Spending cuts 'agreed by Executive'
TOUGH decisions lie ahead in the New Year for Stormont ministers, after spending cuts of £370m were confirmed at the weekend.
Finance Minister Sammy Wilson said the dramatic tightening of the public purse, was agreed in principle at an executive meeting held last Thursday.
Speaking to the News Letter, Mr Wilson said the figure came as "no surprise" to the ministers, who he added, would have to find ways of making the savings.
He said some departments will be hit harder than others.
"We are all agreed that we have to make savings of 370million, we cannot spend money which don't have, it's as simple as that", said the East Antrim MP.
"I don't want to speculate on which departments will be facing the biggest cuts. This report will be put before the Assembly in the New Year. After this is complete, then the ministers will have to go to their departments and come up with how they are going to make the savings, which we all agree need to be made."
It is understood that cuts of 200m are required from current expenditure, as well as 172m from capital spending - such as roads, hospitals and schools.
Deferral of water charges for Ulster households, has contributed to the "hole" in the public finances, Mr Wilson claimed.
"The decision by the Executive to defer water charges for the next year, has been one of the major contributing factors in our budget deficit - we are talking about a figure of well over 200 million.
"Another decision will have to be made on whether or not to defer the water charges for 2011, but the cost of putting off these charges is rising significantly year on year."
David McNarry of the Ulster Unionist Party described the savings plan, as a "sticking plaster".
"I hope for all our sakes that Mr Wilson can pull this off, but I am fearful, that like Oliver he will be coming back next year asking for more", said the Strangford MLA.
"My concern is that the programme for government is in crisis, the department priority lists are in tatters, and if Mr Wilson cannot make this work, then the Executive will be heading for financial meltdown."
SDLP finance spokesperson Declan O'Loan said it was inevitable that frontline services would be affected by the spending cuts.
"These cuts are a significant percentage of our total spend and there will have to be major cuts across all the departments including health and education to achieve these savings", said Mr O'Loan.
"We are likely to face even more cuts down the line to many of the services which we now take for granted", the North Antrim MLA added.
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Monday 28 May 2012
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