Northern Ireland should give a warm welcome to this week's budget statement.

That's according to Secretary of State Shaun Woodward (pictured) who said: "The Government is determined to continue its help for NI to secure the recovery and invest in its future.

"This budget is good news for people and businesses and provides further support for devolved government," he insisted.

"This budget provides an extra £33m to the Northern Ireland Executive to spend on improving the services it provides as well as offering real worthwhile benefits directly to people and businesses in Northern Ireland.

"The extra money for the Executive comes on top of the £800m financial package the Prime Minister has provided to underpin devolution of policing and justice, and the extra £29m we have made available to ensure the police are fully funded to face the challenge of terrorism," he said yesterday, also noting that the budget doubles stamp duty relief for first time buyers in Northern Ireland to £250,000.

Increases to Child Tax Credits will also benefit 30,000 families in Northern Ireland, he insisted.

"To help businesses face economic difficulties and secure jobs for the future, the budget also extends the Time to Pay scheme to help them spread tax over a more manageable period, and offers increased investment allowances.

"The new Green Investment Bank will provide backing for key areas like renewable energy - and Northern Ireland is well placed to benefit," he concluded.

Meanwhile, there has been a cautious welcome to yesterday's budget announcement that tobacco tax will rise by 1% above inflation and the commitment to raise duty by 2% above inflation from 2011 to 2014.

The Ulster Cancer Foundation (UCF) was hoping for a greater and immediate increase of 5% above inflation, which would reduce the number of smokers and make huge savings for the health service.

Gerry McElwee, Head of Cancer Prevention, UCF and Secretary of ASH NI (Action on Smoking and Health), said: "This slight increase will encourage some adults to give up smoking but won’t have the impact of a 5% increase.

"However, we welcome the Government's commitment to raise tobacco over the next few years and we urge whichever party wins the general election to stop the tobacco industry recruiting yet another generation of our children as addicts to its lethal products.

"Increasing tobacco taxation will also boost the NHS purse and help reduce absenteeism in the workplace," he said.

"For decades UCF has played a leading role in tobacco control.

"However, despite many hard won successes, smoking is still the major preventable cause of death and disease in Northern Ireland killing 2,300 local people every year.

"Research shows that increases in tobacco tax are popular, particularly if the money raised is used to help people stop smoking and UCF will continue to work with politicians to keep tobacco at the top of the health agenda; with smokers to dramatically reduce smoking rates amongst adults and with children through UCF's schools prevention programmes to ensure a smokefree future for all."

See: Budget Rounds On Recovery

(BMcC/GK)