The allocations for government spending for the year ahead are announced by the Minister in the Budget
This includes current or “day-to-day” spending allocations (on things like Public Service Pay
social welfare payments and grants to voluntary bodies) as well as capital investment. 'Capital investment' is investment that includes infrastructural development projects which will be managed over several years, such as those in Project Ireland 2040.
The announcements in the Budget are simply one part of an overall budgetary cycle,
which takes place throughout the year. A more detailed breakdown of the allocations in October’s Budget is then presented in the Revised Estimates Volume
(REV) in December.
After the Budget allocations are made, the Department of Public Expenditure and Reform works with the other government departments and offices to help ensure that their expenditure is managed in line with these allocations. Learn more about how expenditure is approved here.
public investment projects with a capital value over €20 million as well as the procurement and delivery of certain Public Private Partnership (PPP) projects through the National Development Finance Agency
While the approval of the annual Budget
is an important step in terms of budgetary policy, the Medium-term Budgetary Framework MTBF
provides an overview of the set of arrangements, procedures, rules and institutions that can go beyond the usual yearly budgetary cycle.
As part of the MTBF, the country is bound by EU rules in terms of the Budget. This must be signed off by the European Commission before coming into effect each January.
The Budget speech is one part of the Budgetary Cycle
which takes place over the course of the year.