Mr. Colm Desmond:

The Minister for Public Expenditure and Reform sets out the approach he is taking to budgetary parameters overall in the late spring or summer period. That gives an indication to all Departments of the scope for managing within the existing allocation and planning for the year ahead. Planning for the budgetary allocation is guided by that from the beginning. The HSE is invited to submit its bids and the Department and the HSE then engage in the late spring and summer period in a detailed manner, to interrogate the application by the HSE in all its different components right across all the sectors, including workforce, pensions, pay and so on. Having interrogated the HSE thoroughly, the Department of Health will then engage with the Department of Public Expenditure and Reform. HSE officials are available to and participate on the detail with Department of Public Expenditure and Reform officials in respect of determining the basis upon which the demand stands. They will usually arrive at a quantum, which is agreed to be the requirement for the health sector, or at least what the health sector, through the Minister and his officials, seeks from the Minister for Public Expenditure and Reform. As with all Departments, demand is invariably greater than what is available from the global amount available to the Minister for Public Expenditure and Reform under his budgetary parameters. It is, therefore, a question of discussion and negotiation in the period leading up to the budget as to how the Department's budget is allocated for the year.