Arlene Foster says Stormont will lose £38m because of the chancellor's spending cuts By Julian O'Neill

BBC News NI Business Correspondent Published duration 9 June 2015

image caption Arlene Foster said the loss of £38m was all the more reason for Stormont to get its finances sorted

Finance minister Arlene Foster has told MLAs that Stormont will lose £38m as a result of the chancellor's decision to cut government spending.

The change to Northern Ireland's budget is the regional knock-on effect of George Osborne's move to reduce spending by £3bn, announced last week.

Ms Foster said she expected further reductions as a result of the emergency budget on 8 July.

She said it was all the more reason for Stormont to get its finances sorted.

She broke the £38m down as £33m for resource, or day-to-day spending, and £5m from its capital budget.

The devolved administration is facing a major budget shortfall due to the continuing failure to implement welfare reforms

"If we are to be taken seriously in relation to other matters, then we need to get that budget in place," Ms Foster told the assembly on Tuesday.