NORTHERN IRELAND’S Minister for Finance Sammy Wilson has questioned current levels of spending on health and social housing, saying he did not believe the Northern Executive had done enough to advance long-term economic growth.
Addressing the All Island Infrastructure Investment Conference in Dundalk yesterday, Mr Wilson said he believed infrastructure investment and economic growth were intrinsically linked, and said North-South co-operation “can deliver real advantages for both jurisdictions”.
The DUP Minister said that in a “tighter economic situation” and in developing a new programme for government, the Executive “will need to take some difficult decisions about economic policy – which may mean moving resources from other less important areas. Rest assured however, that I personally will do all I can to ensure that the economy remains firmly as the number one priority in Northern Ireland.”
Mr Wilson said 50 per cent of the Northern budget was being spent on health, “and it would be 80 per cent if the Health Minister had his way”. He said there were “soft” issues on which all politicians would be lobbied for funding, including social housing.
He asked whether it was better to plan for a person’s physical and mental wellbeing through long-term economic investment, “or to simply keep building hospitals”. He asked was it right to keep building social housing for people who cannot afford a home, or build an economy so people could build homes.
Maintaining that government has a responsibility to invest public money in the right areas to deliver a modern and prosperous economy in the future, Mr Wilson said “this is how we can maximise returns from taxpayers’ investment”.
The question, he said, was about whether the North wanted to build a long-term economy or remain dependent on subsidies.
“If I ask myself what we have achieved as an Executive in terms of policies to promote economic growth, I can point to a number of short-term demand-side focused initiatives.
“We have frozen domestic rates; we have delayed water charges, and we have introduced fuel subsidies for poor households. These measures have served as an immediate stimulus during a difficult time”, he said. “We need to ensure that we do not lose sight of the importance of improving the supply side of our economy.”
The Minister also praised Minister for Finance Brian Lenihan for the level of consultation on the creation of Nama.
