Northern Ireland

Conor Murphy: Budget is `difficult trade-off but financial reality we face'

Sinn Féin Finance Minister Conor Murphy
Sinn Féin Finance Minister Conor Murphy Sinn Féin Finance Minister Conor Murphy

SIX weeks ago the British government’s spending review set the executive’s block grant for the next three years. It now falls to the executive to decide how the available resources should be distributed between different departments and different priorities.

All five executive parties have publicly committed to prioritising health and social care. This prioritisation is shared by wider society. A recent survey found that 70 per cent of people want the budget to prioritise health.

This is understandable given that the health service has long suffered from underfunding, particularly since the onset of austerity in 2010. It is also the case that there are significant inefficiencies within the health system. Therefore there is a need both for additional resources and for fundamental reform.

The draft budget delivers additional resources, increasing the health budget by 10 per cent over the three-year period. Strategies for waiting lists, cancer services, and mental health are funded in full. Of course the health department still faces serious challenges, particularly as the Covid pandemic is still with us. More money could always be spent on Health. But any further diversion of resources to the health department would risk damaging other public services. A balance has to be struck between health and other public services. It is a difficult trade-off but that is the financial reality we face.

A three month consultation will now begin before a final budget is agreed by the end of March next year. During this period the health department will set out its plans to use the multi-year budget to reform services and permanently bring down waiting lists.

Other ministers will also set out how they plan to manage their own departmental budgets. The prioritising of health undoubtedly creates challenges for other public services. These challenges can be met with political maturity. Ministers can respect the commitment to health and set out in a mature and measured manner how they intend to make the most of the resources available to them. Alternatively they can warn of dire consequences in an attempt to leverage more funding for their departments.

As finance minister, I was tasked with drafting a budget which reflects the priority of the executive and society to health and social care. The draft budget delivers on this. It is now time to stay firm in this priority, sensibly manage the difficulties this prioritisation presents for other departments, and deliver health transformation.

:: Conor Murphy is the north's finance minister.