Michael McGrath (Cork South Central, Fianna Fail)
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86. To ask the Minister for Public Expenditure and Reform the expenditure carry-forward effects of previously announced measures from 2015 for Budget 2016; and if he will make a statement on the matter. [33842/15]

Brendan Howlin (Wexford, Labour)
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The Spring Economic Statement (SES) and the corresponding Stability Programme Update (SPU) outlined that fiscal space of the order of €1.2 to €1.5 billion is expected to be available for Budget 2016 split evenly between expenditure increases and tax reductions.

This would allow Government to target an increase in government expenditure of between €600m and €750m in 2016 relative to the 2015 spend and provides the scope to manage any additional impact of previous Budgets, deal with underlying demographic and spending pressures, and target enhancements in key public services.

In addition, as outlined in the SES, the range of €1.2 to €1.5 billion does not take into account re-allocation within expenditure funded by savings from efficiencies and policy measures. For example, Live Register savings over and above those related to the cycle due to lower unemployment as a result of existing activation measures will be available to fund new measures.

The increases in the expenditure ceilings between 2015 and 2016, set out in Comprehensive Expenditure Report 2015-2017, already reflect certain expenditure needs including demographics in Health, Education and Social Protection. For instance, Budget 2015 provided for a number of additional Mainstream and Resource Teachers as well as extra Special Needs Assistants posts to be created and provision for the 2016 cost of these posts is reflected within these ceilings.

Specifically in relation to the Lansdowne Road Agreement, the available fiscal space will be partly utilised to deal with the costs related to that agreement which, as previously stated, begins the process of unwinding the financial emergency measures in a prudent and sustainable fashion, thereby reducing the risk to sustainability of the public finances.