The funding and delivery of public services in Northern Ireland

Northern Ireland Affairs Committee Closed Inquiry
Opened: 14 Feb 2023 Closed: 28 May 2024 Parliament page
The Northern Ireland Affairs Committee is launching an inquiry into the funding of public services in Northern Ireland. The inquiry will look at the financial situation facing Northern Ireland’s public services, including health, education and the police, and how the lack of a functioning Executive has impacted on budgetary management. … Read more
12 Recommendations
3 Conclusions
1 Report
5 Oral sessions
8 Letters
5 Events
Activity timeline 20 events
14 Nov
2024
Report published
26 Mar
2024
Report published
15 Nov
2023
Correspondence
15 Nov
2023
Correspondence
8 Nov
2023
Oral evidence
8 Nov
2023
Formal meeting (oral evidence session) · Room 6, Palace of Westminster
6 Sep
2023
Correspondence
6 Sep
2023
Correspondence
4 Jul
2023
Oral evidence
4 Jul
2023
Formal meeting (oral evidence session) · Room 5, Palace of Westminster
21 Jun
2023
Oral evidence
21 Jun
2023
Correspondence
Oral evidence sessions 5 sessions
8 Nov 2023
View on parliament.uk
Emma Morgan · SEN Reform NI Paul Johnson CBE · Independent Fiscal Commission for Northern Ireland Paul Kavanagh · SEN Reform NI Professor Gerald Holtham · Independent Commission on Funding and Finance for Wales
4 Jul 2023
View on parliament.uk
Celine McStravick · Northern Ireland Council for Voluntary Action (NICVA) David Babington · Action Mental Health Dr Lisa Wilson · Nevin Economic Research Institute Michele Janes · Barnardo's Northern Ireland Sir Robert Chote · Northern Ireland Fiscal Council
21 Jun 2023
View on parliament.uk
Dorinnia Carville · Northern Ireland Audit Office Geraldine Hanna, Victims of Crime Commissioner Designate for Northern Ireland Margaret Kelly, NI Public Services Ombudsman Mark McNaughten · The Police Service of Northern Ireland Pamela McCreedy · Police Service of Northern Ireland Rodney Allen · Northern Ireland Audit Office Sean Martin, NI Public Services Deputy Ombudsman
24 May 2023
View on parliament.uk
Dolores McCormick · Royal College of Nursing Dr Tom Black · British Medical Association (BMA) Liam McGuckin · National Association of Headteachers (Northern Ireland) Mark Baker · Controlled Schools’ Support Council Professor Mark Taylor · Royal College of Surgeons Sara Long · Education Authority
3 May 2023
View on parliament.uk
Jayne Brady · Northern Ireland Civil Service Joanne McBurney · NI Department of Finance Neil Gibson · NI Department of Finance
Title HC No. Published Items Response
Third Report - The funding and delivery of public services in No… HC 46 26 Mar 2024 15 Responded
Recommendations & Conclusions
15 results
1 Recommendation Deferred
Third Report - The funding and del…
Introduce statutory duty for NI Department of Health to publish workforce projections.
We are concerned about staff recruitment and retention in the health service, with thousands of empty posts and a reliance on costly agency staff. The equivalent of 26.3% of the Northern Ireland population are on waiting lists, with some going … Read more
Government Response
The government details substantial past and future financial packages for the NI Executive and states that discussions on the next phase of the fiscal framework are commencing. Regarding a statutory duty on the Department of Health to publish workforce projections, the government states this is a devolved matter for which the Department of Health is responsible.
Northern Ireland Office
View details
2 Recommendation Deferred
Third Report - The funding and del…
Require Northern Ireland Executive to prioritise SEN pupil numbers in education funding allocation.
After years of under-investment, the education sector has been struggling to fulfil its statutory duties. Spending per pupil has been consistently lower in Northern Ireland than in England. We are particularly concerned about the future of provision for children and … Read more
Government Response
The UK Government's response did not address the recommendation for the Northern Ireland Executive to account for increasing SEN pupil numbers in education funding, instead quoting a different recommendation without providing a specific reply.
Northern Ireland Office
View details
3 Recommendation Deferred
Third Report - The funding and del…
Mandate Treasury, NIO, and NI Executive to review PSNI's financial framework.
Cuts in police officer numbers due to recent budgetary pressures will impact on the PSNI’s visibility and ability to respond to increased demand. Officer numbers have dropped some way below the 7,500 committed to under the New Decade, New Approach … Read more
Government Response
The government recognises the PSNI's difficult financial position but states that policing is a devolved matter for the Northern Ireland Justice Minister to determine funding allocation. While detailing significant financial packages to the NI Executive and specific additional security funding, it states the Justice Minister and PSNI can raise concerns regarding funding with HM Treasury during Spending Review discussions, but does not commit to a specific rethink of the PSNI’s financial framework.
