No end in sight to stalemate over Troubles payouts

Stormont Finance Minister Conor Murphy said the London government should fund the payments because the legislation was passed at Westminster.

It has been estimated the payments could cost £800 million.

Announcing the draft budget for 202 yesterday, Mr Murphy said Secretary of State Brandon Lewis has yet to provide funding for the scheme.

Mr Murphy also said that Mr Lewis refused to meet First Minister Arlene Foster, Deputy First Minister Michelle Lewis, Justice Minister Naomi Long or himself over the matter.

“The Executive is fully committed to delivering these payments and in line with the British government’s own Statement of Funding Policy, it is the responsibility of the British government to provide the necessary funding,” he told MLAs.

“I hope that the secretary of state will meet with Executive ministers to discuss how the significant costs involved, which the justice minister has estimated may be as much as £800 million, will be funded.”

Stormont’s department of justice was designated to administer the scheme last September.

Meanwhile, a “difficult” draft budget for Northern Ireland has opened for consultation.

It includes a £175 million capital allocation to deliver the A5 and A6 and a new mother and children’s hospital, as well as £538 million for the response to coronavirus.

There is also funding to enable work to start on Casement Park in west Belfast.

However, Mr Murphy said he does not have enough funding following the spending review to deliver economic recovery.

“It is difficult and effectively a standstill of our 2020-21 budget position,” he said.

“With increased demands on public services and taking account of inflation, it will be a challenge merely to deliver existing services at their current levels.

“I recognise for most departments the draft budget outcome represents flat cash settlement, which will mean effective reductions once increased costs and demands on services are taken into account.

“Choices will have to be made, public services will have to be prioritised.”

Mr Murphy said Mr Lewis has not confirmed a number of previously agreed financial packages worth £254.4 million in the 2021/22 financial year.

These include funding from the confidence and supply deal, city deals and New Decade, New Approach money.

Mr Murphy also announced that the regional rate would be frozen.

Responses to the draft budget can be made until February 25.