THIRD SPECIAL REPORT
The Northern Ireland Affairs Committee has agreed
to the following Special Report:
RESPONSE OF THE NORTHERN IRELAND EXECUTIVE
TO
THE FOURTH AND FIFTH REPORTS OF SESSION
1999-2000
1. Our Fourth Report of last Session[2]
dealt with Northern Ireland Railways and, in particular, with
financial provision for new rolling stock in 2000-01. Our Fifth
Report[3]
continued our series of public expenditure based reports and dealt
with inward investment. We started both inquiries when the relevant
matters were the responsibility of the Secretary of State for
Northern Ireland. However, most of the relevant issues are 'transferred
matters' within the meaning of the Northern Ireland Act 1998,[4]
and consequently fell within the responsibility of the Northern
Ireland Assembly and the Northern Ireland Executive by the time
we reported (July 2000).[5]
2. We therefore invited the Northern Ireland Executive
to comment on both reports. We are pleased to reproduce in the
Appendix to this Report the Executive's responses, which have
been endorsed by the First Minister and Deputy First Minister
acting as co-chairs of the Executive. We welcome the Executive's
willingness to respond to these Reports and hope that it will
also feel able to offer appropriate comments on any future occasion
where one of our Reports touches on matters for which it is responsible.
APPENDIX
RESPONSE FROM NORTHERN IRELAND EXECUTIVE
TO
THE NORTHERN IRELAND AFFAIRS COMMITTEE
Northern Ireland Railways: Financial Provision
for new rolling stock in 2000/01
In welcoming the Committee's report on the above,
the Minister responsible for Regional Development, Gregory Campbell,
acknowledged the years of underfunding which made forward planning
with any degree of certainty such a difficult issue for Northern
Ireland Railways. The Minister, at that time, also referred to
the Little Review of Rail Safety and the work of the Railways
Task Force which he indicated would be used to inform decisions
on the way forward with regard to NIR.
The Executive is pleased to be able to confirm that
considerable progress with regard to funding issues for provision
of new rolling stock has been made since the Committee reported.
The Railways Task Force, which produced its interim report in
September, stated that railways should play an important role
in meeting Northern Ireland's long term transportation needs and
that the full extent of that role can best be determined as part
of a regional transportation strategy. The Task Force also identified
three key decisions and agreed that under a consolidation option,
investment priority could be given to the busier commuter routes.
Recognising the long term strategic importance of
railways, the Executive outlined, in its Programme for Government,
a series of actions designed to ensure that Northern Ireland's
communications and transport infrastructure is of the standard
that its economy requires. Measures include the production of
a ten year regional transportation strategy by the Autumn of this
year (a consultation paper has already been published) that will
include consideration of new funding sources; consider, in the
context of the strategy, future investment in public transport;
and advance a Railways Safety Bill to provide a new legislative
framework to support modern and safe rail travel.
In December, the Executive agreed a budget, subsequently
approved by the Assembly, to provide an additional £19.6
million for railways in 2001/02 together with an indicative allocation
totalling £85 million in the following two years. Of this
total funding package of about £105 million, £83 million
has been earmarked to secure a significant number of new train
sets.
These indicative allocations, to be confirmed later
by the Assembly, will provide the funding necessary in those years
to complete the consolidation option, subject to confirmation
of some aspects as part of the development of the 10 year regional
development strategy.
All of this represents a very significant investment
in railways over the next three years. It is the first stage in
revitalising railways over the next ten years and beyond and is
indicative of the wider commitment of modernising the transport
system in Northern Ireland as a means of facilitating economic
growth and improving the quality of the lives of all the people
of Northern Ireland.
Public Expenditure in Northern Ireland:
Inward Investment
The Northern Ireland Affairs Committee's informative
Report draws together the views of Ministers, IDB, representative
organisations and others interested/involved in inward investment
activity.
The Executive notes that the report differs from
the Public Accounts Committee report in looking at the general
impact of inward investment and brings the debate up to the present.
The Report shows the importance of inward investment
to the NI economy and offers constructive suggestions on financial
inducements. It also reinforces the significant support available
to IDB from the local councils and economic groups, acknowledges
the changing nature of projects and highlights the importance
of skills.
The Executive takes note of the Report's key conclusions
that linkages with indigenous and educational institutions should
be a prime area for development; that tax incentives for inward
investment should be kept under review and that Strategy 2010
should subjected to wide public debate and rigorous scrutiny.
April 2001
2 HC
512. Back
3 HC 198. Back
4 Section
4(1). Back
5 Both
Reports were published on 4 August 2000. Back
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