Northern Ireland First Minister Michelle O'Neill has accused the UK Government of failing to provide adequate funding for public services.

She said the current allocation does not match the scale of challenges facing services and criticised the lack of response to a joint letter sent to Prime Minister Keir Starmer on April 17.

O'Neill told the Assembly that Secretary of State Hilary Benn replied on April 28 stating that sufficient funding was already in place, a position she rejected.

The Executive has not agreed a three-year budget almost two months into the financial year, leaving departments operating under contingency plans set by the Department of Finance.

O'Neill said departments cannot make decisions due to the constraints and warned that public services are under pressure.

She stated that people in Northern Ireland pay taxes and are entitled to good services, adding that Westminster has repeatedly failed to deliver fairness.

Finance Minister John O'Dowd confirmed ongoing talks with the Treasury over a funding package, while opposition leader Matthew O'Toole said the lack of an agreed budget imposes further cuts.