Dáil Éireann Debate, Thursday - 13 April 2017
30. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform his Department's current approach to expenditure risk profiling; the way in which this information may be communicated to the budgetary oversight committee and to Dáil Éireann; the way in which this approach is being applied to demand-led public expenditure schemes in 2017; and if he will make a statement on the matter. [18702/17]
Amharc ar fhreagraThe management of the annual Exchequer funding provision allocated to Departments is governed by the rules detailed in Public Financial Procedures. Managing the delivery of public services within Budgetary allocations is a key responsibility of each Minister and their Department. My Department is in ongoing communication with Departments and Offices to ensure that expenditure is being managed within the overall expenditure parameters. The drawdown of funds from the Exchequer is monitored against the published expenditure profiles and this information published monthly, as part of the Department of Finance's Fiscal Monitor.
In addition, extensive data, information and analytical studies on public expenditure are published on a timely basis in support of the whole-of-year approach to the budgetary process. The pre-Budget baseline for Departmental expenditure is provided in the Mid-Year Expenditure Report (MYER), first published by my Department in 2016. The MYER represents the baseline for examination of budgetary priorities by the Government and the Oireachtas. It also identifies any areas where significant expenditure pressures or risks are arising over the course of the year.
Budget allocations are based on detailed costings provided by Departments and on analysis by my Department of expenditure trends, demographic pressures and other drivers of spend.
Based on the expenditure figures reported in the March Fiscal Monitor, no significant spending pressures are evident from the Quarter 1 position. As the Deputy will be aware there is an additional cost of €0.12bn. arising this year from the decision to bring forward to April, from September, a pay increase due under the Lansdowne Road Agreement. This cost is to be met from available public resources taking into account the scope for reallocation of expenditure, while also ensuring that core public services are not adversely impacted. The extent to which Departments are in a position to meet this additional cost will only be determined later in the year. The position will be closely monitored and Government will consider how best to meet any additional funding requirements where the need arises.
My Department is committed to continuing to support and to working to facilitate the important work of the Committee on Budgetary Oversight, as emphasised by officials from my Department during their recent meeting with the Committee.
