Stormont: financial package on offer to support return to power-sharing

Northern Ireland has been offered a financial package to support the return to Stormont.

The pledge from Northern Ireland Secretary Chris Heaton-Harris came during talks today (Monday) at Hillsborough Castle, with the the five main parties.

The package includes funding for public sector pay rises, but it is dependent on the return of the Stormont powersharing institutions.

The measures include:

• Funding for public sector pay rises this year;

• Reform of the funding model for Northern Ireland, including the setting of a new fiscal floor;

• A stabilising fund for the next four years to give the Executive access to additional funds;

• Giving the Executive power to spend money which currently comes from the UK Government for projects in Northern Ireland to be redirected for the transformation of public services;

• A two-year period to pay back a Stormont budget overspend would be extended to five years.

Stormont parties will also be urged to progress steps taken by Mr Heaton-Harris on new revenue-raising measures.

After the talks DUP leader Sir Jeffrey Donaldson said the party is not "calendar-led" on making a decision on returning to powersharing.

He said "there is still some way to go" in both the party's negotiations with the Government on post-Brexit trading arrangements as well as budgetary pressures in Northern Ireland.

Asked if it was possible the party would make a decision on returning to powersharing before Christmas, Sir Jeffrey said: "I would like to see the progress that is required as soon as possible but I am not going to place a timeframe on this because it is about getting it right, it is about getting an outcome that restores Northern Ireland's place within the United Kingdom and the internal market that provides a basis for unionist support to be restored."

Speaking to the media following the meeting, Sir Jeffrey also said he did not believe the Government's offer of a financial package to support the return of powersharing was a bribe.

He said the party had taken the lead on pointing out "unsustainable" funding for Northern Ireland's services.

Asked if the offer of the financial package was a bribe, he said: "I don't believe fixing our financial problems, addressing the shortfall in our public funding is something that should be couched in those terms."

Sinn Fein's Stormont leader Michelle O'Neill said the offer of a financial package from Government was time-limited and conditional on the restoration of Stormont.

She said: "Chris Heaton-Harris was very clear today that this is a three-day process.

"Today's meeting is all party leaders, tomorrow there will be more technical discussion on points of clarity and Wednesday will be another political meeting.

"If there is no Executive then the offer which was put on the table today, which needs a lot more work, is conditional on there being a restored Executive."

SDLP leader Colum Eastwood said "we've had enough now of waiting for Jeffrey, it's time for him to lead" in relation to DUP leader Sir Jeffrey Donaldson.

"That's the job he asked for, that's the job he's got to do," he said, adding that the role of any political leader "is to actually lead".

He added: "As we know there's a huge black hole in the public finances in Northern Ireland. We have people behind us who are frontline workers who have to go out and strike in the cold to be paid properly. And we've hundreds of thousands of people - a quarter of our population - on health waiting lists. That's a lot of work to be getting on with."

"The first thing that has to happen is that Jeffrey Donaldson has to make a decision to get back into Government.

"We want to be supportive around that, we want to be constructive around that, but in terms of the financial conversation, that will obviously be a conversation that the Executive parties will have to have with the Government."