Good times are over, says North's Finance Minister

The good times of increased public spending in the North are over, the Finance Minister said today.

Tackling the budget deficit will affect the ministerial Executive for years to come, Sammy Wilson added.

The North's departments and agencies face making £128m (€154.23m) spending reductions as well as savings already planned because of Westminster action to slash the largest deficit in peacetime history.

Mr Wilson (DUP, East Antrim) said: “The good years of increased year-on-year public spending have come to an end.”

Opening a debate on the North's budget in the Assembly, the minister called for a new spirit of realism.

He urged committees to examine the budgets of the departments they scrutinise.

“I accept that the appalling and unprecedented national deficit must be tackled – the largest budget deficit in peacetime history – and although not of our making the fallout will impact on this administration for many years to come and we must rise to the challenge,” he added.

He said tough decisions lay ahead for the Executive and Assembly.

He urged any MLAs who may call for more funding for particular areas to put forward sensible ideas, not just for new spending, but also for where any finance should be taken from.

David McNarry (UUP, Strangford) said they were wasting millions on rate arrears and highlighted the cost of local government reform. He urged MLAs to work together to try and address budget difficulties.

John O’Dowd (Sinn Féin, Upper Bann) said the North needed to build an economy across the islands which could be of benefit.

He also warned direct water charging would have a detrimental impact on people’s health and called for more investment in improving lifestyles.

Mr O’Dowd said ring-fencing the health budget we would be spending time treating ill people instead of measures like providing good jobs which can have a more sustained impact on maintaining health.

“The argument to simply ring-fence the health budget does cause me concern because it ignores the simple fact that we as a society, Assembly and Executive should be about creating good health,” he added.