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| Welfare reform: Arlene Foster outlines financial crisis facing executive | |
| (35 minutes later) | |
| The BBC has seen a document in which Finance Minister Arlene Foster outlines the financial crisis facing the Stormont executive. | The BBC has seen a document in which Finance Minister Arlene Foster outlines the financial crisis facing the Stormont executive. |
| Her paper, obtained by the Nolan Show, has been circulated to other executive ministers | Her paper, obtained by the Nolan Show, has been circulated to other executive ministers |
| She said failure to agree welfare reform could mean a senior civil servant having to introduce cuts across all departments. | She said failure to agree welfare reform could mean a senior civil servant having to introduce cuts across all departments. |
| Health would lose £280m and education £114m from this year's budget. | Health would lose £280m and education £114m from this year's budget. |
| In her letter, Mrs Foster also said departments would not be allowed to use other money, such as that received for EU farm payments. | In her letter, Mrs Foster also said departments would not be allowed to use other money, such as that received for EU farm payments. |
| She said "the impact would be severely constrained budgets". | She said "the impact would be severely constrained budgets". |
| The document puts the total overall shortfall at £2.8bn. | The document puts the total overall shortfall at £2.8bn. |
| Analysis | Analysis |
| John Campbell, BBC News NI Economics and Business Editor | John Campbell, BBC News NI Economics and Business Editor |
| This memo increases the pressure on other parties ahead of the proposed vote on welfare reform. | This memo increases the pressure on other parties ahead of the proposed vote on welfare reform. |
| It sketches out a worst case scenario for the budget if there is no agreement - what we might call Arlene Foster's nuclear option. | It sketches out a worst case scenario for the budget if there is no agreement - what we might call Arlene Foster's nuclear option. |
| The big number is a £2.8bn cut which the minister says would have to be imposed if civil servants took control of the budget. | The big number is a £2.8bn cut which the minister says would have to be imposed if civil servants took control of the budget. |
| In cash terms that would mean slashing the budget by about 20% which would have a grave impact on public services. | In cash terms that would mean slashing the budget by about 20% which would have a grave impact on public services. |
| Northern Ireland's politicians are due to debate the welfare reform bill in the assembly next week. | Northern Ireland's politicians are due to debate the welfare reform bill in the assembly next week. |
| The main Stormont parties held talks with the Secretary of State Theresa Villiers on Wednesday but failed to produce any sign of a resolution to the continuing deadlock over the budget and welfare reform. | The main Stormont parties held talks with the Secretary of State Theresa Villiers on Wednesday but failed to produce any sign of a resolution to the continuing deadlock over the budget and welfare reform. |
| The Northern Ireland parties had agreed a deal on Westminster's welfare reform in the Stormont House Agreement last December. | The Northern Ireland parties had agreed a deal on Westminster's welfare reform in the Stormont House Agreement last December. |
| However, Sinn Féin withdrew its support for the bill in March. | However, Sinn Féin withdrew its support for the bill in March. |