Plan for special independent budget evaluation unit

The final touches are set to be agreed on next week’s spring economic statement, which will include plans for an independent budget evaluation unit.

Taoiseach Enda Kenny and his ministers are this week expected to discuss the statement at the Economic Management Council meeting.

While not expected to drill down specific spending promises, the statement will outline future costing measures and lay out rules on how overspending can be avoided.

Government sources said Finance Minister Michael Noonan is expected to commit to setting up an independent spending evaluation unit which will be linked to the Oireachtas and involve independent economists.

Announcements next Tuesday — when the statement is released — are expected to include reference to the national economic dialogue, an open forum in the summer which will consider pay, tax, and spending priorities. Mr Noonan and Public Expenditure Minister Brendan Howlin will also make speeches in the Dáil.

Separately, Mr Howlin yesterday said he will bring proposals to Cabinet on public sector pay within the next week or two. He also said he expected the Government to open dialogue with the unions in the near future.

The Labour minister said productivity was the normal part of the way everyone does business now. “I have the first quarter returns now. I’ve said we will open dialogue with the public sector unions, and I expect that formally to begin shortly.

“I have been bemused by some people getting fixated by it. Innovation, doing things differently, using technology that is part of every public and private innovation right now and that will continue to be the way.

“I am not going in any conditionality in relation to it. I am saying that doing things differently, looking at innovative ways to deliver services, looking at rosters in a creative way that is everyone’s interest because the public sector unions obviously want pay restoration but they obviously want more resources.”

Elsewhere, Communications Minister Alex White is expected to bring a memo to Cabinet today on public service broadcasting and RTÉ. It will relate to a report by economic consultants Indecon, which deals with potential savings, how licence fees could be collected in future as well advertising issues.

Mr White has already said that despite a commitment in the programme for government, it is unlikely that the proposed broadcasting charge will now be introduced during the lifetime of the Coalition.

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