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Empey keeps economic recovery top priority

3 February 2010

Employment and Learning Minister, Sir Reg Empey, today outlined his revised spending proposals for 2010-11 and confirmed that he will keep economic recovery as his Department’s top priority.

The Executive’s Budget proposals for 2010/11, announced by the Minister for Finance and Personnel on 12 January 2010, requires reductions in planned current expenditure of £19.7m and £9m in capital expenditure for the Department for Employment and Learning.

The Department’s current expenditure budget had been due to increase by £48.6m as part of the previously agreed 2008-11 Budget. The revised proposals mean that the planned increase will now be limited to £28.9m.  This represents growth of 3.7% above the 2009-10 position.

The Minister said: “Whilst overall my Department’s current expenditure budget will increase, there is no doubt that the reduction required means that I will not be able to achieve all that I had planned.  I have, however, ensured that the allocation of the additional savings will still allow us to be at the forefront of the Executive’s response to the economic downturn; helping people increase their chances of finding work and supporting companies in upskilling their workforces.

“The growth available to the Employment, Skills and Further Education budgets has been reduced by £6m.  However, my proposals for this area mean that we will still be spending £17.4m (5.1%) more than last year.  This should enable the employment service to respond to the increasing demands being placed on it and for my Department to continue to respond to the harsher effects of the economic downturn and support the retention and acquisition of skills in the economy. It will also enable me to at least maintain the funding for the Further Education sector at current levels.

“A contribution of £12.8m is planned from the Higher Education budget. Some £3m of this will come from improved efficiency in the universities. But in overall terms spending will increase by £8.6m (3.9%) which will enable existing activity and services to be maintained and provide for additional investment in postgraduate places and research.”

No reductions are planned in the student support arrangements which are demand led.

Commenting on the capital position, Sir Reg said: “The capital savings are being realised principally from changes in the level of funding for higher education infrastructure.  The Strategic Capital Investment Fund budget has been reduced by £8.1m so I will not be able to do all that I wanted to. The capital budget for higher education will still provide new investment of more than £21m.”

The Minister concluded: “These are challenging economic times. We need to get the right balance between supporting people and business through the downturn and investing in our future prosperity. Helping people improve their chances of finding work and increasing the skill levels of our local companies works actively towards that goal. I remain committed to providing a quality service for individuals and employers on all aspects of employment and learning.”

Further details about the Department for Employment and Learning’s budget can be found at http://www.delni.gov.uk/index/about-the-dept.htm external link

Notes to editors:

  1. Capital spending is money spent to acquire or upgrade physical assets such as buildings and machinery. It also includes capital grants paid to beneficiaries.  Current expenditure is short term or day to day spending including pay, goods and services.
  2. The Programme for Government (PFG) sets out the Executive’s strategic priorities and key plans for 2008-2011. More information about the PFG can be found at http://www.pfgbudgetni.gov.uk external link
  3. All media enquiries should be directed to the Department for Employment and Learning Communications Branch on 028 9025 7872. Out of office hours please contact the duty press officer via pager number 07699 715 440 and your call will be returned.