Noel Dempsey (Meath West, Fianna Fail)

I did not touch it. This is money we brought forward but which we cannot spend because we have not acquired the properties. In addition, some property we intend to purchase now costs less than it did because of the downturn in property prices.

In respect of 2009 the Government has decided that payroll costs must be cut by 3% by the end of the year. The payroll savings will be achieved through a range of measures, including control of numbers recruited, tight management of overtime and other costs. This will pose challenges for the Department but I am confident we can meet them. Savings of 2% in the procurement of goods, services and capital works must also be achieved together with a saving of at least 50% in public relations, advertising and consultancy expenditure. Savings arising from the efficiency review carried out by my Department on foot of the Minister for Finance's budget day announcement will also be taken into account.

This year, my Department will make savings of €1.844 million on publicity campaigns and consultancies. Spending proposals for 2009 will need to be examined critically to comply with the Government's decision. This will be undertaken between now and budget day and my Department is already doing preparatory work so that it can make an effective input to the decision-making process.

A key objective for me is to ensure that the momentum, which has built up in the Transport 21 investment programme over the past two years, is maintained. This investment is of critical importance to sustaining our economic competitiveness. A number of projects have been completed and many more are either under construction or well advanced in planning. Excellent progress is being made on the national roads programme and I am confident that the five major inter-urban routes will be completed by the end of 2010.

New rolling stock and improved services are being introduced across the intercity rail network and the capacity of trams on the Tallaght Luas line has been increased by 40%. In addition, construction is under way on the Luas extensions to Cherrywood and the docklands and on the Cork-Midleton line, the western rail corridor and Kildare route rail projects. Important planning work on public transport projects, including two key strategic projects in Dublin, metro north and the DART interconnector, is progressing well.

A total of €2.6 billion in Exchequer capital has been allocated to Transport 21 projects and programmes in 2008. Due to the policies of successive Fianna Fáil Governments we face the current global economic downturn in a much better position than in previous unfavourable economic conditions. Stripping away the construction sector, the rest of the economy is growing at 4%. We have a young, well educated population capable of adapting to adverse conditions. Previously, our isolated economy meant we only had recourse to tax and spend in difficult times. We are now in a position where, despite the negative global economic megatrends we are exposed to, we can still make choices. The Government has consistently shown it makes the right choices. We are creating efficiencies by reducing the growth in expenditure across a series of areas to redress our budget. We are focusing on those productive areas that will yield the greatest returns to the Exchequer which in time will strengthen the Irish economy.

The Irish public consistently selects Fianna Fáil in government because the public recognises the ability of Fianna Fáil to maximise the benefits to our open and globalised economy. We had the courage and vision to chart a course that made us a leading light in the global economy in the past 20 years.

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