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Public Expenditure Policy

Dáil Éireann Debate, Thursday - 2 March 2017

Thursday, 2 March 2017

Ceisteanna (148, 149, 150, 151, 152, 159)

Bernard Durkan

Ceist:

148. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform if he is satisfied that all Government Departments and bodies under their aegis remain within the required expenditure and reform guidelines; and if he will make a statement on the matter. [11010/17]

Amharc ar fhreagra

Bernard Durkan

Ceist:

149. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform if expenditure and reform principles will continue to remain a feature of Government policies over the next three years; and if he will make a statement on the matter. [11011/17]

Amharc ar fhreagra

Bernard Durkan

Ceist:

150. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the sectors that have most obediently adhered to expenditure and reform guidelines over the past five years; his plans to ensure reward for such compliance; and if he will make a statement on the matter. [11012/17]

Amharc ar fhreagra

Bernard Durkan

Ceist:

151. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the sectors that have not followed or have breached public expenditure and reform guidelines; the extent to which agreement can be reached with such groups in the near future; and if he will make a statement on the matter. [11013/17]

Amharc ar fhreagra

Bernard Durkan

Ceist:

152. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which public expenditure and reform will remain a feature of Government in the future; and if he will make a statement on the matter. [11014/17]

Amharc ar fhreagra

Bernard Durkan

Ceist:

159. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the degree to which he expects public expenditure constraints and reform policies effective in the context of economic recovery to be used as a basis for prudent economic development in the future; if he expects to implement innovation in this regard in the future to maximise economic benefit; and if he will make a statement on the matter. [11022/17]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 148 to 152, inclusive, and 159 together.

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 in relation to voted expenditure is published monthly with the Exchequer Returns.

Total gross expenditure to end-December 2016 amounted to €56 billion which was €142 million or (0.3%) ahead of profile with 12 out of 16 Ministerial Vote Groups broadly in line or below profile. Where Vote Groups were ahead of profile this reflected specific policy decisions to allocate funds by way of Supplementary Estimate for transport infrastructure repairs, school building, capital expenditure in the Department of Jobs, Enterprise and Innovation and for a Christmas Bonus for long term social welfare recipients. The performance in 2016 indicates the commitment of Departments to manage expenditure within allocations.

As set out in Expenditure Report 2017, in the three year period since 2014, gross voted expenditure is set to have increased by 9%. Given our recent history and the impact that the economic crisis had on society, this represents a level of growth that is prudent and responsible. As we plan for further prudent growth in expenditure, the effective management of expenditure by Departments will remain a key priority. 

Public Service Reform was a central element of the response to the challenges of recent years and remains an essential part of building for the future.  A comprehensive Progress Report on the Public Service Reform Plan 2014-16 was published in April 2016.  The report was sent to all Deputies and is also available at www.reformplan.per.gov.ie.  We must build on this progress and maintain a focus on Public Service Reform over the coming years.  It is essential that targeted recruitment and investment in public services is done in tandem with further Public Service reform measures, not least as current and future demographic trends will continue to place demands on public service delivery.

In addition to overseeing the final phase of the implementation of the current Reform Plan, I have asked my Department to initiate the development of the next phase of Public Service Reform. In this context, I can assure the Deputy that Public Service Reform remains a key priority for this Government and for the public sector.   

Stable and sustainable public finances are essential if we are to provide the necessary infrastructure to encourage economic growth and job creation and continued delivery of core public services for our citizens. In this context, the Government is committed to increasing public expenditure on a sustainable basis to meet the additional costs arising from an ageing and growing population and to provide for targeted improvements in public services all within the framework of what is permissible under the EU Fiscal Rules.  The expenditure allocated in the Revised Estimates Volume (REV) 2017 will support the delivery of key priorities with funding provided, for example, to: additional staffing in Health, Justice and Education; progressing the Action Plan for Housing in 2017; the introduction of a new single Affordable Childcare Scheme; and a number of increases to Social Welfare rates.

As the Deputy is aware, the Capital Plan is now being reviewed to ensure that capital spending is aligned with national economic and social priorities, consistent with the Programme for a Partnership Government. A key goal of the review is to focus available capital resources on investment that that can best underpin sustainable economic growth and social progress and enhance Ireland's future growth potential.

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