Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I thank the Chairman for the opportunity to appear before this select committee to consider the 2019 Estimates for Votes 1 to 6, inclusive. The committee was supplied with a detailed briefing document on the various Votes in advance of this meeting. I will outline the work of my Department and its proposed 2019 Estimate as well as the proposed 2019 Estimate for the President's Establishment, the Office of the Attorney General, the Office of the Director of Public Prosecutions and the Office of the Chief State Solicitor. While I have certain responsibilities to the Oireachtas for administrative matters in these offices, they operate independently of my Department. My colleague, the Minister of State and Government Chief Whip, Deputy Seán Kyne, will outline the 2019 Estimate allocations for the CSO and will take any questions relevant to that Vote following the committee's consideration of the other Votes in my Vote group. I am joined today by Mr. Martin Fraser, Secretary General of my Department, Mr. Denis Breen, head of corporate affairs, and Ms Geraldine Butler, finance officer.

The Estimate for Vote 1, the President's Establishment, for 2019 is €4.43 million. That includes €3 million for pay and administration, with the balance of funding for the centenarian's bounty. The 2019 revised Estimate for Vote 2, the Department of An Taoiseach, is €35.26 million, which includes €22.52 million for staff and administration costs. The primary role of my Department is to support me in Executive functions as Taoiseach, to support the Government and to oversee the implementation of the programme for Government. It also supports four Ministers of State who are assigned to the Department. These are the Government Chief Whip and the Ministers of State with responsibility for defence, for European affairs and for data protection. The latter is also assigned to a number of other Departments.

In addition to assisting my work as Taoiseach and that of the Government, the Department's strategic priorities are as follows: building a sustainable economy; building a better and fairer society; building strong relationships in Europe and the rest of the world; Brexit; and future planning. The Department is also responsible for a range of other issues such as State protocol, including, for example, the papal visit last August, national commemorations and the organisation of the presidential inauguration ceremony and State reception last November. The Department also engages in the formulation and implementation of Government policy and advises me on the full range of domestic policy issues and on international affairs. An important part of my Department's work is providing a secretariat for meetings of the Government and Cabinet committees. The Department also funds a number of inquiries, including the Moriarty tribunal and the Cregan and Cooke commissions. Other areas of responsibility include constitutional issues, relations with the office of the President, relations with the Oireachtas, the Government Information Service, GIS, the National Economic and Social Council, NESC, the policing reform implementation programme office, the Citizens' Assembly and the Dublin North East Inner City Initiative.

Last year, the Government published Project Ireland 2040 which for the first time ever links a national spatial plan with a national development and infrastructure investment plan. It gives us a framework for future development that will enable us to grow over the next 20 years in a manner that provides for better and sustainable regional balance, less commuting and greater vibrancy in our villages, towns, cities and rural areas. Ireland continues to experience sustainable and balanced economic growth. Employment continues to rise and now stands at just under 2.3 million, a record high. Unemployment was down to 5.7% in January, the lowest since August 2008. The Government’s focus now is on achieving full employment, that is, a job for everyone who wants one and on ensuring that the jobs created are quality jobs. By this I mean jobs that raise living standards, reward employees and provide for protections and pensions. Quality jobs must go beyond salary and include good working conditions and benefits, including pension coverage on retirement. Last year, alongside the Ministers for Employment Affairs and Social Protection and Finance, Deputies Regina Doherty and Donohoe, I published a five year roadmap for pension reform, including the introduction of an auto-enrolment pension scheme for private sector workers, with first enrolments taking place in 2022. A wide-ranging public consultation has been completed and the Government will shortly make decisions on the next steps.

The enactment of the Technological Universities Act means our focus is now on working with the various consortia to get these new technological universities up and running. Project Ireland commits the Government’s financial resources to the development of technological universities, with a particular focus on the establishment of a technological university in the south east where there is currently no university.

