Debate contribution: Budget Bill: Second Stage

Debate contribution by Ms Diane Forsythe on 19 February 2024.

MLA

Ms Diane Forsythe

Party at the time

Democratic Unionist Party

Date

19 February 2024

Type

Debate contribution

Business

Executive Committee Business

Heading

Budget Bill: Second Stage

Assembly identifier

Official Report component 4223438

Read the official Assembly record

Text

I thank the Finance Minister for addressing the House today. As we speak on the Budget Bill, it is important that a significant difference is noted and emphasised between this Budget Bill, which covers the approvals for the remaining six weeks of the 2023-24 financial year and the commencement of 2024-25, and the separate, important issue of the full debate and scrutiny of a complete 2024-25 Budget, which should be completed as soon as possible in the coming months and put in place to underpin the key priorities and objectives of the new Programme for Government. Today's Bill is being presented under accelerated passage, due to the circumstances of timing, to enable our Departments to function in the meantime. We are not where we would have wanted to be, and I trust that, in future, we will enjoy much more appropriate scrutiny of Budgets. It is important that the Budget Bill passes to enable the operation of our Departments at this time, but it is not defining the future of our public spending. That remains the responsibility of the Executive and the Assembly as we move into the 2024-25 Budget process. The UK Treasury has indicated that the way in which Northern Ireland is funded will be altered, moving forward. However, we, unfortunately, remain in a position where the details of that incorporation of a process and a model that appropriately reflects Northern Ireland's true need has not been concluded.

I hope that we receive an improved financial position moving forward and, on that basis, that we can effectively plan for the future delivery of Northern Ireland public services in the 2024-25 Budget process.

I note that the Budget Bill also affords Departments the ability to commence 2024-25 spending at 65% of Vote on Account until a new Budget is adopted. Again, I note that that is necessary to enable the Departments to function, but it needs to remain a priority to develop the new 2024-25 Budget as soon as possible in order to capture the priorities of the new Programme for Government and put us in the best place to deliver them in the years ahead. I have a question for the Minister to address at the end, if she pleases. One matter of particular importance is the payment of public-sector workers across all sectors and divisions. Can the Minister assure me that this Budget will make full and proper provision for all the vital members of staff in our public services, without whom our public services could not function? If not, for which groups of workers will it not be guaranteed? I also want to make a critical point about context. It is vital that we consider this Budget, and, indeed, the next, in the proper context of our funding from Treasury. The Hillsborough proposals, adjusted slightly by the Treasury letter of 13 February, are very important. There are two major problems. First, the Hillsborough package is logically an unsustainable arrangement, both in recognising the need to fund Northern Ireland to need from 2024-25 onwards and in recognising the need to provide funding for two years to plug the gap arising from the impact of being funded £3 billion below need in two consecutive years from our baseline funding. We are effectively funded to need for 2024-25 and 2025-26. That means that we will be funded to need in those years but will again plunge below need in 2026-27. Secondly, although the Government have moved some way on recognising need, subject to the problems set out, they are hoping that we will settle for an arrangement that involves just one, half-baked aspect of the protection that Wales has enjoyed and continues to enjoy. To protect its block grant funding from falling below need, Northern Ireland must fully benefit from both aspects of the protection that is afforded to Wales. We need a fiscal floor, defined need and an uplift. The UK Government's funding of Northern Ireland is an urgent issue and needs to be addressed. We are facing critical challenges with health, education, the economy, childcare, agriculture, infrastructure, an increase in our minimum wages from 2024-25 onwards and many more issues. We need to put in place a multi-year Budget for Northern Ireland to deliver for everyone here as soon as we practically can. Today, I support the Budget Bill to enable Departments to be able to function. I also support the need for the Assembly to prioritise and deliver on the new Budget as soon as possible in order to underpin the new Programme for Government. As to the amendment, I note that recognition of the Fiscal Council is an important issue. I believe, however, that it deserves a full piece of its own. To add to the Member's point, its ability to have full scrutiny and power is very important, and it should be addressed as an item on its own.

815 words. Text as published by the Northern Ireland Assembly.

Assessment

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Assessed 21 October 2026 at 09:37 UTC by jev-1.13.0 (requested as typesafe/jev) under rubric 2026.10-r9, methodology 1.9.

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