"Financial Statement And Budget Report"

Mr. Timms

To ask the Chancellor of the Exchequer if he will publish updated versions of tables 5A.4 and 5A.5 from the "Financial Statement and Budget Report 1997–98". [19125]

The attached tables are an update of the tables included in the Financial Statement and Budget Report. The figures for 1997–98 and 1998–99 are based on the plans announced in November 1996 and revised to take account of any announced changes in spending plans including the Summer Winter Supplementary Estimates.These figures include:

the £1.2 billion allocated to the NHS and the £1 billion allocated to schools for 1998–99 in the July Budget.

the additional £300 million for patient services in the NHS for this year announced in October.

the extra £190 million provision this year and next for pensioners' fuel bills announced in the Pre Budget Report.

the effect of the abolition of nursery vouchers and the transfer of money to local authorities to fund their early year development plans.

There are no figures for new plans for 1999–2000 and beyond as new plans will not be set until the completion of the Comprehensive Spending Review.

In addition we have allocated substantial funds outside the Control Total; over £5 billion for the Welfare to Work programme and for investment in housing. the expected spending in 1997–98 and 1998–99 is shown in the following table. We have also announced a change in allocations from the National Lottery; £1 billion will be allocated over the next four years for the Government's priorities of health and education including spending on out of school activities and on National Endowment for Science, Technology and the Arts.

Control total by department
£ million
Outturn					Plans
	1992–93	1993–94	1994–95	1995–96	1996–97	1997–98	1998–99
Defence (excluding married quarters)	22,910	22,757	22,562	21,517	22,345	21,660	22,250
MoD Married Quarters	—	—	—	—	-962	-700	—
Foreign Office	1,242	1,244	1,263	1,339	1,059	1,100	1,070
Department for International Development	2,126	2,235	2,385	2,338	2,343	2,210	2,320
Agriculture, Fisheries and Food	2,186	2,937	2,445	2,827	4,205	3,740	3,400
Trade and Industry—Programmes	2,812	2,737	2,811	3,223	3,092	3,090	3,020
Trade and Industry—Nat Inds	1,300	1,278	577	25	-394	-100	-180
Export Cre Guar Department	117	-60	-26	16	15	10	—
DETR—Transport	6,557	5,959	5,974	4,619	4,838	5,220	4,590
DETR—Other	10,371	10,284	9,635	8,915	8,300	7,440	7,530
DETR—Local Government¹	31,175	29,378	29,913	30,298	31,321	31,380	32,760
Memo: Education SSA¹	—	—	—	—	17,764	17,840	19,380
Education and Employment¹	10,762	13,616	14,364	14,449	14,494	14,090	13,360
Home Office	5,824	5,965	6,259	6,480	6,532	6,920	6,860
Legal Departments	2,334	2,415	2,585	2,684	2,749	2,710	2,680
Department for Culture, Media and Sport	1,005	977	978	1,026	978	890	910
Health	28,212	29,763	31,575	32,907	33,817	35,160	36,700
of which NHS	27,970	28,941	30,570	31,958	33,044	34,590	36,120
Social Security	61,130	67,091	69,457	72,748	76,970	80,060	83,910
Scotland¹	12,723	13,580	14,082	14,312	14,490	14,500	14,590
Wales¹	5,992	6,296	6,551	6,719	6,820	6.940	6,980
Northern Ireland¹	6,606	7,108	7,426	7,717	8,030	8,230	8,330
Chancellors' Departments	3,478	3,393	3,329	3,288	3,201	3,180	3,130
Cabinet Office	1,012	1,054	966	1,248	1,214	1,050	1,350
European Communities	1,912	1,877	1,268	3,370	1,717	1,780	2,440
Local authority self-financed expenditure	8,815	7,999	10,718	12,887	12,718	13,100	13,600
Further EYF Takeup²	—	—	—	—	—	700	—
Reserve	—	—	—	—	—	1,400	2,000
Control total	230,602	239,885	247,098	254,952	259,893	265,800	273,500
¹Education
The £1 billion provided for schools in 1998–99 in the Budget has been added to support for local authorities and appear in the figures for DETR—Local Government, Scotland, Wales and Northern Ireland. The Education SSA line shows central government's provision for a nominal "standard level of service" in education. The amount of money is a broad indicator of local authority spending on education; the final decisions are made by individual local authorities. The Education SSA line includes the 1998–99 money transferred to DETR—LG following the abolition of nursery vouchers.
The spending plans for the Department of Education and Employment are reduced on 1997–98 and 1998–99 by the expected proceeds from sales of student loans (£1.6 billion in each year). The apparent reduction in spending between 1997–98 and 1998–99 principally consists of transfers to other departments including DETR—Local Government and DSS. There is a real terms increase in overall provision for education in 1998–99.
² Further EYF Take-up
This is the Treasury estimate of likely further take-up by departments before the end of 1997–98 of unspent provision carried forward from last year under the end-year flexibility rules. Some £450 million of EYF has already been taken up in the Winter Supplementary Estimates and is included in the departmental totals.

