Government to seek Dáil approval for extra €634m spend

Health service set to receive almost €340m in additional funding under fresh estimates

Underspending in the Department of Defence allocation would be used to offset additional expenditure required to meet the cost of Army pensions.
Underspending in the Department of Defence allocation would be used to offset additional expenditure required to meet the cost of Army pensions.

The Government will ask the Dáil to approve additional spending of more than €630 million for Government departments and agencies this year .

Minister for Public Expenditure Paschal Donohoe on Tuesday brought proposals to Cabinet for supplementary estimates to the value of €430 million.

The largest supplementary estimate, for €338 million, was for the health service.

Last week Mr Donohoe brought proposals for 11 other supplementary estimates, eight substantive and three technical, to an overall value of €204 million.

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The Department of Public Expenditure said the total cost of the supplementary estimates earmarked for Government departments and agencies this year was €634 million. It said this was below the original projection of €660 million which was set out in its expenditure report for 2020 which was published in October.

The Department of Public Expenditure said the additional €338 million for the health service was is required “to meet costs relating to demand-led pressures in key service areas, primarily in acute hospitals, in both pay and non-pay areas, disabilities, older persons, high-tech drugs, State claims and pensions budget lines”.

Where are the funds going?

Among proposals for other supplementary estimates brought to the Cabinet by Mr Donohoe on Tuesday were €68million for the Department of Education and Skills, €19million for the Department of Agriculture, Food and Marine, €4million for Revenue and €500,000 for the Public Appointment Service.

Among the supplementary estimate proposals brought by the Minister to Government last week were €100 million for the Department of Social Protection to meet some of the cost of the Christmas bonus for those in receipt of social welfare payments as well as €51 million for the Department of Justice, €21 million for the Department of Finance, €10 million for the Department of Transport for tourism initiatives, €5 million for the Office of the Chief State Solicitors Office and €15 million for Department of Children and Youth Affairs

The Department of Public Expenditure said that underspending in the Department of Defence allocation – due in part to fewer military personnel than anticipated – would be used to offset additional expenditure required to meet the cost of Army pensions.

The supplementary estimates will be put before the Dáil this week and then considered in greater details by various Oireachtas committees.

Martin Wall

Martin Wall

Martin Wall is the Public Policy Correspondent of The Irish Times.