logo
Ministers to be warned over spending amid economic uncertainty

Ministers to be warned over spending amid economic uncertainty

Irish Times6 hours ago

Cabinet Ministers are to be warned of their responsibility to ensure value for money when they authorise the spending of public funds this year.
In the midst of a period of global economic uncertainty, Minister for Public Expenditure
Jack Chambers
is to remind colleagues they will have to stay within the
budgetary ceilings
set for them in 2025.
The
Fianna Fáil
Minister will tell Cabinet on Tuesday that a total expenditure ceiling of more than €100 billion was announced as part of
Budget 2025
covering all Government departments.
He will say all Ministers must be prudent with public money. The responsibility for staying within budget will be extended to agencies that come under the responsibilities of their departments.
READ MORE
The memo will be received as a warning shot to Ministers and their departments about breaching spending ceilings. While some sectors, especially health, have spent more than was allotted in their vote, it is understood there will be less tolerance for departmental overspending during 2025.
The Government is also poised to give a green light for a multibillion dollar blueprint aimed at dramatically changing the face of Dublin city centre within a decade.
[
The Irish Times view on Dublin City dereliction
Opens in new window
]
Taoiseach
Micheál Martin
will bring a memo to Cabinet seeking approval for a 10-year roadmap that will include an ambitious regeneration of the social housing stock, 1,000 extra gardaí on its streets, as well as a project to change the historic GPO building into a major hub on O'Connell Street.
The roadmap, prepared by senior civil servants, is based on the work of the
Dublin city Taskforce
, the body established to examine potential rejuvenation mechanisms.
There have been calls to revitalise the city centre over many years amid rising concerns over public safety, crime, antisocial behaviour, drug-taking, litter and no-go areas. Those concerns came to a head during the riots that occurred around the O'Connell Street area of the north inner city in November 2023.
The Taoiseach will seek approval to set up a 'special purpose vehicle' under Dublin City Council to implement the plan . A project management office will also be established.
The historic GPO complex will be revamped as an ambitious flagship project with cultural, retail and office elements, the memo will outline.
The
recommendations of the taskforce report
in October 2024 included the rejuvenation of O'Connell Street and its surroundings, the regeneration of social housing complexes, putting high-density accommodation into derelict sites, and stationing 1,000 more gardaí in the area.
Mr Martin will also brief Cabinet on a group asked to implement a report on conveyancing on probate. Its main recommendation was to reduce the processing time for probate to eight weeks and to fully implement e-conveyancing by 2027.
The group was asked to come up with a practical way of implementing the recommendations and is expected to do so by December.
Minister for Health Jennifer Carroll MacNeill will seek approval for new legislation ensuring a minimum standard of patient safety in Irish hospitals.
The Patient Safety (Licencing) Bill 2025 will require public and private hospitals to operate to minimum core standards.
Minister for Higher and Further Education James Lawless will bring a progress report on policy aimed at delivering 750 public sector apprenticeships each year.
Significant progress has been made, the document will say, with registrations rising from 67 in 2022 to a projected 554 in 2025.
Mr Lawless will also bring a memo that changes the standards of State-supported student accommodation. The model will provide for the greater use of shared facilities such as twin rooms, communal kitchens and shared bathrooms replacing the current reliance on individual en-suite units.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Iran conflict could spark fuel price rises but it will not hit Irish supplies
Iran conflict could spark fuel price rises but it will not hit Irish supplies