Under Project Ireland 2040, €21.8 billion is committed to the objective of transitioning to a low-carbon and climate resilient society. This is the highest amount allocated to any of the ten national strategic objectives of the plan. We have strengthened existing measures such as retrofitting homes to improve energy efficiency. We have also made major decisions such as the banning of the registration of any new non-zero emission cars from 2030 onwards and taking coal off the national grid by 2025 and replacing its use at Moneypoint with a cleaner alternative.

It is important to Government that gains from the growing economy and prosperity are shared fairly with all Irish citizens and felt in all parts of the country. We want to create a society in which there is true equality of opportunity and where nobody feels left behind. The Department supports the work of shaping and reforming public services, especially those requiring a cross-Government response, through the Cabinet committee structures.

Over the recent period, Government has introduced reforms that seek to improve lives and living standards. To ensure the youngest in society are provided with the best possible start in life and afforded every opportunity to grow into engaged and active citizens, the Government launched First 5, A Whole-of-Government Strategy for Babies, Young Children and their Families. This is very much led by the Minister for Children and Youth Affairs but is a cross-Government strategy. The aim is to assist families and babies at this critical juncture in their lives, create a well-functioning early childhood system and broaden the range of options for parents to balance working and caring. As part of this, Government announced an additional two weeks paid parental leave in the first year of a child's life to take effect from November. Government has also made significant progress in delivering the affordable childcare scheme. The scheme’s primary legislation, the Childcare Support Act 2018, has been enacted with work on regulations, policy guidelines and IT systems ongoing.

During 2018, a set of actions to improve gender equality were advanced, including efforts to reduce the gender pay gap, promote wage transparency and increase women's membership on State and corporate boards. The Government approved a General Scheme of the Gender Pay Gap (Wage Transparency) Bill. The Bill will promote wage transparency by requiring companies to complete a wage survey periodically and report the results showing the gender pay gaps.

Work on the north-east inner city initiative continues with the programme implementation board, which is assisted by my Department, meeting on a monthly basis to oversee and progress the implementation of the 54 actions set out in the Mulvey report. The board recently published its 2018 annual progress report, which highlights some notable achievements, including new gardaí assigned to the area, refurbishment works of the Lourdes day care centre and the Pathways in Technology, P-TECH, initiative in three second level schools to link industry and education through mentorships and internships. The board's aims for 2019 include initiatives to improve supports for families affected by addiction and drug-related intimidation, to build on relationships with local businesses and employers to create sustainable employment and improvements to the physical environment to make the area a better place to live and work.

A new initiative, Better Balance for Better Business, was announced in 2018 to increase women's representation in governance and senior management positions in the private sector. In June 2018, the Government published the world’s first LGBTI+ youth strategy, which aims to create a safe, supportive and inclusive environment for LGBTI+ young people. A youth advisory group was created to ensure that young people were at the heart of the strategic planning process with input from almost 4,000 young people.

Housing and homelessness continue to be among the greatest challenges we are facing as a Government and society. Increasing the supply of housing of all forms is our focus. In 2018, 21,450 new homes became available to live in, of which 18,072 were new dwellings. This is encouraging considering that in 2012, housing output was at less than 9,000 and most of that consisted of one-off houses in rural houses. Progress has been made but it is evident that much more needs to be done. We need to increase this to 25,000 units this year, which is our target. In August 2018, the Government published our Sláintecare implementation strategy, which sets out a vision for the future of healthcare over a ten-year period.

