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Autumn Statement: Northern Ireland in line for cash boost | Autumn Statement: Northern Ireland in line for cash boost |
(about 4 hours later) | |
Northern Ireland should receive about £41m in additional public spending next year. | |
Treasury sources say this will be Stormont's share of the extra £2bn the chancellor will allocate to the UK health service. | |
George Osborne will use his Autumn Statement on Wednesday to announce the extra health funding. | George Osborne will use his Autumn Statement on Wednesday to announce the extra health funding. |
Increased spending on health in England means an automatic increase in funding for Northern Ireland. | |
The change is due to the operation of the Barnett Formula, which will allocate about £33m to NI. | |
The other money is a share of the fines which have been taken from banks for manipulating the foreign exchange market. | |
The Executive is not obliged to spend the extra money on health. | |
Last week, Northern Ireland's Department of Health published a draft budget which showed a "funding gap" of £160m for next year. | Last week, Northern Ireland's Department of Health published a draft budget which showed a "funding gap" of £160m for next year. |
'Frontline' | 'Frontline' |
Health consumes almost half of the Northern Ireland Executive's budget. | Health consumes almost half of the Northern Ireland Executive's budget. |
Its spending is being protected and will continue to rise. | Its spending is being protected and will continue to rise. |
Analysis | Analysis |
The devil will be in the detail of this announcement. | The devil will be in the detail of this announcement. |
If it is all entirely new money it is easy to just apply the Barnett Formula. | If it is all entirely new money it is easy to just apply the Barnett Formula. |
It dictates that Northern Ireland will get just over 3% of what England gets. | It dictates that Northern Ireland will get just over 3% of what England gets. |
However, if there are reallocations of money or offsetting cuts in other areas the amount could be sharply lower. | However, if there are reallocations of money or offsetting cuts in other areas the amount could be sharply lower. |
However, the department's budget plan said it still has growing funding pressures from an ageing population, new treatments and patient expectations. | However, the department's budget plan said it still has growing funding pressures from an ageing population, new treatments and patient expectations. |
The chancellor told BBC One's Andrew Marr Show: "Because we have a strong economy and we've got the public finances under control, we can afford to put £2bn into the frontline of the NHS across the United Kingdom," he said. | The chancellor told BBC One's Andrew Marr Show: "Because we have a strong economy and we've got the public finances under control, we can afford to put £2bn into the frontline of the NHS across the United Kingdom," he said. |
'Winter crisis' | 'Winter crisis' |
"I can tell you we can go further and use those fines that have been paid by the banks for a permanent improvement in GP services. | "I can tell you we can go further and use those fines that have been paid by the banks for a permanent improvement in GP services. |
"This is a down-payment on the NHS's own long-term plan and it shows you can have a strong NHS if you have a strong economy." | "This is a down-payment on the NHS's own long-term plan and it shows you can have a strong NHS if you have a strong economy." |
Shadow chancellor Ed Balls said it was a "typical Tory pattern" of a "winter crisis, and crisis money coming after it". | Shadow chancellor Ed Balls said it was a "typical Tory pattern" of a "winter crisis, and crisis money coming after it". |
He told the the Andrew Marr Show: "The question is, is this a one-off or is it going to be an actual long-term investment in the nurses and doctors we need? | He told the the Andrew Marr Show: "The question is, is this a one-off or is it going to be an actual long-term investment in the nurses and doctors we need? |
He said Labour's proposed 'mansion tax' on properties worth £2m and over would raise the money to invest £2.5bn "over and above" the government's spending plans into the health service, and claimed: "We'll save the NHS. The Tories are really putting the NHS in danger." | He said Labour's proposed 'mansion tax' on properties worth £2m and over would raise the money to invest £2.5bn "over and above" the government's spending plans into the health service, and claimed: "We'll save the NHS. The Tories are really putting the NHS in danger." |