Statement by Taoiseach - Estimates 2004
Speaking about the Book of Estimates for 2004 published today, the Taoiseach said that the Government plans were focused on the issues that are most important and achieving value for money. Spending plans are within the range of what Ireland can prudently afford. The Book of Estimates increases what the Government spends in 2004 over 2003 by 5%. Additionally, social welfare increases will be announced by the Minister for Finance on Budget Day.
The additional resources being committed for 2004 are part of a longer term and sustained investment in our infrastructure and public services. In turn, this investment of public money in public services is made in the context of the need to keep taxes low, to keep employment high and to sustain for the long term, the revenues that result from high employment in a strong economy.
It is this sustained investment the fruits of prudent management that has ensured that public investment in Ireland has been nearly double or more than double the European average in each of the past six years. It is sustained investment across the board that enables Ireland to continue to catch up with our European partners, to have a better infrastructure, better public services and a competitive economy. This will mean that we can sustain the jobs, that will yield the revenues, that will allow Government to continue to invest not just in economic competitiveness but in social inclusion as well.
In 2004 spending on Social Welfare will be €10.6 billion up from €5.7 billion in 1997
In 2004 spending on health will be €10 billion up from €3.6 billion in 1997
In 2004 spending on education will be €6.5 billion up from €3.2 billion in 1997
In 2004 spending on capital projects will be €5.5 billion up from €2.2 in 1997
This level of investment of public money in public services would be significant in any year. But as an ongoing programme of sustained investment over many years, it will transform our country.
To people who have lost their jobs or who are concerned about that prospect, to people who have to wait too long for hospital treatment, to people who are stuck in traffic gridlock, to people who are isolated on the margins of our society through lack of opportunity, I believe that the plans we have published today offer hope. That is the hope, that step by step, problems are being solved and practical solutions are being put in place.
I acknowledge that for some this cannot happen fast enough. But the imperative of meeting the urgent needs of people now must be balanced by the need to sustain a sound economy for the future. This Book of Estimates strikes that balance. By further increasing public spending, on the back of sustained increases of recent years and by targeting this additional spending on the key areas of health, education and infrastructure we continuing the momentum of investment and reform. We are doing so a pace than can be sustained into the future.