What you need to know
‘Progress made’ on bid to agree Stormont budget
On Thursday (2 July), Executive parties met NI Secretary Hilary Benn and Chief Secretary to the Treasury Lucy Rigby in a fresh attempt to agree a Stormont budget. Public services have been operating on contingency budgets since the start of the financial year in April, and senior officials have warned that some services will face cuts if a budget is not agreed by the end of the month. The Executive has made the case that Northern Ireland is under-funded compared with Scotland and Wales, a position that has drawn some support from the NI Fiscal Council. Speaking after the meeting, Mr Benn told reporters “we are making some progress” and have “agreed a programme of work” that will “look, first of all, at the pressures that the Executive’s finances are facing”. He said all were agreed that “we can’t deal with this by finding another one-off fix,” and that “a long term sustainable plan for the future of Northern Ireland’s finances” was needed. First Minister Michelle O’Neill said she had “a real sense of déjà vu”, saying that while Executive parties are united in making the case for “a funding model that our people deserve”, but “what happens at the end of these processes is that we get some sort of cash injection that’s a one off, that does not fix the underlying problem that we have”.
What next: Secretary of State Hilary Benn said that work to ensure the Treasury “fully understand” the financial pressures the Executive is facing would begin on Friday (3 July), and will involve officials from the Treasury, the Northern Ireland Office and the Northern Ireland Civil Service.
Economy Minister introduces Renewable Electricity Generation Bill
On Tuesday (30 June), Economy Minister Dr Caoimhe Archibald introduced the Renewable Electricity Generation Bill to the Assembly, establishing the legislative basis for a new Renewable Electricity Price Guarantee scheme (REPG). The scheme is intended to support more locally generated renewable electricity and provide “long-term price stability” for households, businesses and investors. The legislation would enable the Department for the Economy to run competitive renewable electricity auctions at an appropriate time and to introduce regulations requiring benefits for communities hosting projects. Minister Archibald said it would help protect “households and businesses from global energy-price shocks” while “sending a strong signal to industry” that NI is a “competitive and attractive destination for investment”. RenewableNI Director Mark Richardson said the Bill would provide certainty for the sector to unlock investment, jobs, rates income and community benefits, particularly in rural areas.
What next: The Bill is currently awaiting a date for its second stage debate. Once it becomes law, further legislation will be brought forward to set out how the REPG scheme will operate in practice.
Bid to raise minimum age of criminal responsibility formally fails
On Tuesday (30 June), BBC NI reported that a proposed amendment to the Justice Bill to raise the minimum age of criminal responsibility from 10 to 14 formally failed at Stormont. Unionist parties opposed to the proposal used a petition of concern, meaning that any subsequent vote required cross-community support from a majority of unionists and nationalists. When the legislation returned to the Assembly following a 14-day consideration period, 32 nationalist MLAs voted in favour of the amendment, while 34 unionist MLAs voted against. Sixteen Alliance MLAs also supported the proposal, but their votes did not count towards the cross-community threshold because they are designated as “Other”.
What next: The Justice Bill has completed its Consideration Stage and awaits a date for its Further Consideration Stage when the Assembly returns after the summer recess.
Stakeholder Watch
Department for the Economy: “[The] Economy Minister has helped secure €40 million from the Shared Island Fund to establish a new Shared Island Offshore Renewable Energy (ORE) Ports Development scheme. The scheme is designed to strengthen offshore renewable energy capability across the island’s ports, enabling them to handle the assembly, storage and transport of offshore wind turbines; support the supply chains needed to build and maintain offshore wind farms; and helping the island to meet renewable energy targets and build a stronger green energy sector.”
Peter Martin MLA (DUP, North Down): “Great to be back at @smfestival on a panel discussing the proposed social media ban with Sian & Lucy & then afterwards ran into so many friends. Good times”.
David Honeyford (Alliance, Lagan Valley): “A productive day in Dublin yesterday. Good conversations with the Taoiseach, TDs, Invest NI, Translink, NIFL and the League of Ireland about creating more opportunities for people. Whether it’s investment, infrastructure or growing all-island women’s and youth football, progress starts with building relationships. That’s the kind of politics I’ll keep working for. #SharedIsland #Economy #Infrastructure #Opportunity”
UUP Leader, Jon Burrows MLA (UUP, North Antrim): “Yesterday, I was pleased to support a bill that permits girls to wear trousers in schools if they wish. This is basic common sense. I don’t believe a man should force a girl to wear a skirt against her & her parents wishes. The DUP should have supported this & it could have be been addressed through the new school uniform guidelines, but wasn’t.”
Leader of the Opposition, Matthew O’Toole MLA (SDLP, South Belfast): “The Finance Minister has a point, but it would be a much stronger point if he hadn’t published the Budget and described it as ‘transformative’ then disowned it. Today should be when the Executive and UK Government to end the Budget chaos for Northern Ireland.”
TUV Leader, Jim Allister MP (TUV, North Antrim): “Protocol threat to machinery from GB to NI”.
