Wednesday, 4 June 2014

Ceisteanna (76, 81)

Bernard Durkan

Ceist:

76. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which the targets identified in the Haddington Road agreement remain on course; and if he will make a statement on the matter. [23924/14]

Amharc ar fhreagra

Bernard Durkan

Ceist:

81. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform if in the context of the Croke Park agreement and Haddington Road agreement, cost reductions in line with other adjoining jurisdictions have been achieved to date; and if he will make a statement on the matter. [23929/14]

Amharc ar fhreagra

Freagraí scríofa (Ceist ar Public)

I propose to take Questions Nos. 76 and 81 together.

It is important to note that public servants have made a significant contribution to our overall fiscal recovery to date. In this context, the Public Service Exchequer Pay Bill has been reduced by 22%, from €17.5 billion gross in 2009 to an estimated €13.6 billion net by the end of 2014.

In relation to the Croke Park Agreement, I am satisfied that the Agreement delivered on its objectives, facilitating the delivery of €1.8 billion in cost reductions over its lifetime, a view shared by the Implementation Body in their final report. 

As the Deputy is aware, the Haddington Road Agreement will facilitate a €1 billion reduction in the Public Service Pay and Pensions 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.  

In 2013, the Public Service Exchequer Pay Bill reduced by €210 million. This reduction was enabled, in part, by the implementation of various measures under the Haddington Road Agreement which helped to ensure that spending remained in line with profile and resulted in Ireland delivering on our fiscal target for 2013.

To date, over 75% (€762 million) of the €1 billion savings target has been allocated to the various Votes and other non-Exchequer sources as appropriate, approximately €300 million of which was allocated in 2013 and a further €462 million in 2014.

The focus is now on the comprehensive delivery of the Agreement and that task falls to public service management and each Department's Accounting Officer  to deliver the required level of savings to ensure that their respective pay bill targets are met.

Question No. 77 answered with Question No. 74.