Stormont politicians should avoid a stop-gap one-year budget, the SDLP warned today.
The party unveiled a blueprint it said could more than meet the £4 billion cuts ordered by the Chancellor.
But as budget talks continue at Stormont, the SDLP warned Peter Robinson and Martin McGuinness against postponing the economic pain until after next May’s Assembly election.
SDLP leader Margaret Ritchie said: “Our proposals narrow the budget shortfall and give us additional resources we can spend on priority areas.
“It is vital to secure a four-year budget but progress towards a long-term budget has been slow.”
She warned against a short-term agreement and unveiled her own four year plan that included:
- Freezing public sector pay for those above £31,500, including MLAs. (This follows similar calls from other parties, though the DUP set the bar at £21,000, the UUP at £26,000 and Sinn Fein at £43,000.)
- A 5 per cent pay cut for public servants earning more than £80,000, which would apply to ministers;
- Abolishing junior minister posts, downsizing the First Minister’s office and cutting quangos;
- Establishing the stalled Education and Skills Authority.
The party proposed raising money through ideas including:
- Unfreezing the regional rate, bringing in a plastic bag tax, placing a levy on phone masts, privatising car MOT centres and rates collection;
- Selling off the Northern Ireland Housing Executive HQ and leasing it back, plus reprofiling the organisation’s debt;
- Boosting the economy by tourism initiatives urging expats to visit their home.
- Selling the Speaker’s House in Stormont.
Ms Ritchie called for a “social compact” between government, business, trade unions and the community and voluntary sector in support of a new budget plan.
She rejected claims her party’s plan was arriving too late to influence the ongoing budget talks, and said the SDLP needed to carry out a detailed analysis of the spending review unveiled by the chancellor six weeks ago before compiling its proposals.
The party’s document of nearly 70 pages was, said the SDLP, a fully-costed and detailed plan.
It promised £1.5 billion in efficiency savings, £0.4 billion in spending reductions, £0.5 billion in new revenue and £2 billion in capital receipts.
PA