Written answers

Thursday, 26 January 2017

Department of Public Expenditure and Reform

Public Sector Reform Implementation

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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118. To ask the Minister for Public Expenditure and Reform the extent of reform and-or policy initiatives required to maximise the opportunities for economic recovery in the future; and if he will make a statement on the matter. [3654/17]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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121. To ask the Minister for Public Expenditure and Reform the degree to which each Government Department continues to maintain good practice in terms of expenditure, in keeping with both the effects of the economic recession and the growing demands of the recovery; and if he will make a statement on the matter. [3702/17]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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122. To ask the Minister for Public Expenditure and Reform the extent to which he is satisfied that he will be able to continue to meet the targets set by his Department in the context of spending and reform; and if he will make a statement on the matter. [3703/17]

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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123. To ask the Minister for Public Expenditure and Reform the degree to which each Government Department has achieved the targets set by way of public expenditure and reform in the past five years; the extent to which this has now become the basis for reward throughout; and if he will make a statement on the matter. [3704/17]

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 118 and 121 to 123, inclusive, together.

Increased investment in public capital infrastructure can support enhanced economic growth. In this regard the Deputy will be aware that I announced on Budget Day that my Department would, by the middle of 2017, complete a review of the Capital Investment Plan published in September 2015. The objective of the Capital Review will be to provide a focused analysis of capital spending and it will provide the Government with an opportunity to reaffirm priorities and, if necessary, recalibrate investment plans. The key task, however, will be to recommend how the remaining unallocated capital funding should be allocated over the period of the plan, having regard to the priority areas identified in the Government's Programme.  

The effective management of expenditure has played a key role in ensuring Ireland met or exceeded its key fiscal targets over the past number of years. This continues to be the case, with the management of the delivery of public services within budgetary allocations being a key responsibility of each Minister and their Department. My Department is in regular communication with all Departments and Offices to ensure that expenditure is being managed within the overall fiscal parameters. The drawdown of funds from the Exchequer is monitored against the published expenditure profiles and information is published monthly, as part of the Exchequer Statement.

The Government is now in a position to provide for sustainable levels of expenditure growth to support improvements in public services. The Revised Estimates Volume (REV) 2017 sets out total gross voted expenditure of €58.1 billion in 2017. This represents a year on year increase of over 3 per cent on the 2016 allocation and is a prudent level of increase as we continue to repair the public finances. However, we have to be mindful of the considerable expenditure pressures facing the public finances and it is important that we continue to evaluate how we spend our money to ensure that limited resources provide much needed public services and social infrastructure. Given this context, I announced on Budget day that a spending review will be carried out in advance of Budget 2018.

Given the many competing priorities and demands for resources, there is an ongoing requirement to implement reforms that improve how public services are delivered, and that achieve savings which can be reinvested in frontline services.  The Public Service has delivered significant productivity gains and service improvements over the last number of years, as set out in the Annual Progress Report on the Public Service Reform Plan (published April 2016).  We must build on this progress, and it is essential that targeted recruitment and investment in public services is done in tandem with further public service reform measures. This includes, for example, more digital delivery of services, improved customer service and business processes, and greater use of shared services. When Departments identify savings arising from such reform measures, such savings are in general made available to Departments to reinvest in the delivery of services.  It is also very important to ensure that the public service workforce operates in a manner which maximises the positive impact on public service provision of the increased staff numbers reflected in the budgetary allocations for 2017.

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