Impact of financial cuts will be tough and will cause pain, says finance minister

“This is a very difficult budget that we are facing. We are facing several years of very difficult budgetary circumstances. That’s why we need to reform and restructure the whole public sector,” he said.

There are 6,981 public sector workers currently employed in Fermanagh in public administration, education and health and 14,000 private sector workers in all other sectors. Stormont Departments are facing huge cuts, some of up to 11 per cent, but the Minister believes the axe must fall in other areas too.

“We can’t proceed simply by cutting departmental budget. We got to reform, restructure, rethink and redesign the whole public sector. It is very challenging because we have £1.5 billion less than we had in 2010 because of the coalition cuts that have come during that period. It is impossible to make all that work because of the rising demand and pressure.  “Even in spite of all of that we are trying to minimise the pressures that are there We are facing £200 million worth of reductions next year but are still prioritising health, enterprise, education and policing. I am sure those are the services in Fermanagh that people want prioritised,” he said.  In discussing the cuts, first revealed by impartialreporter.com, Minister Hamilton said he was trying to be “upfront and honest with people”.

“The Ministers are having to make decisions now about savings, and where cuts are going to have to be made. I would be wrong to say to you that everything is going to be all right, it’s going to be as it was, there is going to be no impact at all.  “There is going to be an impact, it is going to be tough, there is going to be pain, there will be hard choices that are going to have to be taken. People in Fermanagh will notice that – there are going to be difficult days ahead. This is going to be tough for a while.” Asked to address the concerns of those people who will be impacted by the cuts, Minister Hamilton said: “There will be an impact, but we can minimise that and do our best to ensure it is not felt just as badly in terms of front line services in Fermanagh and elsewhere.” Minister Hamilton has told this newspaper that he is confident that corporation tax powers will be implemented in Northern Ireland in a matter of weeks. If this happens, he says it would be good news for local businesses.

“I think corporation tax powers is very important. Yes, we can take decisions to reduce the size of the public sector and that will happen because we have less money anyway but at the same time we need to lift up the private sector. I am impressed by the desire that local companies have. Fermanagh has a lot of good, local indigenous firms who are capable of growing, capable of expanding and corporation tax may well be the tool that will let them expand and grow. You would then see our economy rebalance, you will start to see it grow, see wages go up. I think the one thing that will have a transformable effect.

“There are firms in Fermanagh that with the release of capital through taking less tax will allow them to invest in their plant, machinery, staff, premises, open new product lines. There are huge possibilities because we are giving them that choice to do what they want to do with that money. Then there is a responsibility on them to reinvest that money back in the economy. I think you will see that not just in Fermanagh but all over Northern Ireland,” he said.

And be believes the introduction of those powers will happen soon.

“I think we have an exceptionally robust case and actually think we have won the argument. I think we are now in that final detailed stage in politics. I do think it will happen and have always been optimistic about it. It has been going on for ten years and there were times when it was nearly off the table. But we have kept at it because we do see the longer-term benefits of it. I am optimistic that in a matter of weeks we will be getting the good news and then it will over to us to start taking difficult decisions.”