He was speaking after the Finance Minister confirmed six successful projects would benefit from the funding, following assessment by the Public Service Transformation Board.
The Upper Bann MLA said: “Alliance has consistently made the case for investment in transformation to deliver the high-quality and sustainable public services people deserve and expect.
“Prior to restoration of the Assembly, Alliance worked with others to make the case to Treasury that a financial package would be required to support stabilisation and transformation of our health, education and other public services.
“Today’s announcement is a welcome outworking of those discussions, with £61m being made available to improve primary care and tackle health inequalities, £27.5m to enhance support for children with special educational needs, and £21m to speed up our justice system.
“Whilst this is an important first step, the Finance Minister should move to place the Public Sector Transformation Board on a permanent footing, and allocate the remaining £102.5m available for investment as soon as possible.“