Dáil Éireann díospóireacht -
Tuesday, 3 Mar 1998

Vol. 488 No. 1

Written Answers - Non-Capital Supply Services.

Michael Noonan

Ceist:

58 Mr. Noonan asked the Minister for Finance the impact of Government decisions since the December 1997 budget on the estimated net non-capital supply services outlined in his multi-annual budget for 1999; the principal components of any changes, including increases in Appropriations-in-Aid; the estimated savings, if any, on existing services; and if he will make a statement on the matter. [5592/98]

Minister for Finance (Mr. McCreevy)

The figure for net non-capital supply services in 1999 published as part of the multi-annual presentation of the 1998 budget represents the projected cost in 1999 of maintaining the existing level of programmes and services as provided for in the expenditure estimates set out in the 1998 Abridged Estimates Volume adjusted for changes announced in the budget i.e. a "no policy change" projection of spending in 1999.

Since the budget, a number of additional cost pressures have emerged, most of which have arisen due to estimating or technical factors, for example, in the case of certain demand led schemes and programmes. Where the Government has taken decisions involving additional cost, it has sought, in so far as possible, to meet those costs from within the existing allocations and thereby minimise the impact on the multi-annual no policy change costings published in the budget.

The additional costs which have arisen since the budget have been substantially offset by savings which have emerged, mainly on the Social Welfare Estimate. The bulk of these savings arise due to an estimated increase in PRSI revenue reflecting the increased tax buoyancy in the economy generally. The savings are sufficient to offset nearly all of the additional costs which have emerged since the budget and the overall impact on the 1998 non-capital supply services Estimates and the 1999 "no policy change" projections is therefore minimal.

The details of all the changes since the budget in the 1998 Estimates for non-capital supply services will be included in the Revised Estimates for Public Services which I plan to publish around the middle of March.