Charlie McCreevy, 10% increase in spending
The Minister for Finance, Charlie McCreevy, has announced a 10% increase in total Government spending next year, bringing it up to £16 billion. £13 billion will go on day- to-day spending, including pay. Capital spending will increase by £3 billion, an rise of 25%.
Two-thirds of the 6.8% increase in day-to-day spending will be accounted for by the public sector pay bill, which is going up by £527 million. Another £300 million in day-to-day expenditure increases will go on services, a 5% rise. Of that, £80 million is accounted for by increased spending by the Department of Enterprise Trade, and Employment; £65 million extra for Education; £47 million extra to Agriculture and £28 million to Justice Equality & Law Reform.
On the capital expenditure side the main element of the £600 million increase is accounted for by the Department of the Environment which will get an extra £239 million, a 24% increase, most of which will go on roads and housing.
The Department of Education will spend an extra £127 million on its capital programme, including the building of news schools. £60 million will be spent by the Department of Health on hospital extensions and the building of new hospitals. There will also be an extra £43 million for capital expenditure for the Department of Public Enterprise.
Today's spending estimates will bring the Government's total spending on roads next year to £622 million, water to £413 million and public, social and affordable housing to £714 million.
