Mattie McGrath (Tipperary, Independent)
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698. To ask the Minister for Health to address concerns that the proposed new national children's hospital is already experiencing significant budgetary costs in excess of what was originally envisaged; and the means by which he will ensure that such costs will not continue to spiral out of control; and if he will make a statement on the matter. [13186/16]

Simon Harris (Wicklow, Fine Gael)
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The previous Government's decision to locate the new children's hospital at the St James's campus was based on the overriding priority of best clinical outcomes for our children and, in particular, the sickest of these. That decision is unequivocally supported by this Government and by me as Minister. The planned new facilities will provide us with the means to deliver on improved health outcomes for children, especially the sickest children in Ireland.

The National Paediatric Hospital Development Board is the statutory body charged with delivery of the capital project. The Project Brief developed by the Board in 2014 was approved by the HSE, with the prior consent of the Minister, in accordance with the statutory approval process. Design development was undertaken by the Board in accordance with the approved Project Brief, culminating in the submission of a planning application to An Bord Pleanála last August. I am delighted at the unanimous decision of An Bord Pleanála to grant planning permission for these vital new facilities as designed, clearing the way for enabling works to begin this summer. It is expected that the satellite centres can open in 2018, significantly enhancing access to urgent care and outpatient services for children from the Greater Dublin Area. Building work on the main site will be completed in 2020.

The previous Government committed to making €200m available from the sale of the National Lottery for the new children's hospital, adding to the existing €450m Exchequer funding and underlining the Government's commitment to the project. The 2014 estimate, as set out in the approved Project Brief, affirmed delivery of the core hospital, including both satellite centres, within this envelope. For reasons of commercial sensitivity, I do not intend to provide a detailed breakdown of cost estimates at this stage but I can confirm that they include provision for inflation, VAT and contingencies; they do not include equipment or ICT which can be purchased, licensed or leased separately. Philanthropic and commercial funding streams are to be targeted as appropriate for supporting elements of the project to include car parking, academic and research facilities. As with any capital project, it is essential that cost estimates be reviewed and refined as appropriate, including making prudent provision for construction inflation.

Ultimately, costs will be determined during the tendering process, which is expected to be very competitive, with significant interest from contractors.