Dáil debates

Wednesday, 13 February 2019

Ceisteanna ó Cheannairí - Leaders' Questions

 

12:20 pm

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour) | Oireachtas source

The national children's hospital has shown a very serious problem with Fine Gael's competence to manage the public finances and the economy. The national budget is the most important vote in Dáil Éireann every year. The budget presented in October last year by Deputy Paschal Donohoe, as both Minister for Finance and Minister for Public Expenditure and Reform, did not include any provision for the cost overrun on the national children's hospital although it was known about months previously. Why was there no provision whatsoever for an additional capital spend which was known to be required for this project in the course of 2019 when this House was presented with the budget in October?

The Government has accepted that it knew full well and had full knowledge of the extra costs of the hospital by, at the latest, November last year, including the additional €100 million required for 2019. Everybody accepts that. The Government might have gained that knowledge a bit earlier had the Taoiseach appointed a separate Minister for Public Expenditure and Reform and Minister for Finance, which was one of the main recommendations after the economic collapse.

The October budget was inaccurate but the Government now accepts that it knew about the extra cost in November. Why was that not pointed out when the Revised Book of Estimates, the most important spending document, was presented to this House by the Department of Public Expenditure and Reform in mid-December? Why was there no revision of the projected costs in the Department of Health for 2019? Why was capital spending in the Revised Estimate not revised for the national children's hospital?

On Wednesday, 19 December, a month after the Government had full knowledge of these costs, the Minister for Communications, Climate Action and Environment, Deputy Richard Bruton, moved that the Revised Estimates for the public services be presented to Dáil Éireann and circulated to Members for consideration by select committees. Surely the Dáil was misled when that was done.

In October, the Dáil voted to give the Fine Gael minority Government €7.3 billion to spend on capital projects. That was unrevised from budget day. We now know that the cost of the national children's hospital will be €100 million more than expected this year. The Government has claimed that no major projects will be delayed more than a few months but €100 million of new money needs to be found this year. If projects worth €100 million are pushed back into next year, the same €100 million will have to be found next year unless the Government increases the capital spend.

As we know, it is not just that €100 million for this year. At least €450 million of new money now needs to be found over the next few years in order to build the children's hospital. It is not credible that €450 million worth of savings can be found by postponing projects for a few months.

I directly ask the Taoiseach does he accept that an inaccurate revised volume of public expenditure was presented to this House last December.

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