What is the Spending Review?
The Spending Review is a governmental process in the UK, primarily conducted by HM Treasury, to set expenditure limits for government departments and outline public spending plans. It typically occurs every two to four years and aims to define the key improvements that the public can expect from allocated resources. During this process, departments must bid for the funds they require, and the review establishes a long-term plan for government expenditure, including block grants to devolved administrations such as the Northern Ireland Executive.
What does it mean for Northern Ireland?
- By the end of 2029, the Northern Ireland Executive will receive £20 billion.
- In 2025-26, the Northern Ireland Executive will receive an additional £14 million through the Barnett formula.
- £469 million for the Northern Ireland Executive from the 2024 restoration financial package, including £185 million for public service transformation. This is on top of the £2.15 billion provided to the Executive from the package since restoration in February 2024.
- The Northern Ireland Office will work with the Ministry of Housing, Communities and Local Government to implement the new local growth fund. For 2026-27 to 2028-29, funding across these schemes will be at the same overall level in cash terms as under the UK Shared Prosperity Fund in 2025-26.
- £310 million to continue to deliver City and Growth Deals.
- £50 million over four years to support the redevelopment of the Casement Park stadium, subject to sufficient finance being raised elsewhere to deliver the project.
- £11 million across the three years for community development projects in Northern Ireland
The Government have also published an update on the Northern Ireland Interim Fiscal Framework. Along with the Northern Ireland Executive, they have agreed the methodology for assessing relative funding and the full document is available here. Negotiations on a full Northern Ireland Executive Fiscal Framework are to begin immediately.
Where can I find out more information?
You can read the full Spending Review and related documents here: Spending Review 2025 document - GOV.UK.
How is NICVA supporting you?
NICVA will continue to monitor these announcements for more details as they arise.
