Vol. 480 No. 2
159 Mr. Coveney asked the Minister for Finance the targets, if any, he has set in the context of the Government's commitment to reduce overall spending as a share of national output; his views on the meaning of overall spending; and the definition of national output which will be used for the purpose of the commitment. [14008/97]
160 Mr. Coveney asked the Minister for Finance the way in which he defines net current spending in the context of An Action Programme for the Millennium; and whether the four per cent limit specified in the programme is an annual limit or an average annual increase. [14009/97]
I propose to take Questions Nos. 159 and 160 together.
As stated in An Action Programme for the Millennium the Government's priorities include limiting net current spending growth to 4 per cent which is broadly equivalent to the 2 per cent growth in real terms agreed in Partnership 2000, and capital spending growth to 5 per cent on average up to 1999. Net current spending comprises net current supply services and central fund services.
Overall Government spending comprises net current supply services spending, central fund services, the Exchequer financed part of the public capital programme and non-programme outlays. The relevant definition of national output is gross domestic product.
The 4 per cent limit relates to the annual average increase up to 1999, with the policy aim of not exceeding that limit, if possible, in any year.
