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During yesterday’s Northern Ireland draft budget debate in the House of Lords, UUP Peer Lord Laird has voiced concerns over the comparatively low priority given to stimulating private sector growth, warning that some of the initiatives of this Budget could create further layers of costly administration.

Addressing the Upper House, the UUP Peer said: “Northern Ireland needs to create more wealth and grow the overall tax-take if it is to reduce the overall subvention, currently running at about £6 billion per year. The draft Budget gives no indication that this has been considered.

“Indeed, the priorities that will help creation and the growth of the private sector have not yet been given the priority they deserve. The draft Budget is too expenditure focused and no significant thought appears to have been given any to the consequences of the Budget on the potential increase of the overall tax revenue.”

Lord Laird warned that Invest NI had significant liabilities to contend with over the next few years. And yet, with DETI’s revenue reduced by £36 million over three years, the budget “provides little scope to support new projects if they arise”, he said.

With a £138 million (18%) rise in administrative costs in the five years up to 2008, the UUP Peer went on to call on the Government to be “a little more ambitious” in reducing cost burdens.

Lord Laird also called for “more significant funding” to be made available for Northern Ireland Railways (NIR), and urged replacement of the remainder of the old fleet as quickly as possible.

Paying tribute to NIR staff and management, he said that the impact of the 23 new trains had been a “tremendous success”.

“Northern Ireland Railways has demonstrated major successes already with these new trains and needs to replace the remainder of the fleet as quickly as possible. I believe that the further 20 plus trains could deliver the 60 per cent growth targets in the regional transportation strategy 2002-12. As a matter of urgency, I would ask Her Majesty’s Government to look at an indicative funding requirement of around £100 million over the years 2008-11,” the UUP Peer said.

Having been set a target of 60% over 10 years, to reach half its targets with the new trains inside 18 months is a tremendous achievement, he added.

‘I do not like the tone of the Secretary of State for Northern Ireland, the Rt Hon Peter Hain MP, when he implies that it is Northern Ireland’s fault that it needs subvention from the central Government. This is the virtue of being in the United Kingdom – wealthy areas help less well off ones to get on their feet again after after a bad experience. That is what we are trying to do locally’.

‘I have gathered together a team of experts – the purpose of this is to produce a document that demonstrates the virtues of being a member of the UK, using West Wales and the Valleys as an example,’ said Lord Laird.

‘Mr Hain’s constituency, Neath, is part of this region which, like Northern Ireland, has been through a difficult time over the last three decades’.

‘There has been massive unemployment following the collapse of the coal and steel industries and the area currently receives around £600 million of subsidies. I don’t begrudge them a single penny of this, but it’s a bit rich when Peter Hain infers that people in Northern Ireland are spongers because we receive a similar amount each year’.

Lord Laird continued: ‘In the early part of the 20th century, when Northern Ireland was a lot more prosperous, we paid more than our fair share into the Exchequer. Now we need a bit of help – you don’t just throw somebody out of the family just because they suddenly can’t pay their way. In fact, there are only about two areas of the UK that currently pay for themselves’.

‘Hopefully, Mr Hain will bear all this in mind and any other interesting facts we uncover about West Wales and the Valleys before he implies we are not paying our way’.

A Private Member’s Bill to remove religious discrimination from the recruitment to the Police Service of Northern Ireland will be introduced into the House of Lords today (Monday 16th January) by the Lord Laird of Artigarvan. Entitled ‘Police (Northern Ireland) Bill [HL]’, it seeks to remove the current 50/50 recruitment requirement between Roman Catholics and non-Roman Catholics.

“Fifty/fifty has been a blight on society in Northern Ireland. I hope this Bill will be supported and the blight removed”, concluded Lord Laird.