Phil Hogan (Carlow-Kilkenny, Fine Gael)

I propose to take Questions Nos. 8 and 176 together.

The 2012 allocation for the local and community development programme, LCDP, as provided for in the budget, is €55.157 million, which represents a reduction of some €8 million on the funding available in 2011. I am confident, however, that the budget allocation will allow for the continuation of important supports for people in disadvantaged communities and will allow for the key, essential, front-line services delivered through the programme to be maintained for 2012. I am also confident that the adjustment to the programme has been structured to protect front-line services and supports at the expense of administration, overheads and ancillary costs.

In determining the 2012 budgets for the individual local development companies, every effort is being made to protect the viability of smaller companies. This is reflected in the lower than average budget reduction of 10% that is being applied to these groups. Although the reductions will unavoidably present challenges to all delivery bodies, I nevertheless expect that groups will continue to maintain key services and supports through prioritising resources at the front-line.

The allocations to local development companies under the LCDP are made by Pobal, which manages the programme on behalf of my Department. Allocations are based on a number of factors, including the size and population of the catchment areas of the companies, the proposed annual programme of activity of each company, the deprivation index for the catchment areas and the available funding for the year.

The annual planning process is currently underway in the local development companies. I have not so far been made aware of any services that will cease as a result of the cuts.

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