NI 'fantasy budget' passes second stage at Stormont

The bill, put forward by Finance Minister Arlene Foster, has been dubbed the "fantasy budget" as it was drawn up on the basis that welfare reform has already been agreed

Northern Ireland's budget bill has passed its second stage at Stormont, after 63 out of the 66 members who took part in the vote supported the bill

The Social Democratic and Labour Party (SDLP) and Ulster Unionist Party (UUP) members did not cast their votes.

The three who voted no were Traditional Unionist Voice leader Jim Allister, the Green Party's Steven Agnew and Independent Unionist John McCallister.

The final stage of the bill is still dependent on a deal on welfare reform.

'Fantasy budget'

Sinn Féin, the SDLP and the Green Party have opposed existing plans to implement welfare reforms, as agreed during December's Stormont House Agreement.

They have argued that the measures will hit the most vulnerable members of society.

However, supporters of the plan say no more money is available, and warn failure to change the benefits system will mean the Northern Ireland Executive cannot manage its budget, putting the future of the devolved government at risk.

The Budget Bill, put forward by Finance Minister Arlene Foster, has been dubbed the "fantasy budget" as it was drawn up on the basis that welfare reform has already been agreed.

During a lengthy second stage debate, she was asked to outline what will happen if the impasse over welfare reform is not resolved.

Referring to her Democratic Unionist Party (DUP) leader, Peter Robinson, Mrs Foster said: "The first minister has always made it very clear that this party (the DUP) will not implement a budget which has £600m of cuts in terms of public services,"

"If welfare reform does not happen, there is no budget.

"If there is no welfare reform, there is no Stormont House Agreement and there is no executive. It's very clear."

'Breathing space'

She also urged Northern Ireland's business community to speak out about the issue.

After the Budget Bill passed its second stage on an oral vote, a leading employers' organisation released a statement urging the parties to balance their budget.

The Confederation of British Industry (CBI) Northern Ireland director, Nigel Smyth, said the outcome of the vote "undoubtedly gives the executive a little breathing space to resolve its financial challenges".

"However, there is a clear view within the business community that all our elected leaders must live within their means and discharge government responsibly.

"The delivery of a sustainable and balanced budget is a critical element of the Stormont House Agreement and we would again urge all executive parties to refocus on its complete delivery," Mr Smyth added.