The figures shown for receipts and expenditure in 1999 are projected outturns and reflect present knowledge. They are subject to revision when the end-year figures become available. Fully audited details for 1999 will be available in the 1999 Finance Accounts to be published not later than 30 September 2000.

2. Revenue

The estimate of revenue for 2000 is based on the tax provisions in force at present.

3. Expenditure

The Estimates for Public Services (Abridged Version) & Summary Public Capital Programme 2000 (AEV), was published on 11 November 1999. The estimated expenditure figures for 2000 contained in the White Paper are consistent with those published in the AEV. However, the 1999 outturn figures for voted expenditure are different from the 1999 figures which were published in the AEV as the figures have been revised to reflect more up-to-date information.

4. Appropriations-in-Aid (A-in-As)

Voted expenditures are shown net of Appropriations-in-Aid (A-in-As). These are receipts which, with the agreement of the Dáil, may be retained by a Department or Office to offset expenditures instead of being paid into the Exchequer Account of the Central Fund. Details of gross voted expenditures by Departments are contained in the Estimates for Public Services (Abridged Version) & Summary Public Capital Programme 2000.

5. PRSI

PRSI contributions are paid into the Social Insurance Fund (SIF) and do not form part of the revenues paid into the Central Fund as is explained in the following paragraphs.

Disbursements by the Department of Social Community and Family Affairs fall under three main categories, namely,

payments out of the SIF which are related to the entitlement of persons under their insurance/PRSI/benefit record, e.g. unemployment benefit, contributory pensions, etc.,

payments to persons who have ceased to qualify or have never qualified under their insurance/PRSI/benefit record to be paid out of the SIF, e.g. unemployment assistance, non-contributory pensions, etc., and

other payments such as grants to organisations.

The amount voted by the Dáil to the Department of Social Community and Family Affairs is composed of payments falling under (b) and (c) above, together with any sum needed by the SIF to ensure that the total income of the fund is not less than the total sum paid out of the Fund in any year.

For most past years, an Exchequer contribution has been required to meet the shortfall on SIF. However, no Exchequer contribution has been required since 1997.

6. Pre-funding of future pensions liabilities

The Government has decided to provide resources for pre-funding part of the future cost of social welfare and public service pensions, and to set aside 1% of Gross National Product annually for this purpose. In addition, a major portion of the proceeds of the sale of shares in Telecom Eireann will be allocated to pre-funding. Legislation will shortly be introduced in Dáil Éireann which will provide for the establishment of a Temporary Holding Fund for the Exchequer moneys provided for this purpose in 1999. It is planned that further legislation will be introduced in Dáil Éireann in 2000 to provide for the establishment of two funds - a Social Welfare Reserve Fund and a Public Service Pensions Fund - on a permanent basis. The 1999 and 2000 provisions for pre-funding are shown in Note 7 (see page 10).

7. Proceeds from sale of shares in Telecom Eireann

The proceeds from the sale of shares in Telecom Eireann are included as Capital Receipts (see Note 5 on page 8).

It is expected that these receipts will fund capital expenditure as follows (see Note 7 on page 10):

a provision for the discharge in 1999 of future pension liabilities arising in respect of service of An Post and Telecom Eireann employees and former employees in the former Department of Posts and Telegraphs¹(£1,250 million), and

the balance (subject to the approval of the Oireachtas) will be placed in the Temporary Holding Fund as outlined in paragraph 6 above.

The sale of shares in Telecom Eireann will give rise to further receipts in 2000, which (subject to the approval of the Oireachtas) will also be paid into the fund(s) outlined in paragraph 6 above.

8. Tables in Euro

The Tables and Notes shown on pages 4 to 10 are denominated in IR£. Copies of these tables denominated in Euros are shown on pages 11 to 17.

1 Current expenditure of £52 million in 1999 and £7m in 2000 is included in Note 4 (see page 8). The 1999 charge is in respect of the pensions cost of An Post and Telecom Eireann pensioners who were employed by the former Department of Posts and Telegraphs. The provision in 2000 is in respect of pension costs of Telecom Eireann pensioners up to March 2000. This will not arise in future years once the liabilities are discharged by the £1,250 million payment.