Gerry Carroll MLA (PBP, West Belfast): “Behind each one of these deficits is a child going without the support they need and teachers stretched to breaking point. As always, pupils in the most deprived communities and those with special educational needs will end up suffering the most.”
Green Party NI: “Today, Green Party Councillor Lauren Kendall has shared her breast cancer diagnosis to raise awareness and encourage early detection. “This has been the most distressing time I have ever experienced… it has completely shaken my sense of identity, the anxiety is immense.”
Northern Ireland Office: “A Northern Ireland Office spokesperson said Mr Benn has “been engaging regularly with the Northern Ireland Executive regarding its failure to agree a multi-year budget”. They added it is “vital” that the Executive “now urgently agrees a detailed plan to put Northern Ireland’s finances on a more sustainable footing and transition toward a multi-year budget”.”
Other Stories
Water system shortfalls could cost economy almost £11 billion
A new study has suggested that failure to invest in Northern Ireland’s water system could cost the local economy almost £11 billion in lost growth by 2040, according to BBC News. The study was commissioned by the bodies representing the construction industry, housing associations and the NI Chamber of Commerce. The report suggests a small household levy could give NI Water a consistent source of funding, highlighting that an annual average payment of £65 could make a significant difference. Economist Andrew Webb of OCO Global assessed scenarios based on historic growth, the impact of wastewater capacity constraints and the potential gains from progressively removing those constraints. However, all Stormont parties oppose domestic water charges, and the Department for Infrastructure has instead opted for voluntary developer payments.
Department for the Economy to cut ApprenticeshipsNI funding amid budget impasse
On Tuesday (30 June), The Irish News reported that the Department for the Economy (DfE) was preparing to withdraw ApprenticeshipsNI funding for existing employees from 27 July, following the Executive’s failure to agree a Budget. Last week, Economy Minister Dr Caoimhe Archibald warned that her department was at “breaking point”. The Department said it would prioritise support for people entering work for the first time, while apprentices already on the programme before the cut-off date will continue to receive support. According to the Irish News, Skills Council Chair Kathleen O’Hare said the planned reduction in investment sent “entirely the wrong message” at a time of persistent skills shortages. DfE has said “further savings may be required as future funding availability becomes known.”
Finance Minister sets out plans for business growth relief and higher vacant-property rates
On Monday (29 June), Finance Minister John O’Dowd announced plans to consult on targeted rates reforms aimed at supporting business expansion and bringing vacant commercial properties back into use. The proposed Business Growth Accelerator would allow businesses making improvements to continue paying rates based on their property’s pre-improvement value for a specified period, delaying any increase in liability. The Department of Finance is also considering changes to non-domestic vacant rating. Vacant properties are currently liable for up to 50% of occupied rates, with the consultation set to examine a phased increase to 75% and then 100%.
Audit Office finds health estate maintenance backlog has passed £1.6bn
On Thursday (2 July), an NI Audit Office report found that the maintenance backlog across Northern Ireland’s health estate had grown to more than £1.6bn, with around £251m of that assessed as high risk. Comptroller and Auditor General Dorinnia Carville said the £3.7bn estate was ageing and increasingly not fit for purpose, with nearly half more than 50 years old and only 40% assessed as being in acceptable condition. The Department of Health welcomed the report, said it would consider the recommendations carefully and acknowledged the need for wider service and investment planning to inform a more strategic, long-term approach.
Invest NI reports record £764m investment as regional balance improves
On Tuesday (30 June), it was revealed that Invest NI helped secure £764m of business investment in the year to March 2026, marking its highest level in more than a decade, according to newly published figures in the Irish News. The agency provided £126 million of support across 2,221 investment projects, which it said would underpin 4,300 jobs, most of them above the private-sector median salary. Almost 1,300 projects, or 59% of those supported, were located outside the Belfast Metropolitan Area. Those projects represented £359m of investment and more than 1,500 jobs. While this fell short of Invest NI’s target for 65% of projects to be outside Belfast, it exceeded its annual target for the value of investment secured outside the area. Invest NI said it had met 48 of its 56 three-year performance targets after two years.
Construction output reaches 15-year high
On Monday (29 June), new figures from the Northern Ireland Statistics and Research Agency (Nisra) revealed that output in Northern Ireland’s construction sector had reached a new all-time high of £4.9bn during the last financial year, driven by a significant 7.6% uptick of activity in the housing sector in the first quarter (Q1) of 2026. When factoring in both new construction and repair and maintenance work across housing, Nisra reported a 27.4% increase in output over the 2025/26 financial year, taking the sector to a new 15-year high, and 23% above the pre-pandemic level seen in Q4 2019.
