2007 Book of Estimates

Speaking today on the 2007 Book of Estimates, Taoiseach Mr. Bertie Ahern TD., said

“The Estimates, together with the Budget in a few weeks and the new National Development Plan in January are part of a thought out and costed plan for Ireland's future.  To build a stronger fairer, Ireland, we must first of all sustain a strong economy. 

We must continue to invest in the social supports and the physical infrastructure we need to develop communities locally and the economy nationally.  This is what we are doing.

Looking ahead we have to make critical judgements on what is a prudent level of spending in any one year.  The fact that next year is an election year will not sway our judgement.

Our plan is not just for one year, it is for a generation.  The stronger economy which we are committed to, has a purpose.  It is to ensure that over a lifetime this generation of Irish people have the opportunities and the quality of life that are comparable to the most advanced countries in the world.

This Book of Estimates in one step is that thought out, costed and long term plan.

These estimates are fiscally sustainable, economically prudent and politically responsible. The economy is at full employment and growing at its potential.

Excessive spending now would damage the economy’s prospects tomorrow and lead us back to the bad old days of reckless budgetary management, high borrowing and punitive taxation. Prudent management works. 

That is why the Government will be maintaining the prudent, stability-orientated approach which has been the cornerstone of our economic success and which has enabled us to generate the resources necessary to tackle poverty and social inequalities and to improve public services.  A great society can only be built on the back of a strong economy.  By protecting our economy, we will protect our spending programmes, spending programmes that make a vital difference to people’s lives, over the years ahead.

On housing there is  €1.3 billion in 2007 for local authority, social and voluntary housing.  As a result of this provision 1 in every 9 houses built next year will be local authority, social and voluntary housing providing quality accommodation for people who are unable to house themselves.

 € 2.3 billion is provided for Transport investment in 2007, an increase of €400 million or 21 per cent over the 2006 provision. 

This increase will provide for the implementation in 2007 of the Transport 21 Programme and is part of the overall 10 year provision of €34.4 billion announced in November last year. 

€1.5 billion is provided for roads in 2007 to continue progress on the roll out of the motorways programme, improvements to the major interurban routes and national roads. 

The 2007 Estimate for public transport is over €780 million and will fund continued improvements to light and heavy rail networks and the purchase of additional carriages. 

Included in the Education allocation for 2007 of  €8 billion is provision to meet the cost of service improvements in a number of key areas, including:

  • 800 additional teachers in 2007, which will bring to almost 1,900 the number of new teachers provided since 2005 to reduce class size and help tackle problems of disability and disadvantage;
  • significant increases in capitation grants for schools, educational inclusion and school transport; and
  • significant additional funding at Third level

On Social Welfare the pre-Budget allocation is almost €14 billion. This is an important area of expenditure and makes a real difference to the lives of around 970,000 people in receipt of a weekly social welfare payment.

We are providing for a total commitment of €814 million for ODA in 2007. This represents an increase of €139 million or 21% on the 2006. 

In Agriculture we are allocating €1.4 billion.  This is an increase of €116 million or over 9 per cent. Among those schemes which will benefit from significant increases in 2007 are Disadvantaged Area Payments, REPS and Early Retirement.

Garda resources in 2007 will increase by over 10 per cent to nearly €1.4 billion. We are providing the resources to tackle crime.

The 2007 Childcare provision is €142 million, an increase of €48 million or over 50 per cent on 2006. The first Early Childcare Supplement payments were made in August this year and some 380,000 children are eligible under this scheme. Some €381 million is provided in the 2007 Estimates for this scheme”.

Ends

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