My Department supports me in an extensive programme of international engagement to advance Ireland's strategic interests both within and beyond the EU. In June 2018, we launched Global Ireland 2025, a strategic initiative to double the scope and impact of Ireland's global footprint by 2025. This is the most ambitious renewal and expansion of Ireland's international presence ever undertaken in terms of diplomacy, culture, business, official development assistance, tourism and trade. We have made considerable progress in implementing the Global Ireland strategy. In 2018, Ireland opened a new embassy in Wellington and a new consulate in Vancouver. Throughout 2019, we will open six new embassies and four new consulates. We will also strengthen existing missions and expand our international State agency presence. This increased engagement and presence internationally will enable our Departments and agencies to take on more ambitious targets during the coming years. Also in 2018, the Government launched Ireland's campaign for election to a seat on the UN Security Council for the 2021-2022 term. Our candidature reflects Ireland's continuing engagement on issues of international importance and the centrality of the UN to our foreign policy.

Earlier today, alongside the Tánaiste and Minister for Foreign Affairs and Trade, Deputy Coveney, and the Minister of State, Deputy Cannon, I was pleased to launch the Government's new policy for international development entitled A Better World. This policy sets out the context in which we will increase our official development assistance, ODA, over the coming years and the priorities we will focus on. The policy restates the Government’s long-standing commitment to increasing ODA to 0.7% of national income by 2030. It highlights that Ireland's international development policy will focus on gender equality, reducing humanitarian need, climate action, strengthened governance and the pledge of the sustainable development goals to leave nobody behind and to reach the furthest behind first.

At EU level, Ireland is also actively engaged in the debate on the future of Europe where we have highlighted the need for an ambitious and forward-looking agenda. EU leaders will discuss this further at our informal summit meeting in Sibiu in Romania on 9 May ahead of agreeing a new strategic agenda for the period ahead at the June European Council. The EU is the common European home we have helped to build. As a small country, our experience regarding Brexit has only served to reinforce our commitment to EU membership. Ahead of the summit in Sibiu, it is intended that the Government will publish a statement on Ireland's perspectives on the future of Europe, which will be informed by last year's citizens' dialogue led by the Minister of State, Deputy McEntee, as well as the Oireachtas engagement that will take place in the coming weeks.

The withdrawal agreement agreed last November reflects the Irish Government's priorities in the negotiations on Brexit. These are to protect peace and the Good Friday Agreement and to ensure the continuation of the common travel area in all circumstances. It sets out arrangements required to avoid a hard border on this island in light of the UK Government's own red lines and our need to protect the integrity of the Single Market and the customs union - our Single Market and our customs union. Since the vote in June 2016, we have been very conscious of the need to ensure that the rights and citizenship protections currently available to all the people of Northern Ireland under the Good Friday Agreement are not undermined by the UK's withdrawal. The deal that is on the table contains a commitment from the UK that Brexit will not result in any diminution of the rights, safeguards and equality of opportunity as set out in the Good Friday Agreement. This is a firm undertaking made in a legally binding international agreement.

One of the most striking things about what has unfolded since the UK's decision to leave has been the remarkable solidarity and unity on the EU side. It has been strong and resolute. Ireland's concerns on the Border have become EU concerns. Our insistence on a legally binding and operable means to avoid a hard border has become an EU insistence. In my recent contacts with the Presidents of the EU institutions last week - Presidents Tusk, Juncker and Tajani - I was again assured in the strongest terms that the EU stands by the withdrawal agreement, including the Irish protocol and the backstop therein.

Unfortunately, the political situation in the UK and the rejection of the agreement by Westminster means that the terms on which the UK will depart are unclear. The UK is due to leave the EU on 29 March. Augmenting the ongoing work of my Department's international, EU and Northern Ireland division on Brexit is the Brexit preparedness and contingency planning unit, which assists the Secretaries General group overseeing ongoing work on national Brexit preparedness and contingency planning. The unit works closely with other divisions in my Department, including the economic division, and with colleagues in the Department of Foreign Affairs and Trade, which has overall responsibility for Brexit. The work led by the Tánaiste and Minister for Foreign Affairs and Trade has overseen the detailed preparations for the negotiations at EU level, engagement with the administrations in Belfast and London and the co-ordination of planning around the economic impacts of Brexit. Across Government, relevant Departments, agencies and overseas missions have also been further strengthened to deal with Brexit. Preparation and planning for a range of Brexit scenarios, including contingency planning, was initiated well in advance of the UK referendum. Over the past 18 months, the Tánaiste and Minister of Foreign Affairs and Trade has led efforts to deepen and intensify this planning.

