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Writing Peace: David Trimble Collection

Enclosure: Finance issues paper by the British Government for Strand One

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The British Government's confidential 'Strand One: Finance Issues Paper' outlines key financial considerations for the establishment of new democratic institutions in Northern Ireland. The document discusses the continuation of the 'Barnett' formula for determining public expenditure and raises questions about the allocation of financial responsibilities between the new institutions and the Secretary of State, particularly for issues not covered by the Barnett formula. It also explores whether public expenditure should be managed as a single block or separate blocks, the allocation of funds to departmental and North/South programs, and the potential for new institutions to have discretion over local taxation and other tax-raising powers. The paper emphasizes the need for agreement with the Treasury on these matters within the context of any political settlement.

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Writing Peace: David Trimble Collection

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