Northern Ireland Office
View details
4 Recommendation Deferred
Third Report - The funding and del…
Require Northern Ireland Executive to consider VCSE sector's contribution in future budgetary decisions.
The voluntary, community and social enterprise sector has struggled in the recent funding environment, and this is likely to have piled further pressure onto stretched public services. When making future budgetary decisions the Northern Ireland Executive must take account of … Read more
Government Response
The government recognises the significant contribution of the voluntary, community, and social enterprise sector, but states that budgetary decisions regarding the sector are a devolved matter for the Northern Ireland Executive.
Northern Ireland Office
View details
5 Recommendation Accepted
Third Report - The funding and del…
Publish future UK Shared Prosperity Fund allocation scope for NI public bodies.
The delivery and timing of the UK Shared Prosperity Fund (UKSPF) caused considerable distress and uncertainty in the sector, particularly the decision to communicate the outcome of applications on the day European Social Funding ceased. The Government has announced that … Read more
Government Response
The government has announced that the UK Shared Prosperity Fund will be extended for 2025-26 at a reduced level of £900 million. Regional, nation-level, and local allocations will be confirmed and published on gov.uk as soon as possible.
Northern Ireland Office
View details
6 Recommendation Not Addressed
Third Report - The funding and del…
Mandate Government to assess public service funding implications from 2026/27 cliff-edge.
Northern Ireland’s public services, especially in the health, education and justice sectors, are in a poor state after years of political instability, lack of funding and of reform. The additional £520 million per year promised by the Government in 2024/25 … Read more
Government Response
The government states that budgets for 2026-27 onwards are based on projections and confirms the Executive can plan on being funded at or above 124% of their relative need. It provides general information on the fiscal framework but does not explicitly set out an assessment of the implications of the expected funding drop or the rationale for its two-year stabilisation funding decision as requested.
Northern Ireland Office
View details
7 Recommendation Accepted
Third Report - The funding and del…
Mandate Northern Ireland Executive to commit to multi-year budgetary settlements for public services.
Single-year budgets and a lack of an agreed Programme for Government have not allowed for long-term thinking and planning for public services and spending in Northern Ireland over recent years. We urge the Executive to commit to returning to multi-year … Read more
Government Response
The government commits to multi-year spending reviews every two years, starting Spring 2025, and expects the Northern Ireland Executive to return to multi-year budgets following this. It also clarifies that the NIE can already carry forward underspends via the Budget Exchange system, and reiterates commitment to ongoing Fiscal Framework discussions.
Northern Ireland Office
View details
8 Recommendation Accepted
Third Report - The funding and del…
Clarify Government's evaluation and monitoring of NI fiscal sustainability plan implementation.
We are pleased to see reference to the publication and implementation of a fiscal sustainability plan as part of the settlement between the Government and Executive, which will include detail on long-term budget planning. It is noted that there is … Read more
Government Response
The government clarifies that the £559 million debt will be written off if the Executive balances its 2024-25 budget and raises £113m revenue from 2025/26, with the Chief Secretary to the Treasury confirming this if conditions are met, thus outlining the monitoring of the conditionality.
Northern Ireland Office
View details
9 Conclusion Deferred
Third Report - The funding and del…
Mandate NI Executive to establish Public Services Transformation Board and detail reform plans.
The transformation agenda is critical to getting Northern Ireland’s finances onto a sustainable footing and cannot be delayed any further. The underfunding of local public services by the Treasury and the lack of an Executive for five out of the … Read more
Government Response
The UK Government's response did not address the recommendation for the Northern Ireland Executive to set out public service transformation plans and establish the Transformation Board, instead quoting a different recommendation without providing a specific reply.
Northern Ireland Office
View details
10 Recommendation Not Addressed
Third Report - The funding and del…
Require Treasury to provide guidance on building investment cases for NI funding bids.
Northern Ireland would benefit from being more entrepreneurial in how it bids for funding for public service reform - for example, by linking its bids into wider Government agendas and aims including cross-Departmental working, partnership with the business community and … Read more
Government Response
The government provided £235 million for public service transformation and notes the NI Executive has established a Public Sector Transformation Board and published its Programme for Government. However, the response does not address the specific recommendation for the Treasury to provide guidance on building investment cases for funding bids.
