Pearse Doherty (Donegal, Sinn Fein)
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313. To ask the Minister for Public Expenditure and Reform if the cost of a new public sector pay deal, subject to the outcome of current public sector pay talks, will be funded through the €400 million of the €2.7 billion budget package to be allocated in 2022; and if he will make a statement on the matter. [39459/22]

Pearse Doherty (Donegal, Sinn Fein)
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314. To ask the Minister for Public Expenditure and Reform if payment of the Christmas bonus is factored into the 2022 expenditure ceiling as set out in the Summer Economic Statement; and if he will make a statement on the matter. [39460/22]

Michael McGrath (Cork South Central, Fianna Fail)
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I propose to take Questions Nos. 313 and 314 together.

The Summer Economic Statement (SES), published on 4th July 2022, sets out the key parameters for Budget 2023. This included a total expenditure budget package of €5.7 billion over 2022 and 2023, €0.4 billion of which is phased into 2022. This is an increase of €1.7 billion relative to what was originally provided for and will ensure that support is provided to households to help with the higher cost of living.

This will result in an increase to the 2022 and 2023 core expenditure growth rates to 6 per cent and 6½ per cent respectively. €80.5 billion in core expenditure will now be available for 2022 with €85.8 billion in 2023. These significant annual increases in expenditure balance the need to protect core public services and help to support citizens through mitigating the cost of living pressures while also ensuring that budgetary policy does not become part of the inflation problem.

Provision of the €0.4 billion under 2022 funding will allow for the early implementation of new core current expenditure measures. Decisions regarding the allocation of this funding will be made as part of the estimates process.