Source · Select Committees · Northern Ireland Affairs Committee

Third Report - The funding and delivery of public services in Northern Ireland

Northern Ireland Affairs Committee HC 46 Published 26 March 2024

Report Status

Government responded

Conclusions & Recommendations

15 items (12 recs)

Source

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Government Response

AI assessment · 15 of 15 classified

Accepted 3

Accepted in Part 1

Acknowledged 3

Deferred 6

Not Addressed 2

Recommendations

5 results

1 Deferred

Para 21

Introduce statutory duty for NI Department of Health to publish workforce projections.

Recommendation

We are concerned about staff recruitment and retention in the health service, with thousands of empty posts and a reliance on costly agency staff. The equivalent of 26.3% of the Northern Ireland population are on waiting lists, with some going … Read more

Government Response Summary

The government details substantial past and future financial packages for the NI Executive and states that discussions on the next phase of the fiscal framework are commencing. Regarding a statutory duty on the Department of Health to publish workforce projections, the government states this is a devolved matter for which the Department of Health is responsible.

Northern Ireland Office

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2 Deferred

Para 25

Require Northern Ireland Executive to prioritise SEN pupil numbers in education funding allocation.

Recommendation

After years of under-investment, the education sector has been struggling to fulfil its statutory duties. Spending per pupil has been consistently lower in Northern Ireland than in England. We are particularly concerned about the future of provision for children and … Read more

Government Response Summary

The UK Government's response did not address the recommendation for the Northern Ireland Executive to account for increasing SEN pupil numbers in education funding, instead quoting a different recommendation without providing a specific reply.

Northern Ireland Office

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3 Deferred

Para 29

Mandate Treasury, NIO, and NI Executive to review PSNI's financial framework.

Recommendation

Cuts in police officer numbers due to recent budgetary pressures will impact on the PSNI’s visibility and ability to respond to increased demand. Officer numbers have dropped some way below the 7,500 committed to under the New Decade, New Approach … Read more

Government Response Summary

The government recognises the PSNI's difficult financial position but states that policing is a devolved matter for the Northern Ireland Justice Minister to determine funding allocation. While detailing significant financial packages to the NI Executive and specific additional security funding, it states the Justice Minister and PSNI can raise concerns regarding funding with HM Treasury during Spending Review discussions, but does not commit to a specific rethink of the PSNI’s financial framework.

Northern Ireland Office

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4 Deferred

Para 35

Require Northern Ireland Executive to consider VCSE sector's contribution in future budgetary decisions.

Recommendation

The voluntary, community and social enterprise sector has struggled in the recent funding environment, and this is likely to have piled further pressure onto stretched public services. When making future budgetary decisions the Northern Ireland Executive must take account of … Read more

Government Response Summary

The government recognises the significant contribution of the voluntary, community, and social enterprise sector, but states that budgetary decisions regarding the sector are a devolved matter for the Northern Ireland Executive.

Northern Ireland Office

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15 Deferred

Include reference to further fiscal devolution in upcoming Fiscal Framework negotiations by mid-2024.

Recommendation

We welcome the work of the Independent Fiscal Commission for Northern Ireland on further fiscal devolution. The devolution of such powers will not address the difficult situation in which public services currently find themselves but could help strengthen the economy … Read more We welcome the work of the Independent Fiscal Commission for Northern Ireland on further fiscal devolution. The devolution of such powers will not address the difficult situation in which public services currently find themselves but could help strengthen the economy and increase the fiscal accountability of the Executive. Income tax devolution has precedents in Scotland; devolution of the apprenticeship levy could complement the responsibility Stormont has for education and skills; and taking up corporation tax powers would acknowledge Northern Ireland’s unique geographic and economic position within the Union. However, further fiscal devolution comes with potential risk too. We welcome the work of the Independent Fiscal Commission for Northern Ireland on further fiscal devolution. The devolution of such powers will not address the difficult situation in which public services currently find themselves but could help strengthen the economy and increase the fiscal accountability of the Executive. Income tax devolution has precedents in Scotland; devolution of the apprenticeship levy could complement the responsibility Stormont has for education and skills; and taking up corporation tax powers would acknowledge Northern Ireland’s unique geographic and economic position within the Union. However, further fiscal devolution comes with potential risk too. There is a need for a much greater level of stability before we should consider significant additional changes to the fiscal powers in Northern Ireland. We do not believe that income tax should be devolved to Northern Ireland at the moment. Separately, we would question whether the administrative capacity is in place to manage what is an extremely complex and fundamental element of the taxation system. Upcoming Fiscal Framework negotiations between the Government and Northern Ireland Executive should include reference to further fiscal devolution. We recommend these negotiations start in the first half of 2024. (Paragrap Show less

Government Response Summary

The government's response does not address the recommendation for fiscal devolution negotiations to start in the first half of 2024, instead stating that the Northern Ireland Executive must consider a sector's contribution when making future budgetary decisions.

Northern Ireland Office

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Conclusions (1)

Observations and findings

9 Conclusion Deferred

Para 55

The transformation agenda is critical to getting Northern Ireland’s finances onto a sustainable footing and cannot be delayed any further. The underfunding of local public services by the Treasury and the lack of an Executive for five out of the last seven years has undermined progress and difficult political decisions …

Government Response Summary

The UK Government's response did not address the recommendation for the Northern Ireland Executive to set out public service transformation plans and establish the Transformation Board, instead quoting a different recommendation without providing a specific reply.

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