UK Parliament / Open data

Northern Ireland Budget (Anticipation and Adjustments) (No. 2) Bill

The hon. Lady mentioned education. In the year for which we are now finalising the accounts, additional money was secured for education. That money was meant to go to frontline services in education—that is, the classrooms—but the Department of Education decided to allocate it to finance the education authority, which was running a deficit, and was leaning on schools that were running a deficit in their budgets. That is the kind of thing that would never have been allowed to happen if we had a functioning Assembly and a Minister rather than civil servants making these decisions. It is not just about the total amount of money that is allocated; we also have to be looking at how effectively that money is spent, and we do not have the means for doing that. If it cannot be done in Northern Ireland, then there should a means for doing it here.

The Secretary of State gave an explanation as to why she had allocated 70% of the expenditure to Departments for next year as opposed to the usual 45%—because there might be heavier expenditure at the beginning of the year than at the end of the year, and she therefore wanted to make sure that Departments did not run out of money. Given that most of the revenue expenditure has to be spread over the year because a lot of it goes on salaries and so on, I do not think that is a credible explanation. I think the Secretary of State knows full well that we will not have an Assembly up and running by June, because she knows what the problem is. She has talked to Sinn Féin and she knows the attitude of Sinn Féin. I suspect that 70% has been allocated so that she has the flexibility maybe even to bring the final budget to this House in September or October rather than be forced to bring it early in June because there is no Assembly up and running.

That brings me to one of the reasons why I believe we are having to do this again this year. Many people have said that it is about Brexit, or the fact that Sinn Féin cannot get agreement with the DUP about certain matters like an Irish language Act. Having said that, I do not know how anyone justifies tens of millions of pounds of expenditure on an Irish language Act at a time when we have the pressure on budgets that we have now. Certainly it should not be a priority for expenditure or getting Stormont up and running again.

I welcome the additional money. For the information of the hon. Member for Paisley and Renfrewshire North (Gavin Newlands), this is not a result of the Barnett formula not being properly applied. The Barnett formula is properly applied. Barnett formula allocations for Scotland and Northern Ireland are based on the expenditure decided for Departments in England. If there is an uplift in areas of spending in those Departments, it also comes to Scotland, Northern Ireland and Wales.

This is money over and above the Barnett formula. Scotland has experienced that on occasions, but we did not complain about it. It is wrong to suggest that this is a result of the Barnett formula not being properly applied. Some of the changes to the allocations that we are authorising for 2018-19 are a result of Barnett formula applications during the year, with additional money put into the budget since we discussed it last June having to be spent by Departments.

This is a challenging budget. The real reason why Sinn Féin are not prepared to enter the Assembly is that they do not have the political courage to make the decisions that a budget of this nature would require

them to make. There is plenty of evidence for that. First, why did the Assembly collapse? Despite what people say about the renewable heat scheme and everything else, the Assembly would have collapsed anyhow, because the then Finance Minister had not even presented a budget to the Assembly. If it had not been presented to the Assembly, the Government would have collapsed because there would have been no money to spend. Why did he not present a budget two and a half years ago? Because he knew that there were hard decisions to be made, and he was not prepared to make them. His party was not prepared to go through the Lobby to back those decisions because it was looking over its shoulder at People Before Profit, which had taken votes off it in its heartlands in West Belfast and Londonderry.

If that was the problem then, it is still the problem today. Sinn Féin do not want to have to put their hand on the tiller and guide Northern Ireland through the difficulties of budget considerations. Governments here and in Scotland and Wales have to do that, as indeed do Governments in the Irish Republic. Sinn Féin would rather strut around the Irish Republic telling people that if they vote for Sinn Féin, the Government down there will not have to impose austerity measures. Of course, the one way to expose the nonsense of that claim is by Sinn Féin having to make decisions about budgets in Northern Ireland, but they do not want to do that.

That means that we have not been able to look at new areas of expenditure, and that is significant. Members have talked today about new pressures. For example, there is greater pressure on school budgets because of rising populations and a change in the distribution of populations, which sometimes expand and sometimes decline. There are greater pressures on mental health, which my hon. Friend the Member for Strangford (Jim Shannon) talked about. This budget reflects the decisions and priorities of the Executive of more than three years ago. Indeed, if we look at the heads of spending for 2018-19 and 2019-20, we see that it is a cut and paste. There are no new things, because that is not possible.

We pass legislation here to allow top civil servants and permanent secretaries to take decisions that could redirect some spending, but civil servants—wrongly, I think—have refused to use those powers on many occasions. It is frustrating that they have not been prepared to make decisions on even simple things, because they fear that if something goes wrong, they will be called before the Northern Ireland Audit Office or finish up on the front page of the Belfast Telegraph. It is not a great way of doing it, but at least some of these decisions should be made by civil servants.

We have a lack of scrutiny of the overall budget and of the detail of the budget, and we have no mechanism for deciding new priorities, all of which we are going to need in a dynamic economy. That is why this process is so damaging to Northern Ireland. It is damaging politically because it allows people simply to opt out of the political process. They entered that process, stood for election and got elected, but then they do not do their job.

I know there will be debates about how to do this, but I think one of the ways of pushing into doing their job properly those who are holding back our ability to do the job—we are doing it, and doing it very poorly, here today—is to make it quite clear that the stark choice is

either to have local rule or to have rule from London. I believe that would be a huge embarrassment to Sinn Féin. It has been able to avoid that embarrassment because the Government here have refused to make such a decision.

We want to see devolution and we want people to be pressurised into going back into Stormont, however difficult that may be. Let me just say to the House that it is difficult. Look at the difficulties the Government have with the disparate views they have on their own Back Benches in this place. It is an indication of the skill that was used by politicians in Northern Ireland that, for many years, we ran a coalition that included people who would very happily sit on the Government Benches as well as people who might be uncomfortable sitting beside the Leader of the Opposition on the Opposition Benches because they are even to the left of him. We ran a coalition on that basis, but it has now collapsed, and following its collapse, this is an inadequate way of doing business for Northern Ireland.

5.57 pm

About this proceeding contribution

Reference

655 cc899-901 

Session

2017-19

Chamber / Committee

House of Commons chamber
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