The Public Expenditure Minister Paschal Donohoe has denied HSE claims that there is not enough money to pay for the new National Children's Hospital.
Paschal Donohoe has disputed claims by HSE head Tony O'Brien, who said there was not enough set aside to pay for the €1bn facility.
Mr O'Brien told TDs yesterday that the agency could not even sign contracts to get the project underway because of the funding situation.
However, Paschal Donohoe said money had been ringfenced, and that managing it was simply a matter of housekeeping.
He said: "There was funding ringfenced from the sale of the National Lottery franchise…Tony O'Brien and the HSE won’t be in a position to know how much money we have available for a particular capital project until Cabinet makes a decision in relation to it."
The €1bn contract to build the Children's Hospital was awarded to BAM Ireland last week.