Phil Hogan (Carlow-Kilkenny, Fine Gael)
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Question 120: To ask the Minister for the Environment, Heritage and Local Government his views on whether the 7% reduction in his Department's funding announced in the Estimates 2006 will allow for the vital work of his Department in this area to be maintained; and if he will make a statement on the matter. [36618/05]

Dick Roche (Wicklow, Fianna Fail)
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The Abridged Estimates Volume, AEV, published on 17 November provided for a gross Estimate of €2.599 billion in 2006 for my Department compared with the Estimate of €2.529 billion for 2005, that is, an increase of just under 3%. This includes an increase of over 6.5% in the current provision of €839 million. These provisions will contribute to a significantly increased resourcing of the local government sector in 2006. Taking account of funding from all sources, local government is likely to have in excess of €8.5 billion available for its services in the coming year — equivalent to some 5% of gross national product.

The AEV is a first step in the Estimates process and does not take account of any further adjustments, particularly in relation to capital provision, which may be announced on budget day. The total pre-budget provision, together with the facility for carryover, is confirmation of the Government's strong commitment to the work of my Department. It will enable my Department to continue high levels of investment in meeting social needs and in providing vital infrastructure.