Professor Alastair Adair - Pro Vice Chancellor of Northern Ireland's largest university - said that the reductions in government spending announced in the recent budget should be seen as an opportunity to restructure and streamline the local economy and society. He says that austerity measures will bring a large amount of pain for the local economy, but that this should be a catalyst for positive change.
He said: "Not since the 1970s have we had such a massive incentive to ensure the cost-effectiveness of our public and private sectors.
"By taking a constructive and proactive approach to the current public spending environment, Northern Ireland can create a cost-effective public sector and a more competitive private sector."
The executive continued by urging the Northern Ireland Executive to act quickly and decisively in developing a strategy for dealing with the 25% cut in departmental expenditure limits over the next four years.
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He also welcomed Finance Minister Wilson's realism in recognising that Northern Ireland is still lagging the rest of the UK in economic growth.
Professor Adair also urged the Executive to work with the private sector so that Northern Ireland does not miss out on economic growth.
He stresses that urgent action is required to address issues of affordability in the housing market and targeting limited capital expenditure on infrastructure and schools projects.
"But we must go further and introduce a range of innovative financing measures.
"We should not stop at a reduced level of corporation tax but should consider innovative vehicles such as Business Improvement Districts, already considered by local government in Northern Ireland, and Tax Incremental Financing which are proven methods of raising public finance in other jurisdictions," he said.
On charges for water, the RICS boss said: "While these are difficult times for Northern Ireland households, the Executive should consider the early introduction of water charges to ensure much needed investment in our infrastructure. This is a necessary step if Northern Ireland is going to compete effectively in a global economy and avoid fines from the EU for sub standard water infrastructure."
Professor Adair also stressed that RICS fully supports the Northern Ireland Executive in developing a strategy for economic growth and said that he "looks forward to working with the Executive to make the very best use of our increasingly limited resources in the short-term, and position our public sector and private sector to be highly streamlined and competitive into the future".
The RICS boss is well placed to comment as he is Professor of Property Investment and Pro Vice Chancellor (Communication & External Affairs) at the University of Ulster.
He is also Provost of the Jordanstown and Belfast campuses. Formerly he was inaugural Dean of the Faculty of Art, Design and the Built Environment.
He is Chair of the University's Greater Belfast Development Steering Group, tasked with delivering the new campus development in the centre of Belfast.
(BMcC/GK)
