Written answers

Tuesday, 20 November 2007

Department of Finance

Programmes for Government

8:00 pm

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)
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Question 61: To ask the Tánaiste and Minister for Finance the reason he is unwilling to provide a costing of the proposals in the Programme for Government 2007 to 2012. [29689/07]

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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I refer the Deputy to my response to Parliamentary Question No. 54 which I answered on 1 November this year. In that response I pointed out that the Programme for Government is a five year programme in which a number of guiding principles in relation to economic and budgetary matters have been set out.

At the time, I also pointed out that the Pre-Budget Outlook, which set out my Department's latest budgetary and economic assessment for 2007 and the coming three years, had been published in mid-October.

The Pre-Budget Outlook is based on the technical assumption of providing for the existing level of public services. It also specifically provides for, in the aggregate, the capital commitments required to deliver the National Development Plan; and includes a technical indicative unallocated current provision. The Pre-Budget Outlook sets out a technical budgetary position for the coming three years. On that basis, it is forecast that the General Government position will be in deficit at -0.4 per cent of GDP in both 2008 and 2009 before returning to a balanced position in 2010. This fiscal position is predicated on a weaker economic outlook than generally expected earlier in the year when the Programme was agreed. Based on information as at end-September, my Department's assessment is that GDP growth will average 31⁄2 per cent over the period 2008-2010. I will, as is the norm, give details of the latest economic and budgetary view on Budget Day.

I believe that the Pre-Budget Outlook is another important step in the budgetary process which will be a unified process this year. The next step, which is ongoing, is the formulation and agreement by Government of spending and taxation plans for 2008. These will be presented to the House on Budget day which is 5 December next. At that time, I will announce the first instalment of this Government's delivery of the agreed Programme for Government and as is the norm the Budget measures will be costed in the usual comprehensive fashion.

As I have said previously, the Programme for Government is a five year programme. Budget 2008 will be the first instalment of the delivery of this Programme.

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