Northern Ireland: Public Expenditure

Lord Smith of Clifton Excerpts

Tuesday 22nd June 2010 Lords Chamber

[Lord Shutt of Greetland]

My Lords, I thank the noble Lord for his supplementary question and acknowledge his experience in adding to the private sector in Northern Ireland. I can advise him that my right honourable friend the Chancellor of the Exchequer confirmed today in his Budget Statement in another place that the Government, in consultation with the Northern Ireland Executive, propose to publish a paper on rebalancing the Northern Ireland economy which will examine potential mechanisms for changing the corporation tax rate in Northern Ireland.

[Lord Smith of Clifton]

My Lords, when allocating resources in the future, will the Government take into account the recent recommendations of the Select Committee on the Barnett formula, which said that Scotland had far too much, Wales had far too little, Northern Ireland needed a little more and England needed some more?

[Lord Shutt of Greetland]

My Lords, the Government have no plans to review the Barnett formula until the fiscal stabilisation plans set out in the Budget have been worked through. However, that report is still valid and will be considered at the due time.