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Stormont needs 'fair funding package', deputy first minster says

Business October 16, 2026 02:03 PM
Stormont needs 'fair funding package', deputy first minster says

The deputy first minister says a "balanced and reasonable" budget cannot be reached in Northern Ireland unless the government gives Stormont more money.

Emma Little-Pengelly said the executive will meet the secretary of state on Friday and "put across the best possible case for fair funding".

The executive has not agreed a budget for this year, blaming the UK's devolution funding formula for leaving it short. Additional funding of about £1.5bn would be released in three tranches, with £525m available this year.

Secretary of State Sir Chris Bryant, who has said there was "no more money" available, earlier this week accused executive ministers of being financially "irresponsible".

But Emma Little-Pengelly said Northern Ireland the executive "simply cannot legally reach a balanced budget with what is on the table".

"I'm asking the UK government to come forward with a reasonable and fair funding package," the DUP deputy first told BBC's The View programme.

She added: "We have reached out to the Prime Minister and Secretary of State because we are at that stage, now seven months into the financial year without a budget."

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That means continued pressures on public services, Little-Pengelly said.

"I can see the devastating impact on our public services, our schools, hospitals, public sector pay if we do not get this issue resolved.

"This is a time for serious conversation, a time about getting round the table and making sure we can get this hammered out," she said.

She said despite "fractured relationships" within the executive following the Drumcree parading dispute, it was important to stand up "responsibly for people right across Northern Ireland".

"It is a case of giving the people of Northern Ireland a fair funding settlement to allow us to continue with those critical public services," she said.

On Wednesday First Minister Michelle O'Neill said she does not accept the government's assertion that there is no more money on offer to Stormont, amid the ongoing stalemate over the budget.

What money is available for Stormont?

Stormont departments are facing a shortfall of up to £1.6bn, according to a spending watchdog.

Last month, Bryant made an offer of a financial package worth about £1.5bn over the next three years.

But executive parties said that did not go far enough and they have argued that significant gaps remain before they can agree to a deal that would allow them to set a budget.

With no agreed budget, public services have been operating under contingency arrangements allowing departments to spend up to 95% of last year's funding.