NORTHERN IRELAND’S Finance Minister has expressed her “serious concern” over the details of the British Government’s Executive Restoration Package Settlement.
Yesterday the Treasury wrote to Finance Minister Caoimhe Archibald, setting out the full detail of a spending settlement promised to the North, worth in excess of £3.3 billion.
In the letter they state “the significant, fair and generous spending settlement will allow the Northern Ireland Executive to stabilise public services, better manage public finances, increase opportunities for improved infrastructure and investment, pave the way for transformation of public services, and enable the delivery of a pay award (2023-24) to public sector workers”.
They went on to give a detailed breakdown of the funding package and what is required from the devolved government in the North in order for it to be implemented and for an existing debt of £559m to be written off.
One requirement is that the Northern Ireland Executive must raise a minimum of £113m in additional funds themselves this year through ‘locally generated income”.
They have also been asked to publish a budget Sustainability Plan by May.
The British government has revealed the terms of its £3.3bn package for Northern IrelandNorthern Ireland Secretary of State Chris Heaton-Harris has praised the terms, claiming: “This package tackles the immediate budget pressures facing the restored Executive and allows it to take action to rapidly stabilise public services, while increasing opportunities for investment and improved infrastructure.
“It also paves the way for vital transformation of public services, and will deliver well-deserved pay awards for public sector workers.”
He added: “It is now for the Northern Ireland Executive to use this significant financial package to take forward the vital work of public service transformation and the commitment to deliver sustainable finances - ensuring better outcomes in the day to day lives of the people in Northern Ireland.”
However, today Ms Archibald has sent a reply to the Treasury, outlining the “serious concerns” their plan raises.
“I have serious concerns in relation to a number of areas outlined within your letter and would welcome engagement with you on this at the earliest opportunity,” Ms Archibald said.
“Making the write off of the £559m for debt repayment conditional on the publication and implementation of a sustainability plan is not acceptable,” she explained.
“It is our strong view that these debts exist primarily due to the underfunding of public services.
“The Executive has already given a commitment to the British Government to develop a Sustainability Plan with a pre-requisite that the right level of funding is provided.
“The Government’s timescale requiring this to be published by May 2024 is completely unrealistic.
“It is essential that the Executive is afforded adequate time to give proper consideration to this important matter.”
She added: “The requirement that we raise £113m through locally generated revenue in the next 12 months is not consistent with a strategic Sustainability Plan.
“To expect this funding to be generated in such a short space of time can only serve to cause more harm to hard pressed families, households and businesses.
“Our message to Westminster is simple. The Executive should be given time and space to develop and agree a properly thought through Sustainability Plan that will put our finances on a more stabilised footing.
“It is critical we have the right resources to deliver effective public services for all our citizens. We ask that the British Government act in good faith.
“There can be no further damage to our public services.”
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