Head of civil service warns absence of budget 'most pressing issue'
The head of Northern Ireland's civil service says a lack of agreed budget is the most pressing problem amid political uncertainty at Stormont.
Sir Malcolm McKibbin has issued a statement to all staff describing the absence of a budget as "one of the most difficult and pressing issues" while the power-sharing Executive is unrestored.
Sir Malcolm points out there is "a small window of opportunity to allow a new Executive to agree a Budget before the start of the new financial year" but he says it is crucial "agreement can be reached very quickly".
He tells staff that “our aim to ensure 'business as usual' as far possible although there will be some things we will not be able to do".
The absence of a budget is a concern for the Alliance Party, who have written to the Secretary of State asking him to introduce special measures to deal with the matter.
“The Plan A has to be that we put in place a proper Executive Budget, however in the case that we see failure by politicians over the next number of weeks, the backstop that’s currently available through the Northern Ireland Act, is not sufficient to provide for the proper resourcing of our services,” deputy leader Stephen Farry said.
“Which is why we’ve asked the Secretary of State for Northern Ireland to consider bending the Northern Ireland Act to give more discretion to the Northern Ireland civil service.”
The state of the region’s finances comes against the backdrop of a Spring Budget to be announced by Chancellor of the Exchequer Philip Hammond on Wednesday, who warned there will be “no spending sprees” as the UK focuses on economic resilience after Brexit.
The Chancellor is expected to put aside as much as £60bn to deal with any "unexpected challenges" after Article 50 has been triggered.
Commenting on the importance of a having a functioning Executive, Paul Terrington, PwC’s regional chairman in Northern Ireland said: "There is a political consensus towards the goals of rebalancing the economy, creating 50,000 new jobs and reducing the level of corporation tax.
"And, if we add developing a strategy that will deliver prosperity to a post-Brexit Northern Ireland, there is a political mountain to climb. “In terms of economic growth, Northern Ireland is already the poorest-performing region in the UK.
“So, the political parties must focus on creating a functioning Assembly and an Executive that is committed to partnership, prosperity and building a new consensus. This may require hard choices but, as we await Article 50 and the negotiations to leave the EU, the status-quo is not an option.”
Northern Ireland Assembly members have three weeks to save power-sharing.
The Secretary of State for Northern Ireland James Brokenshire is due to brief the Cabinet on the situation on Wednesday.