Government to launch long-term capital spending plan

Minister for Public Expenditure and Reform Brendan Howlin has said the Government is launching a long-term capital spending plan because not enough strategic planning was done in the past.

Speaking on his way into Cabinet, he said big capital plans take many years to come to fruition.

“Maybe we didn’t do enough strategic planning in the past,” he said.

“We need to have a vision of what our transport system, our health system, our education system will look like many years hence and provide the planning and the money for that,” he said.

Asked if the transport element of the plan would be Dublin-centric, he said “certainly not”.

Howlin’s comments come as Ministers were warned to rein in their spending demands for the next Budget.

Minister for Finance Michael Noonan will present a formal update on the economic and fiscal situation to the Cabinet today in which he says there is no scope to go beyond a package of up to €1.5 billion in new spending for the budget next month.

Taoiseach Enda Kenny underscored the message to Ministers yesterday when he urged restraint, telling them, “We are not going to blow the recovery.”