Ministers sought multiples of available funding as part of national plan review

Irish Times

a day ago

From next week, a lot of Ministers will have more money to spend, Minister for Public Expenditure
Jack Chambers
indicated to the Dáil this week.
The
Government
will have about €20 billion in new funding to distribute as part of its review of the
National Development Plan
(NDP), due to be announced on Tuesday.
Overall, more than €165 billion had been allocated to the NDP, which runs until 2030.
But the money available under the revised plan will be boosted by the €14 billion windfall from the
Apple tax
case as well as proceeds from the sale of
AIB
shareholdings and money that had been put away in State accounts including the Infrastructure, Climate and Nature Fund.
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But even with the additional billions, it was never going to be enough to meet demands from various Ministers who, between them, had sought multiples of the sum available.
Just days away from the scheduled announcement, there is no overall agreement on who should get what.
On Friday there were five departments for which funding allocations had not been finalised. Coalition party leaders are set to meet on Saturday to try to resolve the issues.
Funding decisions for
housing
, health, education and defence remained outstanding, with some sources maintaining that transport was also yet to be settled.
The Government will decide formally on amounts for each area by Tuesday, but specific projects will not be announced.
Chambers said housing, energy, water and transport in particular required additional investment.
Housing
This is probably the key area for Government, however, a new housing strategy cannot be published until the funding available under the NDP is decided.
Minister for Housing
James Browne
has sought funding to meet overall housing targets, but also to cover investment in water services, critical to facilitating home building.
Projects in the mix include the €1.3 billion sewage and drainage scheme for
Dublin
, which received the green light from
An Coimisiún Pleanála
last week, and the controversial proposal to bring water to Dublin from the river Shannon.
The scheme to provide financial assistance to people who had homes affected by defective concrete blocks – which could cost more than €2 billion – also forms part of the package sought by the
Department of Housing
.
Health
Minister for Health
Jennifer Carroll MacNeill
told an Oireachtas committee last month that while there were strong demands around housing, energy and water, she was making her case in the NDP review for investment in health infrastructure.
A key element in her proposal is the digitalisation of health services, including electronic patient records, a project that could cost about €2 billion.
The Minister has also been seeking funding for investment in community nursing units – in some cases for refurbishment to bring them up to Hiqa standards – as well as for a range of step-down facilities.
Plans to develop elective-only hospitals – where beds would not be taken up by patients admitted through emergency departments – also form part of the
Department of Health
's proposals.
Education
Informed sources suggest the
Department of Education
has been looking for about €2 billion for its school building programme.
It has about 300 projects in the pipeline but rising costs have been an issue. And while pupil numbers are projected to drop nationally, they are increasing in many commuter belt areas.
Defence
Funding for defence is not usually seen as controversial, given the traditionally low levels of expenditure. However, Tánaiste
Simon Harris
, the Minister for Defence, is understood to have argued for a step change in how the area is treated.
He has said publicly that Ireland cannot continue lagging behind in terms of defence spending internationally.
He has said Ireland will commit to reaching the Level of Ambition 3 (LOA3), the highest goal set out by the Commission on the Defence Forces, which reported three years ago. This would include a 12-ship Naval Service and the provision of fighter aircraft.
Transport
Minister for Transport
Darragh O'Brien
will be responsible for key projects over the coming years including the mammoth Dublin
metro
scheme – presuming planning permission is secured in the coming weeks.
The metro project will cost many billions but some may fall outside the five-year framework of this NDP. However, there is also a
Dart
upgrade programme to be funded.
Ministers were told earlier this year that most planned road projects could be funded assuming a €4 billion allocation covering 2026 to 2030.
However, there were concerns over funding for the A5 road in Northern Ireland for which the Government promised €600 million (although there are doubts about this project following a recent court ruling in Belfast) as well as the €200 million Cork Northern Distributor Road and the €200 million Great Island Connectivity scheme (to Cobh).