“Spending plans are about investment, not austerity” - Maclean

Tuesday 06 October 2015

Ministers have a long-term plan to invest almost £100 million more into health and social services, and spend £168 million on capital infrastructure by 2019, says Treasury Minister Alan Maclean.

On the eve of the debate on ministers’ spending plans for the next four years, the new Treasury Minister has called for politicians to get behind plans to balance the books through cuts, public sector reforms and a set of new charges.

But he says that it’s unfair to label the plan as “austerity driven” because of the extra investment that it includes.

Debate starts today on the Medium Term Financial Plan, with ministers facing challenges to their proposals to reduce department annual budgets and cut back on benefits spending, particularly on the Christmas Bonus and free TV licenses for the elderly.

But in a blog post, Senator Maclean says that the plan that ministers have put together tackles the deficit, makes government cheaper, and prepares the Island for the issues of the next decades.

He said: “We think this is the right plan. It recognises the strategic challenges we face – income rising at a slower rate than in the past, an ageing population – and it proposes sustainable solutions.

“It’s certainly not an austerity plan. It aims to deliver as balanced and as fair a package of measures as possible.

“We know it won’t be easy, but it’s the right thing to do; targeted investment built on reform, restructuring and achievable savings.

“We don’t want to undermine our strong public finances by employing any more people in the public sector than we need, or by spending more, as someone has to pay for that.

“I don’t want that burden to fall on my children, or on their children. So we are using technology, reducing staffing, looking after our infrastructure and putting funds into the front line at education and health.”