Irish Times

timean hour ago

  • Irish Times

Iran conflict could spark fuel price rises but it will not hit Irish supplies

Homes, businesses and motorists could face higher fuel prices as a consequence of the conflict in Iran , but not a threat to supplies, Irish oil suppliers believe. Recent Israeli and US attacks on Iran's nuclear facilities have sparked fears for oil and gas supplies, and raised the risk that the Islamic Republic will shut or block the Strait of Hormuz, a key shipping lane for the Middle East's producers. Any blockade of the strait would be a 'worst-case scenario', according to Kevin McPartland, chief executive of industry body Fuels for Ireland, but he added that this would not hit supplies to the country. However, the conflict continues to drive prices up, he said. Both petrol and diesel are up 10 cent a litre, while home heating oil has risen 7-8 cent since Israel first launched its attacks on Iran. READ MORE 'And that's not factoring in America's intervention over the weekend,' Mr McPartland said. Oil prices regained some ground early on Tuesday after Israel warned of new missile fire from Iran and pledged to retaliate, threatening a ceasefire announced just hours earlier by US President Donald Trump . Brent crude, the international oil benchmark, fell as much as 5.6 per cent to $67.50 on Tuesday morning after Mr Trump said that the regional rivals had agreed to a ceasefire, allaying fears that the conflict would restrict global oil supply. But prices bounced after Israel said it would 'respond forcefully' to what it called a violation of the ceasefire, leaving Brent down just 2.4 per cent at $69.76 a barrel in London. There are time lags between global market increases and what motorists and consumers pay for fuel. Mr McPartland's organisation represents suppliers including Circle K, Maxol and Applegreen, along with Whitegate Oil Refinery. He explained that these businesses, which meet around half of Irish energy needs, can draw on multiple sources for their products, so do not depend solely on a single region. 'So there is no need for anyone to be panic buying,' he said. But the conflict in Iran threatens to continue pushing up globally with the result that oil will cost more irrespective of where it is produced. The Strait of Hormuz is one of the world's busiest shipping channels, with around 20 per cent of global oil production flowing through the waterway each day. Iran controls its northern side. Analysts at investment bank Goldman Sachs calculated that a closure of the Strait of Hormuz could drive prices to $110 a-barrel. Mr McPartland said suppliers here would not gain from any price rises that the conflict causes. 'The people that benefit are the traders,' he said. The Government also gains as its tax take from price increases on fuel, which is subject to 23 per cent VAT, one of the highest rates in Europe. AA figures show that the State gets more than 50 per cent of what drivers pay for petrol and diesel. 'We have been calling on the Minister for Finance to establish an expert group to review the taxation of fuel,' Mr McPartland said. The prospect of businesses and families paying 'more and more' for oil and gas makes this even more urgent. Paschal Donohoe, Minister for Finance, has agreed to meet Fuels for Ireland, he added.

Fury at ‘goodies' for Independents who voted against the Government
Fury at ‘goodies' for Independents who voted against the Government

Extra.ie​

timean hour ago

  • Extra.ie​

Fury at ‘goodies' for Independents who voted against the Government

Government backbenchers are irate that Independents who have voted against the Coalition are set to be rewarded with 'constituency goodies' in the National Development Plan (NDP). has learned of growing frustration among the Fianna Fáil and Fine Gael rank-and-file as NDP negotiations intensify, with all TDs 'anxious' to see the needs of their constituents addressed. Many have voiced their discontent with the fact that Barry Heneghan, Gillian Toole and Danny Healy-Rae still 'have the ear of ministers' and what might be perceived as greater leverage in securing NDP commitments despite voting against the Government in recent weeks. Independent TD Barry Heneghan. Pic: Tom Honan One Fianna Fáil TD said: 'This can't be an a la carte arrangement where they support the Government when it suits. 'They have the ear of ministers, they're getting more goodies than backbenchers and they're apparently allowed to vote whichever way they want. They can't have it both ways.' A Fine Gael TD added 'We went through all of that strife at the beginning of the Dáil term over the speaking rights for them to turn around and start voting against [us]. It is not right. Independent TD Gillian Toole. Pic: Facebook 'The whip has not been cracked firmly enough.' The NDP is a ten-year plan encompassing all the State's capital spending. The current plan will run between now and 2030 and has been allocated a record budget of €165billion. Upon the formation of the current Coalition, it was announced that the NDP will be reviewed this year, with the revised plan set to be published in the latter half of this month. Independent TD Danny Healy-Rae. Pic: Alan Rowlette/ One source close to the Regional Independents said previously that the NDP review will provide an opportunity for the cohort to begin 'horsetrading' for constituency projects which did not form part of the Programme for Government negotiations. An additional €35billion will come on stream in that review, the source said in January, to be spent on projects across all Government departments. The source added: 'That is when the Healy-Raes can try to get their goodies for Kerry – likewise for other TDs across the Regional Independents, Fianna Fáil and Fine Gael.' In a radio interview at the beginning of the year, TD Michael Lowry, who led Government formation talks for the Independents, said the group's 'input' to the review of the NDP and the HSE Capital Plan will be 'central' to their work in Government. Independent TD Michael Lowry. Pic: Leah Farrell/ Public Expenditure Minister Jack Chambers began discussions with his Cabinet colleagues over additional funding for their departments last month, with Government figures saying the allocations are currently being finalised by civil servants. Regional Independents have kept tight-lipped about their engagements with Mr Chambers and Finance Minister Paschal Donohoe in relation to the NDP. However, one source was adamant that the decision taken by members of the group to vote against the Government has not impacted their position to negotiate in NDP talks. They said: 'We only have to vote with them on matters of the economy and confidence.' Public Expenditure Minister Jack Chambers. Pic: Fran Veale However, 'eyebrows were raised' in the two main Government parties after Dublin TD Barry Heneghan and Meath TD Gillian Toole voted with the Opposition motion to ban the sale of Israeli 'war bonds' through Ireland twice last month. Further questions about the strength of the Coalition surfaced when Danny Healy-Rae took the 'unprecedented' step of calling for a vote against a People Before Profit-Solidarity Bill to ban fox hunting at the 'first stage' of the Dáil. Typically all pieces of legislation are allowed to proceed to 'second stage' where they can be debated, with the Government voting to allow the legislation to progress. A senior Government source repeatedly told that 'constituency deals will play no role in NDP negotiations' – despite Mr Lowry's comments from the beginning of the year. Speaking to the last night, Ms Toole said: 'I am unaware of any adverse commentary by backbench colleagues. I'm an Independent TD committed to the Programme for Government; this puts me in the best place to deliver for the people of north Dublin who elected me.'

