The DUP has voiced hope that the funding gap could be closed sufficiently to allow a Stormont budget to be agreed. Party leader Gavin Robinson described a “sense of realism” entering budget discussions with the UK Government, following a meeting with Secretary of State Sir Chris Bryant at Parliament Buildings on Thursday.
Funding gap and Barnett consequentials
Robinson referenced the expected announcement next week of Barnett consequentials, which are funding adjustments given to Scotland, Wales, and Northern Ireland in response to adjusted policy spending in England. Previously, Sir Chris insisted there is no more money available beyond the £1.5 billion currently on the table.
Robinson suggested a closing of the funding gap next Wednesday could give Stormont ministers a “fighting chance” to balance its budget. He said: “It is clear to us – and has been for some time – and I think it is now clear to the Secretary of State that no matter whether this Executive passes a budget, or indeed he steps in and the Government pass it on the Executive’s behalf, the books cannot balance.”
Party reactions
Sinn Féin president Mary-Lou McDonald cautioned that the money on offer from London “still runs far short” of what is necessary for public services and public sector pay awards. She said there will be “further conversations”, adding that Stormont Finance Minister John O’Dowd had been involved in “months and months of talks”.
Alliance deputy leader Eóin Tennyson said the budget “must be brought to a swift resolution”, while opposition leader Matthew O’Toole said being half way through the financial year without an agreed budget was “creating crisis in public services”. UUP deputy leader Diana Armstrong criticised weeks of “distraction and chaos”, noting the Executive faces a £1.3bn shortfall.
Political tensions and next steps
Earlier, Sinn Féin accused the DUP of “deflecting” after DUP deputy First Minister Emma Little-Pengelly claimed Sinn Féin First Minister Michelle O’Neill had rejected an invitation to meet Chief Secretary to the Treasury Emma Reynolds alongside Sir Chris. Sinn Féin said there had been no agreement for a joint meeting, adding: “The DUP are deflecting.”
Executive departments have been operating without a budget since April, spending up to 95% of last year's funding. The UK Government has offered an extra £1.5 billion over three years. Prime Minister Andy Burnham told MPs he had found extra money and urged all parties to “set a budget and get Stormont functioning as it should.”