It is “unacceptable” that Stormont ministers continue to spend beyond their allocated budget, the Northern Ireland Secretary has said.
Chris Heaton-Harris said the Government fully expects the Northern Ireland departments to take responsibility and ensure their spending remains within budgets.
He added that it is “vital” that the Executive is restored as soon as possible to deliver effective public services.
Read more: DUP Antrim and Newtownabbey councillors endorsed council scheme on NI Protocol
It comes after Finance Minister Conor Murphy said public finances in Northern Ireland are in a “critical position” as Stormont departments face a £660 million overspend.
Mr Heaton-Harris said: “While the Finance Minister’s reminder to the Northern Ireland departments is welcome, it is unacceptable that the Stormont ministers continue to spend beyond the overall allocated Northern Ireland Executive budget.
“The Government has provided the Northern Ireland Executive with substantial additional funding through the Barnett formula, through the largest funding settlement for Northern Ireland since devolution in 1998.
“The Government fully expects the Northern Ireland departments to take responsibility and ensure their spending remains within budgets.”
Mr Heaton-Harris added that the setting of a budget is a matter for the Northern Ireland Executive and cannot be agreed in its absence.
“It is vital that the Northern Ireland Executive forms as soon as possible to deliver effective public services at this challenging time,” he said.
Mr Murphy said on Tuesday he was writing to other ministers to prevent a breach of the block grant, the amount given by the Treasury to fund public services in Northern Ireland.
The Finance Minister said departments’ forecasts of their resource expenditure for the financial year show a collective overspend of some £960 million.
Mr Murphy added that against this there is £300 million of funding available for allocation.
He said should the current trajectory continue the block grant would be breached which would mean any overspend could be taken from next year’s allocation.
A budget for 2022/23 had not been agreed by the Stormont parties before the ministerial executive imploded in February.
In the absence of a functioning Executive, departmental funding is being distributed using emergency arrangements on the basis of last year’s budget settlement.
Mr Murphy said: “With no budget to help departments plan, the Westminster Government’s mini-budget not providing additional money for public services, and inflationary pressures, our finances are now in a critical position.
“While I appreciate it is hugely challenging for departments to operate in the absence of a budget, as ministers we have a collective responsibility to ensure that we live within the block grant.
“I have written to ministers reminding them of the importance of ensuring spending remains within the overall budget provided to us.
“This is crucial, as any overspend may be taken from next year’s budget - making an already difficult financial position much worse.”
The minister continued: “Our citizens, businesses and public services need certainty.
“Restoration of the Executive will enable us to work together to agree a multi-year budget.
“It would also allow us to decide on the prioritisation and allocation of funding including support for households and businesses as well as a pay award for public sector staff.”
READ NEXT:
- NI secretary wants to 'deliver enough pressure' to restore Stormont and fix Brexit Protocol
- Prime Minister Liz Truss says £2,500 cap on energy bills will apply in Northern Ireland
- 'Fairly obvious landing zone' to resolve Brexit Northern Ireland Protocol says Secretary of State
- Liz Truss: Seven challenges in Northern Ireland facing the new Prime Minister
For all the latest news, visit the Belfast Live homepage here. To sign up to our FREE newsletters, see here.