No help for households if petrol prices keep soaring
No help for households if petrol prices keep soaring

Extra.ie​

time2 hours ago

  • Extra.ie​

No help for households if petrol prices keep soaring

Taoiseach Micheál Martin has downplayed the prospect of new cost-of-living measures in the Budget as fears grow over a spike in petrol prices and inflation as a result of the conflict in Iran. Two supertankers U-turned in the Strait of Hormuz on Monday amid fears Iran could disrupt the global oil trade by closing the passage in response to US strikes. The crisis could send oil prices spiralling depending on which way the situation plays out, a leading economist warned. Crude prices on Monday had jumped more than $10 a barrel to almost $72 since early May – up more than 16% in little over a month. Taoiseach Micheál Martin has downplayed the prospect of new cost-of-living measures in the Budget. Pic: Leah Farrell/ The crisis has already added around 9c to a litre of petrol and 8c to diesel at the pumps, sending petrol prices to almost 180c a litre and diesel to around 174c. Kevin McPartlan, chief executive of Fuels for Ireland (FFI), said fuel prices 'are rising sharply across Ireland, not due to domestic policy decisions, but because of escalating global tensions and energy market volatility'. He said: 'Even before the US launched its latest actions in Iran, wholesale prices had already surged by 9c per litre for petrol, 8c for diesel and 7c for kerosene. Those are wholesale prices, before VAT, excise duty, or any retailer margin is applied.' The Government has already ruled out cost-of-living measures such as energy credits in the October Budget. The Taoiseach on Monday signalled the Government is not minded to change course, despite the situation in the Middle East. Fears are growing over a spike in petrol prices and inflation as a result of the conflict in Iran. Pic: Shutterstock He said: 'We have identified housing, disability and child poverty as key priorities of the Budget, and these are issues that I'm certainly wedded to, but also doing it in a core budgetary manner. 'The challenge with once-off [payments] is it wouldn't be core or long term or sustained. The closure of the Strait of Hormuz would be very, very serious globally, although it would damage everybody, including Iran. 'It may not happen because of that very reason that it's mutually destructive to everybody. The crisis could send oil prices spiralling depending on which way the situation plays out, a leading economist warned. Pic: Shutterstock 'That is why we do need to return to the diplomatic table… Because that is the danger with a war of this kind, that it can continue and it can lead to other acts which will ultimately be damaging to humankind.' It was unclear what caused the two empty ships to head south, away from the mouth of the Persian Gulf. The Strait of Hormuz is a Gulf pinch point and means tankers must sail close to Iranian waters but the Iranian parliament was reported to have backed a move to close the Strait, threatening around a fifth of all global oil movements. The closure would threaten shipments from Persian Gulf countries, likely further spiking prices. Ireland imports 100% of its fuel and is vulnerable to any movements in oil prices. 'Approximately 20% of the world's oil passes through the Strait of Hormuz, a strategic choke-point now at risk,' Mr McPartlan said. The crisis has already added around 9c to a litre of petrol and 8c to diesel at the pumps, sending petrol prices to almost 180c a litre and diesel to around 174c. Pic: Shutterstock 'Fuel retailers in Ireland are not setting prices arbitrarily. When fuel prices go up, so does the State's tax take automatically. This underlines the urgent need for a comprehensive review of how fuel for heating and transport is taxed. We are calling on the Minister for Finance to establish a group of experts to undertake this review as a matter of urgency.' Irish Petrol Retailers Association (IPRA) spokesman David Blevings said 'the real fear is an escalation of violence that could see refineries targeted or supply lines hit that would have an impact on global supply lines'. Economist Austin Hughes said: 'We do know which way it's going to go, but we don't know how far it's going to go. 'It's very difficult to see a scenario in which risk profiles don't push energy prices higher into the autumn and winter… Unless it becomes abundantly clear the strike at the weekend was the final act…' As Iran does not have a 'squadron of bombers ready to retaliate' there will probably be 'some sort of terrorist attack or other disruption', he warned. Oil prices jumped more than 4% early yesterday and Dutch and British wholesale gas prices also rose.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store