Written Answers - Local Government Expenditure.

Wednesday, 8 November 2006

Dáil Eireann Debate
Vol. 627 No. 1

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  96.  Mr. English  Information on Damien English  Zoom on Damien English   asked the Minister for the Environment, Heritage and Local Government  Information on Dick Roche  Zoom on Dick Roche   the amount by which local government expenditure has increased for each year since 1999 to date in 2006; the factors involved in contributing to this growth in expenditure under benchmarking; and if he will make a statement on the matter. [36646/06]

Minister for the Environment, Heritage and Local Government (Mr. Roche): Information on Dick Roche  Zoom on Dick Roche  The table sets out the increases in local authority current expenditure since 1999. The data for 1999 to 2005 are based on outturn figures and the data for 2006 on budget data provided by local authorities.

The increased expenditure by local authorities in the period is in response to the needs of an expanding population, growth in economic activity associated social and quality of life expectations, and high environmental standards. Indecon Economic Consultants in their Review of Local Government Financing (March 2006) identified that pay rates in the local authority sector increased by 44.7% between 1996 and 2002 compared to manufacturing pay rates which increased by 54% over the same period. The cost of benchmarking payments arose each year from 2003. It is estimated that the cumulative cost of benchmarking payments represents approximately 2.45% of total current expenditure between 2003 and 2006.

Year Local Authority Current Expenditure % Increase Year on Year
€ Billion %
1999 2.15 10.82
2000 2.40 11.63
2001 2.81 17.08
2002 3.14 11.74
2003 3.23 2.87
2004 3.55 9.91
2005 3.77 6.20
2006 (Estimate) 4.10 8.75


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