Debate contribution: Public Finances

Debate contribution by Ms Michelle O'Neill on 6 February 2024.

MLA: Ms Michelle O'Neill
Party at the time: Sinn Féin
Date: 6 February 2024
Type: Debate contribution (made as a minister)
Business: Private Members' Business
Heading: Public Finances
Assembly identifier: Official Report component 4256063

Text

Thank you for agreeing that I and the deputy First Minister may respond to the motion. I know that that is not the normal practice, but we thought that, given the significance of the issue and our shared desire to highlight its significance, it is important that we both speak. We discussed that at the Executive meeting. It is our wish today that a very clear sign be sent out that we have a shared view of the importance of the matter and a shared determination to secure a fair and just outcome for all our people. I thank all Members for their contributions today, many of which, from all sides of the House, were made with passion and commitment. There is no doubt that this is a broad church, with a broad range of views on many of the areas that we will, no doubt, go on to debate in the days, weeks and months ahead. We might have a difference of opinion on or different approaches to some of it. For today, what is significant is that we are united in what we are trying to achieve, because, on some matters in life, it really matters to be united. Some matters are so fundamental and profound that they bring together all shades of political opinion. I am glad that this is one. The unfair and unjust treatment of public-sector workers and the public who rely on them is one issue that falls into that category. As I said, I was heartened to hear the voices of support for what has been tabled and the cross-party support from all parties in the Executive, the official Opposition and other Members. I thank everybody for the support and unity that were shown today. We are sending a clear message to the British Government in Westminster that we are not asking for special treatment; we are asking for fairness and equality. We are asking for funding that reflects the needs of the people whom we serve. We are asking for a funding model that is taken for granted in Scotland and Wales but is being denied to us. We will make our case to the Westminster Government with determination and commitment. Just yesterday, we had the opportunity to meet the Prime Minister, and we put that to him directly. We presented him with a letter setting out all the facts and evidence: clear evidence from the independent Fiscal Council that our funding is below need; and clear evidence that this is the only devolved Administration being treated in this unfair way. The Government, however, still seek to ignore that evidence. Many Members have reflected on the fact that the Prime Minister described the offer as "generous" and pointed to the headline figure of £3·3 billion. To a public-sector worker who is struggling with the cost of living, £3·3 billion sounds like a lot of money. I can see how someone looking on who is struggling to put food on the table, a teacher who has been forced to go a food bank or someone who is struggling with the cost of living in general and has had no pay rise would think that it is a large figure, but large is not the same as fair — that is the distinction. The Government had hoped that we would be lured or bowled over by that headline figure and rush to accept it without due diligence. I hear the Member at the back saying that we should all just suck it up and accept it. That is not how we roll. We are determined here to work together and try to fight a better case for public services. I look forward to the battle that we have ahead. We are all well motivated to do that because we believe in trying to make public services work and, in turn, support public-sector workers.
I think that we have heard enough. We have scrutinised the deal and looked past all the rhetoric that I referred to. We held the deal up to the light, under which its flaws are clear to see. In particular, I want to take on three of the claims that have been made that, quite simply, collapse when put under some sort of scrutiny. First, it is claimed that the deal has enough money to settle public-sector pay claims, but the pay element that was put on the table lasts for only one year. Secondly, it is claimed that the deal allows us to settle the debt created by underfunding, but that debt, in itself, is unfair, because it would not have arisen had we not been underfunded in the first place. If we had been funded according to need during the spending review period, we would have had an extra £500 million a year to spend and would not have that debt today. Thirdly, the deal contains a so-called "needs-based factor". Those are carefully chosen words: "needs-based factor". They have avoided calling it a fiscal floor, because it is not one. In fact, it is a fiscal ceiling, and it may take up to 20 years before that funding formula brings us up to the level of need. How can that be fair? How is it fair to condemn us to ongoing instability, trying to plan and deliver key public services in a hand-to-mouth existence? That is not even the worst of it, because the unfairness of the deal is compounded by asking citizens to pay more while services continue to deteriorate.
Go ahead.
There is no doubt that that is another huge issue that the incoming Executive and all of us with mandates will have to grapple with.
I welcome you to your new role. You have been appointed Chair of the Committee for Agriculture, Environment and Rural Affairs. There is big work to do there, and, no doubt, you will fight the fight for the farming community. I would like to do that with you. We will have many challenges to grapple with, but, if we do not fix the fundamentals of the funding formula in its entirety from this day-1 position, we will be in trouble when it comes to dealing with all the things that we need to deal with, not least the climate catastrophe that we now face. The deputy First Minister also wants to contribute to the debate. I will hand over to her, but I will finish by saying this: it is unjust to say to our citizens and taxpayers that they have to pay more while they are waiting to get into the health and social care system that they need today; that they have to pay more while special education is rationed and children's lives are being blighted; and that they have to pay more while our schools and infrastructure crumble and decay. I am really pleased that this is our day-1 effort, and I am really pleased that the House stands united in its rejection of unfairness and in support of the position that has been taken by the Executive. I thank Members for all of that and for the passion with which they have spoken. I assure you all that our determination will not waver in ensuring that we establish a proper funding model that delivers on the needs of the people whom we collectively serve.

1,227 words. Text as published by the Northern Ireland Assembly.

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