Oral Answers to Questions — Finance – in the Northern Ireland Assembly am 2:15 pm ar 11 Mawrth 2025.
The Executive’s focus must be on wider Budget sustainability. We must also look at how we can do things better by improving efficiency and focusing on desired outcomes. While income generation will be part of that, decisions must be based on the economic and social context and on the need to deliver the public services that our citizens expect. The Executive's Budget sustainability plan outlined the additional income that will be generated in 2024-25 and the possible additional income for 2025-26. The plan also committed the Executive to the completion of a strategic review of income-generation measures, and that work will commence following the finalisation of the 2025-26 Budget. However, it is also incumbent on every Minister to consider the appropriate income-generation measures for their Department, and that does not require Department of Finance-led discussions.
Have the Executive considered the mutualisation of Northern Ireland Water, or do they have other plans for providing the funding that is required to enable upgrades of failing waste water plants in the greater Belfast area?
The Executive have an agreed position on NI Water, which is that it will remain a government-owned company and will be funded through the general grant, as it is now.
What does the Department of Finance view as the main factors in sustainable Budgets?
Sustainable Budgets are not just about revenue raising; they are about doing things better, which means, of course, being as efficient as possible and ensuring that we are doing the right things by focusing on the desired outcomes. As part of the Budget sustainability plan forward work programme, my Department is taking forward a number of key steps to improve the sustainability of our Budgets, including working with all Departments on the development of longer-term fiscal sustainability plans. That will help us to understand the trajectory of spend that is associated with the strategic direction and planned changes.
Minister, the Budget sustainability plan sets out revenue-generation plans, some of which involve no ministerial direction or decision, are tiny and, frankly, a bit surreal. They include things such as hospital canteen charges and Ordnance Survey map charges — hardly revolutionary stuff. Indeed, in response to a question for written answer on that, it was revealed that Departments had raised more money from those measures in previous years than in the years that were covered by the Budget sustainability plan. Do you have a target for further fiscal devolution and real, meaningful revenue raising not for its own sake but to better deliver public services? That is what we are all here for.
It is only right and proper that Departments continually review the cost of their doing business and that, where they provide services, they satisfy themselves that what they charge covers the cost of those services and does not further burden the public purse. That sometimes requires decisions to be made on canteens, which you referred to, or on other matters, whatever they may be. In some instances, Departments have not increased charges for 10 or 15 years. That is unsustainable. We have to start by looking at those things. I suspect that, if I were to introduce new revenue-raising measures without having Departments look at them, you would, quite rightly, challenge me.
I am ambitious about fiscal devolution. I believe that the more tax-varying powers that the Assembly and Executive have, the better that it will be for our economy. They would also be good for political stability and responsibility. The Member is aware of how we are working our way through the interim report of the Fiscal Commission and of our engagement with the Treasury. We will continue that. We also have to do the day-to-day, mundane work. A lot of the Departments have done that work and have managed to secure significant revenue from it.