Oireachtas Joint and Select Committees

Wednesday, 27 September 2023

Committee on Budgetary Oversight

Pre-Budget Engagement (Resumed): Ministers for Finance and Public Expenditure, NDP Delivery and Reform

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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Yes. I thank the Deputy. This is a key area of engagement between me and the Ministers responsible for those sectors. Currently, we are engaging with their three Departments, which are among the largest spending Departments and, consequently, have a significant impact on our overall spending and budgetary plans. We are examining the funding we need to maintain the current level of service. For example, how many more teachers and nurses are needed to maintain our current commitments to pupils and patients? As that process is completed, we will examine whether it is possible to fund new measures in many of the areas where we would want to see progress being made.

A really important part of how we will build on progress we have made recently and meet the many needs that are there is how we will address the additional capital needs those Departments have to build more homes and more schools. We are already seeing an increase in capital expenditure next year of more than €900 million. Those Departments have had sight of that money now and have had it included in their plans since the Minister, Deputy McGrath, did the NDP. After the budget I will engage with those Departments again to see, out of the additional capital that is available due to the decision that has been made to reallocate some of the temporary corporate tax receipts, if their capital plans need to be strengthened further between now and 2026. That will be a separate process to respond to that.