Tommy Broughan (Dublin Bay North, Independent)
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39. To ask the Minister for Public Expenditure and Reform his views on the European Commission's post-programme surveillance report for autumn 2017 on public expenditure policy; and if he will make a statement on the matter. [12895/18]

Paschal Donohoe (Dublin Central, Fine Gael)
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The European Commission's post-programme surveillance report addresses a number of issues in the area of public expenditure policy.

In the area of capital spending the report notes that public investment continues to recover while addressing key infrastructure bottlenecks, with the additional capital allocated following the mid-term review of the Capital Investment Plan bringing capital expenditure to 2.3% of GDP in 2021, from an average of 1.9% over 2013-2016.

The National Development Plan, published last month, will see public capital investment in Ireland increase from relatively low levels following the recession to being among the highest in the EU by 2021 and this will be sustained over the entire remaining period of the plan. The average capital investment in the EU over the last twenty years was in the region of 3% of national income. Under the National Development Plan it is projected that public capital investment will reach 3.8% of national income (GNI*) in 2021 and 4% by 2024.

As noted in the report, work is underway by my Department to enhance the quality, efficiency and effectiveness of current expenditure through the ongoing Spending Review process. The 2017 Spending Review was the first in a series of rolling, selective reviews, which will cover the totality of Government spending over a three year period to 2019. This process allows for the systematic examination of existing spending programmes to assess their effectiveness in meeting policy objectives and to identify the scope for re-prioritising expenditure to meet Government expenditure priorities.

I note the concerns expressed in the report with regards to some in-year overruns in certain Government departments. Managing the delivery of public services within budgetary allocations is a key responsibility of every Department and Minister and it is very important that public services are delivered within the agreed allocations. While some additional voted funding was allocated to certain Departments last year, the report notes that overall spending remained within the 2017 target.