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Stormont 'to find £122m of cuts' Stormont 'to find £122m of cuts'
(about 1 hour later)
The executive will have to find efficiency savings of £122m by 2011.The executive will have to find efficiency savings of £122m by 2011.
The move is part of the Budget unveiled by the Chancellor Alastair Darling who wants savings across all government departments.The move is part of the Budget unveiled by the Chancellor Alastair Darling who wants savings across all government departments.
There were fears that the savings demanded from Stormont by the Treasury would be much higher -as much as £600m.There were fears that the savings demanded from Stormont by the Treasury would be much higher -as much as £600m.
The government has promised extra short term funding of £116m as the executive makes the longer term cuts. There will also be extra money for policing.The government has promised extra short term funding of £116m as the executive makes the longer term cuts. There will also be extra money for policing.
The Finance Minister, Nigel Dodds, says he is disappointed by the cuts required but he is heartened with news of the extra interim resources.The Finance Minister, Nigel Dodds, says he is disappointed by the cuts required but he is heartened with news of the extra interim resources.
BoostBoost
The £116m will be made available over the next two years. The government is also to provide an extra £28m for policing and an extra £27m following social security changes.The £116m will be made available over the next two years. The government is also to provide an extra £28m for policing and an extra £27m following social security changes.
Alliance finance spokesperson, Stephen Farry said it was a short-term boost but that Northern Ireland would still be facing longer term cuts. Alliance finance spokesman Stephen Farry said it was a short-term boost but that Northern Ireland would still be facing longer term cuts.
It is beyond comprehension that the Chancellor should again raise the duty on alcohol, the third increase in the last year Colin NeilFederation of Retail Licensed Trade NI reaction to Darling's Budget
"We will be entitled to a proportionate share from new financial commitments to training and employment measures and financial support for renewable technologies," he said."We will be entitled to a proportionate share from new financial commitments to training and employment measures and financial support for renewable technologies," he said.
"Northern Ireland will therefore get a short-term financial boost in the range of £30m to £50m."Northern Ireland will therefore get a short-term financial boost in the range of £30m to £50m.
"In the longer-term, Northern Ireland risks taking its share of the announced £15bn efficiency savings."In the longer-term, Northern Ireland risks taking its share of the announced £15bn efficiency savings.
"Cuts of this scale would take £450m out of our local budgets over the next few years. It remains to be seen if our ministers can negotiate an exemption for Northern Ireland from this.""Cuts of this scale would take £450m out of our local budgets over the next few years. It remains to be seen if our ministers can negotiate an exemption for Northern Ireland from this."
Meanwhile, the Northern Ireland drinks industry has warned the rise in alcohol duty in the budget would put jobs at risk.Meanwhile, the Northern Ireland drinks industry has warned the rise in alcohol duty in the budget would put jobs at risk.
The drinks industry is also worried about the chancellor's announcementThe drinks industry is also worried about the chancellor's announcement
The Federation of Retail Licensed Trade (FRLT) said the 2% rise could "cripple the industry", which employs about 34,000 people.The Federation of Retail Licensed Trade (FRLT) said the 2% rise could "cripple the industry", which employs about 34,000 people.
In December, the Federation of Retail Licensed Trade said sales in beer had fallen 8% as more people buy alcohol in supermarkets.In December, the Federation of Retail Licensed Trade said sales in beer had fallen 8% as more people buy alcohol in supermarkets.
"It is beyond comprehension that the Chancellor should again raise the duty on alcohol, the third increase in the last year," said FRTL chief executive Colin Neil."It is beyond comprehension that the Chancellor should again raise the duty on alcohol, the third increase in the last year," said FRTL chief executive Colin Neil.
"This announcement makes a mockery of the Government's claim to be doing all it can to save jobs and businesses as its action today will result in thousands of job losses with many businesses going to the wall.""This announcement makes a mockery of the Government's claim to be doing all it can to save jobs and businesses as its action today will result in thousands of job losses with many businesses going to the wall."