26 January 2006 Jeff Rooker Announces Regional Rates Poundages For 2006-2007
This year’s Regional Rate increase should be seen in the context of what it’s enabling Government to deliver, Finance Minister, Jeff Rooker, has pointed out.
The Minister was speaking as the Rates (Regional Rates) Order (Northern Ireland) 2006 was laid at Westminster today. The Order contains details of the Domestic and Non-Domestic Regional Rate poundages for 2006/2007. He said:
“On 14 December 2005, at the launch of the Revised Priorities and Budget for 2006/2008, the Secretary of State, Peter Hain MP, confirmed the Government’s plans for the Regional Rates for Northern Ireland.
“All the monies raised from the 19% increase in the domestic regional rate is to fund new spending and extensions of provision, rather than being swallowed up by routine expenditure. The public will then see exactly how it is being spent.
“Three new priority funding packages announced by Peter Hain are the ‘Children and Young people’, ‘Skills and Science’ and ‘Environment and Renewable Energy’. These packages are either new, or expansions to, proven initiatives, which will be secured through greater co-operation between Departments and their agencies lead to more integrated and effective service delivery.”
The Minister indicated also that the Domestic Regional Rate has been fixed at 226.86 pence and this will be reduced by a figure of 28.69 pence in the form of the Domestic Rate Aid Grant. The Non-Domestic Regional Rate has been fixed at 28.17 pence.
The Regional Rates Order that fixes these figures is of a routine nature and simply implements the rate increases embodied in the Budget.
Turning to public expenditure, the Minister said that the draft Budget (Northern Ireland) Order 2006 has been laid at Westminster today. The Order covers the supplementary financial provision sought by Northern Ireland Departments in 2005/2006 and also seeks legislative authority for resources and cash for the early months of the 2006/2007 financial year.
NOTES TO EDITORS:
Public expenditure in Northern Ireland is funded by a block grant from Westminster and the Regional Rates. The Regional Rates are struck by the Department of Finance and Personnel as a contribution towards services provided by the devolved Government Departments. They are not assigned to financing specific elements of public expenditure.
The ratepayer in Northern Ireland has a combined rate bill consisting of Regional and District Rates. District Rates are fixed by each District Council to meet their net expenditure on such functions as leisure facilities, economic development and environmental matters. District Rates vary from District to District reflecting the rateable resources and spending policies of individual Councils.
The Regional and District Rates are both collected by the Rate Collection Agency and the product of the District Rates is paid over to each Council.
The full bill is not yet known as District councils have yet to strike their Rates (by 15 February 2006).
Details of the three new funding packages are:
The Children and Young People package is intended to enhance the quality of life for children and young people in Northern Ireland by providing greater protection and prospects. Actions /activities to be included in the package will be focus the following key areas: Extended Schools; Extended early years provision; Looked-after children and vulnerable young adults; Child protection and Children with special needs and disabilities.
The Skills and Science package will include actions to tackle economic inactivity and increase the skills base of the working age population, particularly those 14-19 year olds from disadvantaged backgrounds, to compete more effectively in highly skilled international markets.
The Environment and Renewable Energy package will accelerate actions consistent with the sustainable development strategy and will promote the development of renewable energy sources.
The draft Budget (Northern Ireland) Order 2006 covers the 2005/2006 Spring Supplementary Estimates and Vote on Account for 2006/2007. The Spring Supplementary Estimates for 2005/2006 provide details of changes since Departments’ Main Estimates were approved by Parliament last summer, while the Vote on Account for 2006/2007 provides details of provision required by Departments in the early months of the 2006/2007 financial year, pending Parliamentary/Assembly consideration of the 2006/2007 Main Estimates.
