for example, through leading or enabling digitalisation of key public services, automation, innovation, new ways of working and service design.
175. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the degree to which his Department continues to monitor the impact of Brexit on the public and private sectors with a view to addressing such issues; and if he will make a statement on the matter. [5982/24]
View answerThe Government has made significant allocations across a range of sectors to counter the effects of Brexit since the UK withdrawal referendum in 2016, including through the European Union’s Brexit Adjustment Reserve (BAR).
The BAR provides support to counter the adverse economic, social, territorial and, environmental consequences of the withdrawal of the UK from the European Union. In order to be eligible for BAR funding, expenditure must fall within the BAR eligibility period for expenditure that runs from the 1st of January 2020 to the 31st of December 2023. The application for BAR funding must set out the negative impacts of the withdrawal of the UK from the European Union and how the measures carried out under the Fund alleviate the adverse consequences.
As part of the work to prepare the BAR claim to be submitted to the Commission in September 2024, my Department continues to engage on an ongoing basis with those Departments who have sought funding from the BAR to address Brexit impacts.
178. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the extent to which his Department continues to monitor public contracts with a view to achieving optimum value for money while at the same time facilitating an expeditious process leading to increased efficiency; and if he will make a statement on the matter. [5985/24]
View answerEach individual Accounting Officer is responsible for the monitoring of performance of public contracts under his or her remit and for ensuring that the public procurement function is discharged in line with the standard accounting and procurement rules and procedures efficiently and effectively to deliver maximum value for money for the taxpayer.
Public Procurement is governed by EU legislation and national rules and guidelines with the aim of promoting an open, competitive and non-discriminatory public procurement regime which delivers best value for money. All Irish public bodies are obliged to spend or invest public funds with care, and to ensure that optimal value for money is obtained in accordance with the Public Spending Code which sets out the rules and procedures to ensure that these standards are upheld across the Irish public service.
The Office of Government Procurement (OGP), an office within my Department, has responsibility for the National Public Procurement Policy Framework (NPPPF) which sets the overarching policy framework for public procurement in Ireland. The NPPPF consists of 5 strands: Legislation (Directives, Regulations); Policy (Circulars, etc.); General Guidelines; the Capital Works Management Framework (CWMF); and detailed technical guidelines, template documents and information notes that issue periodically. This framework enables a consistent approach to public procurement across the public sector to deliver value for money for the taxpayer.
To assist Contracting Authorities in the conduct of procurement procedures, the OGP has published extensive guidance material for contracting authorities including the Public Procurement Guidelines for Goods and Services (the Guidelines) available at: www.gov.ie/en/publication/c23f5-public-procurement-guidelines-for-goods-and-services/ and the Capital Works Management Framework (CWMF) available at: www.gov.ie/en/service/1d443-capital-works-management-framework/# .
The Guidelines outline the various stages of the procurement process from specification, through to selection and award stages, and through to the contract management stage. They provide comprehensive guidance on ensuring the specifications fully and accurately capture the requirement of the goods or services and identify the risks of poor specification and the challenges that this can cause Contracting Authorities when subsequently managing their contracts. The OGP and its sector partners in Health, Education, Local Government and Defence have a range of centralised procurement frameworks and dynamic purchasing systems in place in respect of sixteen categories of common goods and services to minimise administration and to deliver enhanced service levels and value for money promptly and efficiently. Contracting authorities are encouraged to check the Office of Government Procurement website for existing or planned procurement arrangements which may meet their needs.
All public works projects that are delivered under the Exchequer-funded element of the Government's capital plan must be procured in accordance with the provisions laid down in the Capital Works Management Framework (CWMF). The CWMF is mandated by circular and was developed to provide an integrated set of contractual provisions, guidance material, technical templates and procedures, which cover all aspects of the delivery process of a public works project from inception to final project delivery and review to assist contracting authorities in meeting their ongoing procurement requirements. The Public Works Contract is a key component of the CWMF. It is a lump sum contract which operates best when tendered on the basis of a comprehensively designed project. A well-defined project enables greater efficiency since it provides the necessary information up front so the contractor can schedule the works and commence early engagement with their sub-contractors on price.
180. Deputy Bernard J. Durkan asked the Minister for Public Expenditure, National Development Plan Delivery and Reform the degree to which value for money targets continue to be met by various Government Departments; and if he will make a statement on the matter. [5987/24]
View answerAs Minister for Public Expenditure, NDP Delivery and Reform, I am responsible for setting the overall allocations across Departments and for monitoring monthly expenditure at Departmental level. I am also responsible for maintaining the national frameworks within which Departments operate to ensure appropriate accounting for and value for money in public expenditure such as the Public Spending Code and Infrastructure Guidelines.
The ongoing dialogue between my Department and other Departments and Offices is part of the monitoring process for ongoing expenditure and any developments throughout the year. Management and delivery of investment projects and public services within allocation and the national frameworks is a key responsibility of every Department and Minister and measures are in place to help ensure that budgetary targets are met. My Department monitors the performance of that expenditure within the overall fiscal parameters and the drawdown of funds from the Exchequer 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.