The whole-of-government response to Brexit is underpinned by a comprehensive set of Government structures, which ensure that all Departments and their agencies are engaging in detailed preparedness and planning, including through the development of sectoral action plans.

While the Government and the EU are committed to securing a negotiated outcome, that has not yet been achieved and we are now 29 days away from the UK's withdrawal from the Union. The Government, therefore, considers that preparations for a no-deal outcome must be intensified as the risk of a no-deal Brexit increases day by day, posing unique and unprecedented challenges. The unprecedented risks associated with the departure of the UK from the EU featured strongly in the 2018 National Risk Assessment - Overview of Strategic Risks, published by my Department in August last. Among the geopolitical, social, economic and environmental risks identified were new risks associated with the impact of social media on public debate and elections and the risk of an overheating in the economy. Brexit brings great uncertainty and risks which require steady and strategic management in both our policies and relationships. We must continue to manage the public finances and protect the economy and seek new opportunities to diversify and grow.

Technological developments are transforming lives and driving change in every corner of the world and it is essential that Ireland should be at the forefront of these developments and engage with emerging issues. For this reason, my Department organised the data summit in September 2018 to demonstrate Ireland's leadership in digital and data. The summit brought together stakeholders from across the world to discuss emerging issues such as the ongoing implementation of the GDPR and the implications of artificial intelligence for society. Preparations for a similar event in 2019 are under way.

An advisory group, chaired by the Secretary General of my Department, is developing a vision and roadmap for the Grand Canal innovation district. The advisory group will submit a report to the Government in the second quarter of 2019. It will have a particular focus on strengthening links between existing multinational companies in the area, small and medium enterprises and start-ups and academic and research institutions to build a better innovation ecosystem. The Department, in conjunction with others, is also leading the development of a new overarching national digital strategy. The strategy will set out Ireland's vision and ambition to help Ireland to maximise the economic and societal benefits from ongoing digitalisation and its transformative effects.

My Department also assists the National Economic and Social Council in providing forward-looking, strategic advice on economic, social and sustainable development issues. The current NESC work programme includes housing and land - transport-led development and housing policy; social insurance and the welfare system; and towards a sustainable developmental welfare state and climate change and low-carbon transition. The Secretary General and an assistant secretary from my Department serve as chair and deputy chair, respectively.

Vote 3 is the Vote of the Office of the Attorney General. The 2019 Revised Estimate for the office is €15.59 million. The majority of administrative expenditure relates to staff salaries, which will cost just under €12 million in 2019. The next largest expenditure item is the grant of almost €2.3 million to the Law Reform Commission.

Vote 4 relates to the Central Statistics Office, CSO. As I mentioned, the Chief Whip will present the 2019 Revised Estimate for the CSO to the committee.

Vote 5 is Vote of the Office of the Director of Public Prosecutions. The 2019 Revised Estimate for the office is €42.8 million. The Estimate for 2019 represents a decrease of 2% on the 2018 Estimate. This principal reason for this decrease is a reduction of €1.54 million in input A3 - fees to counsel. This is partially offset by an increase of €540,000 in the provision made in subhead A5, for the local State solicitor service.

Vote 6 is the Vote of the Chief State Solicitor's office. The 2019 Revised Estimate for the office is just over €34.6 million. Salaries, wages and allowances account for just over €18 million out of a total administrative budget of €20.5 million. The remaining €2.4 million is attributable to the general running costs of the office. A provision of €15.8 million is allocated for the payment of legal fees incurred, of which €13.5 million is for counsel fees and €1.3 million for general law expenses, which includes expert witnesses and stenographers. The balance is for use of external solicitors.