Stormont Executive Seeks Urgent Meeting With Prime Minister Over Funding Shortfall
The Northern Ireland Executive has requested an urgent face-to-face meeting with Prime Minister Andy Burnham to secure what it describes as a fair funding settlement. In a letter signed by all ministers, the Executive states that the current funding framework is inadequate and is limiting economic growth and the delivery of public services.
The letter points to analysis by Professor Holtham and the independent Fiscal Council indicating that Northern Ireland is funded on a less comparable basis than Scotland and Wales. It says achieving parity with Wales would add £1 billion annually to the Executive budget, while parity with Scotland would provide around £3 billion a year, a sum the Executive says would transform social and economic outcomes.
The Executive expresses concern about decisions imposed from London without local agreement, citing the Local Growth Fund's capital-heavy profile as poorly aligned with local needs. It also seeks urgent resolution of the funding position for victims' payments, which entered dispute resolution in 2022.
Ministers are pressing for agreement on a fair funding model and a full fiscal framework, noting that talks have stalled over the past year. The letter identifies barriers including Housing Executive borrowing powers and access to the National Wealth Fund, given the different structure of public service delivery in Northern Ireland.
The Executive says it must have a formal role in shaping future UK Government funding streams that affect devolved responsibilities, so that investment reflects local priorities and respects devolution. It notes that introductions have been made with the Chancellor and further information shared after talks at Hillsborough in June, but stresses the urgency of concluding the work.
Without an agreed budget, departments are being forced to make short-term decisions that undermine effective planning and delivery, the letter says. The Executive argues that sustainable public finances cannot be achieved by the devolved administration alone and require joint delivery with the UK Government.
First Minister Michelle O'Neill said the Executive has repeatedly asked the British Government for a fair and sustainable funding package but those calls have not been met. She said people in Northern Ireland deserve high-quality public services but cannot get the transformation they need without necessary investment, and should not pay the price for failure to properly fund services.
Deputy First Minister Emma Little-Pengelly said that when the Executive spoke to the Prime Minister after his appointment, ministers were clear about the urgent need to resolve these issues. She said transforming public services and delivering real change is the priority but cannot be done alone, and the Executive is committed to working with the UK Government to deliver growth and secure a funding envelope that enables investment.