Across the Border
Ireland begins EU Presidency
On Wednesday (1 July), Ireland officially began its sixth month Presidency of the Council of the EU. The Council represents the governments of EU member states, and works alongside the European Commission and Parliament. In the next six months, the Irish Government will chair meetings of EU government ministers, arbitrating negotiations on agreed EU policy. Speaking at a launch event in Dublin Castle, Taoiseach Micheál Martin said “few events in Ireland’s history had been so transformative” as Ireland’s accession to the EU, adding it has “helped us grow our economy, invest in our communities and supported social changes”. The EU “has been a steadfast supporter of peace and reconciliation on this island”, he added. The event was attended by Ukrainian President Volodymyr Zelenskiy, who appealed to the Irish Government to cut off the supply of raw materials to Russia produced in the County Limerick Aughinish Alumina plant. Mr Zelenskiy said: “Every tonne of raw material that ends in Russia is used against us”. It comes after the Sweden’s tax agency determined that Rusal, the company that owns the Aughinish refinery, remains under the control of sanctioned Russian oligarch Oleg Deripaska. On Thursday, Tánaiste Simon Harris said a Department of Enterprise investigation into Aughinish Alumina was “nearing completion”.
Dáil votes to end Dublin Airport passenger cap and approve LNG terminal
On Tuesday (30 June), the Dáil passed legislation allowing the Minister for Transport to remove Dublin Airport’s passenger cap. The Minister, Darragh O’Brien, said the passenger cap is restricting Ireland’s economic growth and tourism sector. The Bill passed 118 to 28, with Sinn Féin TDs voting with the Government on the legislation. The Dáil also passed a Bill which provides for the development of a state-owned emergency liquefied natural gas (LNG) storage facility in the Shannon Estuary. O’Brien who is also Minister for Climate, Energy and the Environment, said he legislation was “absolutely urgent”, adding that separate legislation would ensure the facility remained in public ownership and was used only in emergency circumstances. The Dáil voted by 90 votes to 57 in favour of the Bill. Both Government Bills were guillotined, curtailing time for debate in the chamber. Opposition TDs took issue with proposed amendments being “ignored” and for full scrutiny being cut off.
Two thirds of Irish people would vote to remain in EU, survey finds
On Tuesday (30 June), More in Common published new polling which found that in an “Irexit” referendum, 67% say they would vote to remain in the EU, compared to just 17% who say they vote to leave. Asked to choose between more European co-operation and more national control, voters skew towards national control (45% to 41%), and 76% say Ireland should be more willing to challenge larger EU states rather than accommodate them. Ahead of Ireland’s EU Presidency, only 16% of respondents said they had heard “a lot” about Presidency, 46% said they had heard “a little”, and 38% said they had heard nothing at all. The survey found that voters think Ireland should prioritise building closer economic ties with the EU over the US by 75% to 25%, and trust in the US administration under Trump has fallen to under 20%.
What We’re Reading
Three quick fixes to get Stormont working again – Ann Watt
In Wednesday’s (1 July) Irish News, Ann Watt, director of think tank Pivotal, writes that there is “growing consensus that government in Northern Ireland is not working”. She notes that when four of the five parties appeared in front of the Northern Ireland Affairs Committee (NIAC) to discuss structural reform, “all agreed that government is not delivering for people”. The “lack of delivery is clear”, and “the Executive is beset by frequent collapses, covering about 40% of the time since devolution in 1999”. Citing a recent Pivotal report, Watt says three of their suggestions “could gain quick approval from parties and be implemented before the next election”. Firstly, “the Official Opposition should have more resources”, to “improve scrutiny of ministers and encourage other parties to join”. Secondly, the “three-meeting rule” at the Executive should be enforced, to stop “difficult policy discussions” being “kicked down the road”. Thirdly, “the importance of the Programme for Government, budget and legislative programme needs to be reinforced”. Watt warns that making reform is not easy because “the mechanisms for making changes at Stormont are unclear, the UK Government may be reluctant to get involved”. And she says while most parties are in favour of reform, “the DUP appear not to be”. They told the NIAC “that improving relationships and attitudes is much more important than changing structures”. Watt says that “both are required”, concluding that “any structural reforms must go hand in hand with a renewed sense of strong leadership, trust and willingness to compromise.”
Forward Look
Monday 7 September
First sitting of the Assembly after Summer recess
Friday 11 – Saturday 12 September 2026
SDLP Conference, Crowne Plaza Belfast
Friday 18 – Saturday 19 September 2026
DUP annual conference, La Mon Hotel, Belfast
Friday 25 – Saturday 26 September 2026
UUP annual conference, Crowne Plaza Belfast
Thursday 8 October 2026
NILGA Conference, Island Arts Centre Lisburn
Friday 23 October 2026
Social Enterprise Awards for NI 2026, Crowne Plaza Hotel, Belfast
Wednesday 18 November 2026
North West Future of Energy Conference & Exhibition 2026, White Horse Hotel- Read more here.
Thursday 19 November – Friday 20 November 2026
NIFHA Annual Conference 2026, Slieve Donard Hotel- Read more here.
Thursday 10 December 2026
NIFHA Housing Finance Conference, DoubleTree by Hilton Hotel Templepatrick- Read more here.
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