Northern Ireland Finances

Lord Murphy of Torfaen Excerpts

Tuesday 13th March 2018 Lords Chamber

[Lord Murphy of Torfaen (Lab)]

My Lords, I thank the Minister for the Statement, and agree with him on the need to restore the devolved institutions in Northern Ireland, especially as it is about four weeks away from the 20th anniversary of the signing of the Good Friday agreement. The commitment of the Government to the underlying principles of that agreement is very much to be welcomed.

I understand the need to set a budget and agree that it is wholly inadequate for civil servants, however good—and, indeed, they are all good—to decide the spending priorities in Northern Ireland. Can the Minister tell us a little bit more about the consultation process that has occurred with the political parties and others in Northern Ireland, specifically on the regional rate and on the allocation of resources to the different departments in Northern Ireland? In particular, will he tell us about the consultation on the Bengoa proposals on the health service in Northern Ireland, and where we are on that important matter?

The Minister raised the difficult—perhaps even controversial—issue of the salaries of Members of the Legislative Assembly. Does he envisage a time limit on the consultation with the political parties in Northern Ireland? During the course of his Statement, he mentioned that there would be a need for legislation to implement parts of the budget and to vary the salaries of the MLAs. Can he give the House an indication of when such legislation might be before us? Lastly, does he accept that this budget-setting exercise is not a road to direct rule, and that robust and meaningful talks on setting up the institutions in Northern Ireland will begin very shortly?

[Baroness Suttie (LD)]

My Lords, I too thank the Minister for repeating yesterday’s Statement. However, there is a slightly wearying sense of déjà vu about it, and one cannot help but wonder at what point these sticking-plaster solutions will cease to be viable. Clearly, however, a return to direct rule is something that we all wish to avoid, and we continue to believe firmly that power-sharing devolution is vital to local democracy and representative decision-making. In that regard, the Secretary of State’s reassertion of the Government’s commitment to both the Good Friday Belfast agreement and to re-establishing functioning devolution in Northern Ireland is very much to be welcomed.

We on these Benches recognise the pressures on public services, meaning that these measures are essential to ensuring that the people of Northern Ireland do not suffer in the provision of vital services, and to ensuring that education and healthcare services can function and that peace and stability can be maintained by the PSNI. The Police Federation has warned that the 0.3% increase in the Ministry of Justice budget will inflict real damage on the PSNI. The PSNI is currently spending £125,000 a day on overtime to fill gaps in its workforce capacity. Can the Minister confirm that ensuring that the PSNI is able to carry out its work effectively remains a key priority for the Government? The Civil Service in Northern Ireland, as the noble Lord, Lord Murphy, has said, continues to do sterling service in keeping the system functioning but, without the direct input of Northern Ireland Ministers, much-needed long-term strategic planning for Northern Ireland becomes increasingly difficult.

In the Statement on 20 February, in reply to my question about the introduction of an independent mediator to chair the all-party talks and to attempt to bring new impetus to the drive to re-establish an Executive in Northern Ireland, the Minister said nothing was ruled out. Can he give an update on whether that is still an option that is being actively considered? Can he also outline what other initiatives are being actively considered to break the current impasse in the talks?

I note the ongoing discussions on MLA pay and the Reaney review. What representations has the Secretary of State had on this issue from political parties in Northern Ireland? In the Statement the Secretary of State says,

“it would be irresponsible for us not to consider how we might provide for different arrangements until such time as the devolved institutions are back up and running”.

Can the Minister confirm that this would involve options allowing Members of the Assembly to play an active role in ensuring that Northern Ireland’s voice is heard clearly in the Brexit negotiations?