Northern Ireland Office
View details
11 Conclusion Acknowledged
Third Report - The funding and del…
Northern Ireland public services face chronic underfunding and insufficient block grant uplift from Treasury.
Many of the structural, resource and funding issues facing Northern Ireland have been a long time in the making, but the lack of ministerial direction and accountability in recent times has not helped the plight of public services in Northern … Read more
Government Response
The government acknowledges the severe funding situation for the PSNI and expresses an urge for a rethink by the Treasury, Northern Ireland Office, and the Northern Ireland Executive regarding the PSNI’s financial framework.
Northern Ireland Office
View details
12 Conclusion Acknowledged
Third Report - The funding and del…
Reduced UK public spending negatively impacts Northern Ireland's block grant and Barnett formula allocations.
Decisions by UK Governments to reduce overall UK public spending have a significant impact on the funding Northern Ireland receives through the block grant, which makes up the vast majority of its expenditure. With tighter budgets in England, annual allocations … Read more
Government Response
The government acknowledges Northern Ireland's unique financial challenges and higher relative need, referencing ongoing discussions towards a full fiscal framework and existing structural changes like the 24% needs-based factor in the Barnett formula.
Northern Ireland Office
View details
13 Recommendation Accepted in Part
Third Report - The funding and del…
Include review of needs-based Barnett factor calculation in Fiscal Framework negotiations terms of reference.
We endorse calls for a review of the fiscal framework for Northern Ireland and welcome the willingness of the Government to open negotiations with the Executive in this regard. However it is deeply regrettable, because of the failure to baseline … Read more
Government Response
The government commits to taking forward discussions towards a full fiscal framework and will consider a review of the relative needs-based factor if multiple independent and credible sources provide evidence that the current assessment is different. This falls short of including the review as an automatic part of the terms of reference.
Northern Ireland Office
View details
14 Recommendation Acknowledged
Third Report - The funding and del…
Consider lower income households' needs when Northern Ireland Executive examines revenue-raising options for public services.
We note that there have been calls that any consideration given by the Northern Ireland Executive to revenue raising should only take place once UK Government funding at levels equal to or above assessed need has been restored. The Northern … Read more
Government Response
The government commits to implementing corporation tax devolution via a Joint Exchequer Committee and notes ongoing discussions for the next phase of the fiscal framework. It states the NI Executive needs to make difficult decisions on revenue-raising to ensure financial sustainability, but does not explicitly state how lower income households will be considered.
Northern Ireland Office
View details
15 Recommendation Deferred
Third Report - The funding and del…
Include reference to further fiscal devolution in upcoming Fiscal Framework negotiations by mid-2024.
We welcome the work of the Independent Fiscal Commission for Northern Ireland on further fiscal devolution. The devolution of such powers will not address the difficult situation in which public services currently find themselves but could help strengthen the economy … Read more
Government Response
The government's response does not address the recommendation for fiscal devolution negotiations to start in the first half of 2024, instead stating that the Northern Ireland Executive must consider a sector's contribution when making future budgetary decisions.
Northern Ireland Office
View details
Government Response AI assessment · 15 of 12 classified
Accepted 3
Accepted in Part 1
Acknowledged 3
Deferred 6
Not Addressed 2
Total 12 recs + 3 conclusions
Correspondence 8 letters
15 Nov 2023 Correspondence to Permanent Secretary, Northern Ireland Department of Health, relating to suspension of emergency surgery in county Fermanagh, 3 November 2023
Parliament page
15 Nov 2023 Correspondence from Permanent Secretary, Northern Ireland Department of Health, relating to suspension of emergency surgery in county Fermanagh, 13 November 2023
Parliament page
6 Sep 2023 Correspondence to the Secretary of State, relating to the transformation priorities for the Northern Ireland health service, 20 July 2023
Parliament page
6 Sep 2023 Correspondence from the Secretary of State, relating to the transformation priorities for the Northern Ireland health service, 4 September 2023
Parliament page
21 Jun 2023 Correspondence from Medical General Council, relating to the funding and delivery of public services in Northern Ireland, 16 June 2023
Parliament page
7 Jun 2023 Correspondence from the Head of the Civil Service, Northern Ireland, relating to the funding and delivery of public services in Northern Ireland inquiry, 31 May 2023
Parliament page
7 Jun 2023 Correspondence from the Comptroller and Auditor General, Northern Ireland Audit Office, relating to allocation of budget to the Northern Ireland Audit Office 2023-24, 26 May 2023
Parliament page
24 May 2023 Correspondence from the Controlled Schools’ Support Council, relating to the funding and delivery of public services in Northern Ireland inquiry, 11 May 2023
Parliament page