Northern Ireland Budget (No. 2) Bill

Robin Walker Excerpts

2nd reading
Monday 10th July 2023 Commons Chamber

[Chris Heaton-Harris]

I thank the right hon. Gentleman for his point. He and his party representatives, and indeed all the political parties in Northern Ireland, have been working extremely hard behind the scenes—and in front of the camera, after each occasion—to develop what will, hopefully, be a plan for government, and proposals for the budget. As I say, it is time to bring those proposals forward into more political discussions. I know that each of the political parties will require a little time to develop those plans within their political committees and what have you. I should acknowledge, though, that I have already received budget proposals from the Alliance party, and I would welcome similar engagement from all the other parties.

Before I briefly summarise the intention behind the Bill, I should express my sincere thanks to the Opposition for their continued co-operation with the Government as we seek to bring the Bill forward at the requisite pace. I am particularly grateful to the shadow Northern Ireland Secretary, the hon. Member for Hove (Peter Kyle), who, as always, has been constructive. I also thank others on the Opposition Front Bench for the way that they have approached the Bill, and my hon. Friend the Member for North Dorset (Simon Hoare), who is Chair of the Northern Ireland Affairs Committee, and the Committee members, for their interest in the Bill.

The Bill will place on a legal footing the budget allocations that I outlined to the House via written ministerial statement on 27 April. I am conscious that the hour is already relatively late, and lots of hon. and right hon. Members want to contribute. I therefore do not propose repeating the contents of that written ministerial statement, which sets out the departmental allocations reflected in the Bill.

[Mr Robin Walker (Worcester) (Con)]

I am very cognisant of the difficulties that the Secretary of State faces with the Bill, and his frustration at having to deliver it at all. It is clear, though, that the budget for education in Northern Ireland is going down, even though the budget for education in England is going up quite substantially this year. Given the pressures faced in education, and what the Education Committee has heard about those pressures, can he at least confirm to the House what per-pupil spending in Northern Ireland will be after these budget changes? How will it compare with per-pupil spending elsewhere in the UK? Or perhaps the Minister of State, Northern Ireland Office, my hon. Friend the Member for Wycombe (Mr Baker), can give those figures in his concluding speech.

[Chris Heaton-Harris]

I thank my hon. Friend for his question, and acknowledge his long-standing interest in this area. He does great work on the Select Committee. I know that he has read the Institute for Fiscal Studies report published on 21 April, which stated that Northern Ireland spent similar amounts to England and Wales per pupil in 2022-23. Spending per pupil in Northern Ireland grew by 11% in real terms between 2018-19 and 2022-23, after having fallen for almost a decade. I will try to get him the exact details; if I cannot do that by the end of this debate, I shall write to him with them, but we have been following this issue, and he has been prodding us along all the way.

I was talking about the budget’s departmental allocations. As in the 2022-23 Northern Ireland budget, the allocations were developed after extensive, sustained engagement with the Northern Ireland civil service. The Bill will mean that Northern Ireland Departments have a total resource budget available of £14.2 billion, and a capital budget of £2.2 billion. That includes the Northern Ireland Executive block grant, set at the 2021 spending review and through the subsequent operation of the Barnett Formula, and income from regional rates.

I emphasise—I will no doubt state this a number of times, in this debate and elsewhere—that the sum available for this budget would have been the same sum provided to the Executive for 2023-24, if they were in place.

I recognise that the Northern Ireland Departments, in the absence of elected Ministers, will face difficult decisions, but it is necessary to deliver a balanced budget. These decisions rest with the Northern Ireland civil service, but I will continue to work with them to protect frontline services in Northern Ireland.