The Department of Health has been granted an additional €500 million for its budget for the year which will largely be used to cover overspending by the Health Service Executive.

Minister for Health Simon Harris on Wednesday secured approval from the Department of Public Expenditure and Reform to increase his department's expenditure.

The majority of the funds will go into the HSE which has already overrun its budget for this year by some €150 million.

The remaining money will be used to fund initiatives to tackle hospital overcrowding and to lift restrictions on home help hours. Funds diverted from the mental health budget will also be restored. There was previously outrage when it emerged that the funds had been used to cover other areas.

The Department of Justice also secured an additional €40 million to assist with Garda overtime. Minister for Justice Frances Fitzgerald announced recipt of the extra funds at the Garda College in Templemore, co Tipperary. The estimates will be presented to the Dáil to be voted on next week.

Speaking in the Dáil last week, Minister for Public Expenditure and Reform Paschal Donohoe said: "I am reviewing the status of the 2016 estimates with the Government. We will introduce them later this year than would have been the norm.

“I aim to secure Government approval for the estimates soon. When that is done, the information will have to be made available to the Dáil because the Dáil must vote on them.”

Under new European rules, Government departments cannot receive supplementary estimates. Without the additional funds, both departments would have had to introduce severe spending cuts in the second half of the year to live within their means.