Executive must pursue more fiscal powers says Mid Ulster MLA

Embargoed to 0001 Monday February 23''File photo dated 18/09/12 of money as wages will increase ahead of inflation for the first time since 2007 this year but "boom time" pay growth remains a distant prospect, according to a new study. PRESS ASSOCIATION Photo. Issue date: Monday February 23, 2015. Martin Beck, senior economic adviser to the EY ITEM Club, said: "Real earnings have fallen by nearly 10% since 2008, but workers will finally see more money in their pockets this year. "However, this is not a normal recovery. The move towards later retirement and the huge increase in the size of the workforce has depressed real wages as workers have priced themselves into jobs. "We don't expect a return to boom time wage growth any time soon. Employment will continue to be strong, but wage growth will remain relatively modest." See PA story ECONOMY Pay. Photo credit should read: Dominic Lipinski/PA Wire
Embargoed to 0001 Monday February 23''File photo dated 18/09/12 of money as wages will increase ahead of inflation for the first time since 2007 this year but "boom time" pay growth remains a distant prospect, according to a new study. PRESS ASSOCIATION Photo. Issue date: Monday February 23, 2015. Martin Beck, senior economic adviser to the EY ITEM Club, said: "Real earnings have fallen by nearly 10% since 2008, but workers will finally see more money in their pockets this year. "However, this is not a normal recovery. The move towards later retirement and the huge increase in the size of the workforce has depressed real wages as workers have priced themselves into jobs. "We don't expect a return to boom time wage growth any time soon. Employment will continue to be strong, but wage growth will remain relatively modest." See PA story ECONOMY Pay. Photo credit should read: Dominic Lipinski/PA Wire
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SDLP Mid Ulster MLA Patsy McGlone has called on the Executive to accelerate work on identifying further fiscal powers which could be devolved to generate revenue locally.

Commenting on a motion on reductions to the Block Grant, Mr McGlone said: “There has been a lot of discussion around the devolution of Corporation Tax powers for Northern Ireland and the potential of a lower rate.

“It is certainly an exciting prospect and one that could help to regenerate our economy if handled properly but there remain a number of unanswered questions.

“Treasury Minister, David Gauke, has indicated that the reduction to the block grant will amount to a staggering £300m; yet last week Peter Robinson suggested that the cut would be phased in over three years.

“Corporation Tax won’t be a silver bullet that will solve all of Northern Ireland’s economic woes,” he added.

“It is vital that the Executive prioritises the identification of further fiscal powers to complement Corporation Tax.