Dáil Éireann Debate, Thursday - 19 November 2015
10. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which he expects the targets set by his Department to be met by all Government Departments in the course of the coming year; if he is satisfied that prudent relaxation of expenditure curtailments will drive economic progress, without creating inflationary tendencies, or threatening competitiveness; and if he will make a statement on the matter. [40574/15]
Amharc ar fhreagraThe Deputy will recognise the success achieved over the term of the present Government in meeting its key fiscal targets each year. As a result Ireland is on course to exit the Excessive Deficit Procedure at the end of 2015 with a forecast General Government Deficit of 2.1% for the year.
In implementing the expenditure reductions required to return sustainability to the public finances, the Government's priority has been to protect key public services and social supports to the greatest extent possible. Budget 2016 was, therefore, framed in a manner which was consistent, not only with fiscal responsibility, but also with ensuring careful allocation and investment of public money in prudent ways to ensure the maximum benefit to society, with over 80% of all current expenditure allocated to the areas of Health, Social Protection and Education.
Managing the delivery of public services within Budgetary allocations is a key responsibility of each Minister and their Department, and important measures are in place to help ensure that these budgetary targets continue to be met. My Department is in regular communication with all Departments and Offices to ensure that expenditure is being managed within the overall fiscal parameters. The drawdown of funds from the Exchequer is monitored against the published expenditure profiles. There is regular reporting to Government on these matters, and information is published monthly, as part of the Exchequer Statement.
The multi-annual voted expenditure ceilings in place secure greater transparency in the allocation of resources across Government Departments over a three year horizon. They also facilitate the work of the Oireachtas in engaging with Ministers and their Departments on their spending priorities.
The progress achieved in restoring the public finances is evidenced by the fact that from the beginning of next year, Ireland will be subject to the requirements set out under the preventive arm of the Stability and Growth Pact. In that context it will be essential that Departments prudently manage delivery of services within their voted allocations maintaining our hard-won fiscal stability and helping to support competitiveness, low inflation and economic progress.
