21/10/2010

Stormont At Odds With NIO On Cuts

NI's top politicians have united in condemnation of the Westminster Government whom they have accused of reneging on financial commitments and endangering thousands of jobs.

DUP leader and Stormont First Minister Peter Robinson and Sinn Fein's Martin McGuinness in his role as Deputy First Minister, have claimed the cuts unveiled by Chancellor George Osborne amounted to a £4bn loss for the Stormont purse.

They said that over the next four years, the prediction is of 50,000 job losses. Returning this morning from a US investment conference, they said the cuts were worse than they feared and breached existing agreements.

Echoing his comments, the DUP Junior Minister and East Belfast MLA Robin Newton said the Conservative/Lib Dem coalition behaviour during the debate on the spending review was adding to the 'hurt' felt in NI.

He said it was both insensitive and shameful in the extreme.

Robin Newton said: "The laughter, cheering and goading from the Conservative and Liberal Democrats backing George Osborne was unseemly.

"Considering the serious cut backs in benefits and the huge unemployment figures being forecast this was disgusting politics.

"There are special circumstances in Northern Ireland.

"There is a history like no other part of the UK and addressing the community divisions and building a healing process needs soothing balm not deep cuts into services that results in excessive unemployment."

Fair Settlement

But NIO Secretary of State Owen Paterson said the Government had fulfilled all its commitments and had reached a fair settlement with the Stormont administration, which local politicians must now allocate as they see fit.

Following the Comprehensive Spending Review announcement he said: "In exceptionally difficult economic circumstances, this is a remarkably good deal for Northern Ireland.

"UK Government Departments are being cut by an average of 8.3%.

"The Northern Ireland Office is committed to finding savings of 25%. Yet the Northern Ireland Executive is being asked to reduce spending by 6.9% over four years. That's an average saving of 1.7 pence in every £1 local ministers spend each year.

"To suggest that this is worse than expected is simply wrong," he said.

"Taking the overall picture into account we are still on course to deliver the £18bn capital investment by 2017-18," he continued.

"We have also delivered on our commitment to provide the means for a fair and just resolution to the crisis in the PMS - so the Prime Minister and the Chancellor have recognised the special circumstances of Northern Ireland.

"The Northern Ireland Executive will still have an extra £200m in cash.

"That should enable the Executive to play its part in reducing the record deficit we inherited responsibly and compassionately," he insisted.

But, after the Chancellor revealed details of his long-awaited review, First Minister, Peter Robinson still said the cuts were much worse than they had been led to believe.

(BMcC/GK)

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