Heather Humphreys (Cavan-Monaghan, Fine Gael) | Oireachtas source

I thank the Chairman and members of the committee for the invitation to attend here today to discuss and seek approval for the Revised Estimates for 2022 for the Department of Rural and Community Development.

First, I wish to thank members for their pre-budget submission and for their continued interest in and support for the work of the Department. We have a huge amount in common in terms of priorities, and both the Our Rural Future policy and the five-year strategy to support the community and voluntary sector in Ireland provide a clear sense of direction for the development of these areas.

When it comes to resources in general, and the budget in particular, there is always the challenge of prioritising within limited resources. I have given a lot of thought to this during the budget settlement to ensure that the resources provided to my Department are put to best use.

Members will be aware that the Department's functions are delivered across three programme areas, namely, rural development including the islands; community development; and charities regulation. Gross expenditure of €378.6 million is budgeted for 2022, which consists of €186.6 million in current expenditure and €192 million in capital expenditure. My Department also has a capital carry-over of €16.86 million from 2021 into 2022. As for the split across programme areas, €202.3 million is allocated for the rural development and the islands programme area, with €11.86 million of the capital carry-over also intended for use in this area; €171.7 million is allocated for the community development programme, with €5 million of the capital carry-over also intended for use in this area; and €4.6 million is allocated for the work of the Charities Regulatory Authority.

The €202.3 million provided for the rural development programme, including islands, is made up of €169.2 million in capital funding and €33 million in current funding. Capital funding is of particular importance for the rural development programme, and through the revised national development plan we have secured increased capital funding out to 2025. For the Department as a whole, capital funding is increasing from €169 million in 2021 to €192 million in 2022 and then to €205 million by 2025.

I believe that this positive outcome to the review of the national development plan reflects the impact this funding is having on the ground. Schemes such as LEADER, the rural regeneration and development fund, town and village renewal, outdoor recreation, CLÁR, and the local improvement schemes are playing a vital role in revitalising our rural areas and ensuring they remain attractive and vibrant places to live and work. These schemes are now embedded as vital supports for rural areas and our communities and the Revised Estimates will see funding for all of these schemes increased. For example, LEADER funding will increase from €44 million to €48 million; the town and village renewal scheme funding will increase from €20 million to €22 million; CLÁR funding will increase from €5.5 million to €7 million, and the outdoor recreation fund will increase from €12 million to €15 million.

The capital funding also provides us with the capacity to deliver the necessary investment for our islands over the coming years. Throughout the pandemic we have also shown how this Department can be proactive and dynamic with capital investment. By investing in connected hubs and streetscapes, we are helping rural Ireland to adapt to, and benefit from, the changes to how we work and live. These types of investment can also play a significant role in meeting climate action goals and improving quality of life, reducing commuting, helping people to work and shop locally and allowing people to spend more time with their families and communities.

The pandemic made us focus on these issues more than ever and I am pleased that the increased level of funding available for my Department in 2022 will help to support improved quality of life across rural Ireland. The Revised Estimates also provides enhanced current funding for the rural development programme, increasing from €26.7 million in 2021 to €33 million in 2022. This increased funding will support continued implementation of Our Rural Future, including, for example, an additional €2 million to support the walks schemes and rural recreation in general, and €2 million to support implementation of the town centre first initiative. Overall, this planned investment of over €200 million in the rural development programme will be vital in supporting the economic and social development of rural Ireland, and making rural Ireland an attractive place to live and work.

I will now turn to the community development programme area, and the Minister of State, Deputy Joe O’Brien, is here today with me to discuss this area. The Revised Estimates will see a funding allocation of €171.7 million for this area in 2022, which consists of €148.9 million in current funding and €22 million in capital funding.

This represents a core funding increase of €13 million compared to 2021. The community services programme, CSP, and the social inclusion and community activation programme, SICAP, are the largest schemes within the area with combined funding of almost €100 million planned for 2022. Funding for the CSP is being maintained at €48.9 million for 2022 while funding for the subhead which includes the SICAP will increase from €45 million in 2021 to €51 million in 2022. This will allow a 10% increase in funding for the SICAP to approximately €44 million per annum. It will also provide new funding of €2 million for a new empowering communities programme which will implement a community development approach towards tackling extreme area-based disadvantage.

The Revised Estimate also provides additional funding of €800,000 for the scheme to support national organisations, SSNO, increasing that allocation up to €6.7 million for 2022.

An additional €5 million is being provided within the community enhancement programme area to facilitate the establishment of a grant scheme for community centre upgrades which is committed to in the programme for Government. I anticipate huge demand for that fund so I am discussing with my officials a plan to use some of our capital carry-forward in order that we can increase the funding available for community centres.

I have said before that this might be a small Department but that it is making a big impact. The increased funding for 2022 will help to ensure continued strong implementation of Our Rural Future to support communities right across the country and to make sure that we support a recovery that improves quality of life for people and communities. In allocating the resources provided to my Department I have targeted them where they can have the greatest impact. This aligns with many of the priorities identified by this committee, for example, strong funding for the LEADER programme, increased CLÁR funding, capital funding for important islands infrastructure, the establishment of a grant scheme for community centre upgrades and increased funding for the SSNO. Approval of this Estimate will ensure further strong progress in delivering on rural and community development in 2022.

I thank committee members for their time and along with my colleague, the Minister of State Deputy Joe O’Brien, I am happy to answer any questions they may have.