Oireachtas Joint and Select Committees

Wednesday, 21 September 2016

Committee on Budgetary Oversight

Current and Capital Expenditure: Minister for Public Expenditure and Reform

2:00 pm

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

We do that when the Cabinet meets. We can see how that worked. It is the reason the health allocation for this year was changed in an early part of the year, as the health Estimate was increased by €500 million. We also increased the justice Estimate by €40 million because the ability to make such changes without an associated change in our ability to raise revenue will be dramatically reduced in comparison with previous years. I have flagged very clearly in the mid-term expenditure report that we have some other risks that must be managed. I have clearly articulated what they are. There is a particular need to repair our local road network in the aftermath of the flooding earlier in the year and there are also capital costs in the Department of Educations and Skills.

The question was how this would be managed across next year. That is why the meetings in which I am engaged with all my colleagues are so important. We need figures for current services that are credible. A major help in this area has been the introduction of the demographics parcel of funding already recognised in the summer economic statement. When I sit down with colleagues, we can point out the additional funding needed to allow current services to stand still, allow more pupils come to school or deal with people getting older. That area has been of major help for the discussions I am having now. There is still a need to have discussions with colleagues that are realistic. All my ministerial colleagues and I will have to come to the relevant sectoral committee and state how the money was allocated, including activities that were meant to be delivered, and it will have to be reviewed throughout the year. That is different from what we saw in previous years.

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