Expenditure outside the Control Total
£ million
	1997–98	1998–99
Spending by programme ¹:
A New Deal for the under 25s unemployed over six months	100	700
A New Deal for people unemployed over two years	0	100
A New Deal for lone parents	0	25
Childcare²	0	40
A New Deal for Schools	100	300
Total expenditure	200	1,165
Capital Receipts Initiative	200	700
¹ Illustrative levels of spending based on current levels of unemployment. Actual provision for any particular year will be decided in the light of the number of eligible people and the effectiveness of the programme.
² Including changes to Family Credit, and Out of School Clubs.

Control Total by department in real terms (1996–97 prices)
£ billion
	Outturn					Plans
	1992–93	1993–94	1994–95	1995–96	1996–97	1997–98	1998–99
Defence (excluding married quarters)	25.3	24.4	23.8	22.1	22.3	21.1	21.1
MoD Married Quarters	—	—	—	—	-1.0	-0.7	—
Foreign Office	1.4	1.3	1.3	1.4	1.1	1.1	1.0
Department for International Development	2.3	2.4	2.5	2.4	2.3	2.2	2.2
Agriculture, Fisheries and Food	2.4	3.1	2.6	2.9	4.2	3.6	3.2
Trade and Industry—Programmes	3.1	2.9	3.0	3.3	3.1	3.0	2.9
Trade and Industry—Nat Inds	1.4	1.4	0.6	0.0	-0.4	-0.1	-0.2
Export Cre Guar Dept.	0.1	-0.1	0.0	0.0	0.0	0.0	0.0
DETR-Transport	7.2	6.4	6.3	4.7	4.8	5.1	4.3
DETR-Other	11.4	11.0	10.2	9.2	8.3	7.2	7.1
DETR-Local Government¹	34.4	31.5	31.6	31.1	31.3	30.6	31.0
Memo: Education SSA¹	—	—	—	—	17.8	17.4	18.4
Education and Employment¹	11.9	14.6	15.2	14.9	14.5	13.7	12.7
Home Office	6.4	6.4	6.6	6.7	6.5	6.7	6.5
Legal Departments	2.6	2.6	2.7	2.8	2.7	2.6	2.5
Dept. for Culture, Media and Sport	1.1	1.0	1.0	1.1	1.0	0.9	0.9
Health	31.1	31.9	33.3	33.8	33.8	34.2	34.8
of which NHS	30.9	31.0	32.3	32.8	33.0	33.7	34.2
Social Security	67.4	71.9	73.3	74.8	77.0	78.0	79.5
Scotland¹	14.0	14.6	14.9	14.7	14.5	14.1	13.8
Wales¹	6.6	6.7	6.9	6.9	6.8	6.8	6.6
Northern Ireland¹	7.3	7.6	7.8	7.9	8.0	8.0	7.9
Chancellors' Departments	3.8	3.6	3.5	3.4	3.2	3.1	3.0
Cabinet Office	1.1	1.1	1.0	1.3	1.2	1.0	1.3
European Communities	2.1	2.0	1.3	3.5	1.7	1.7	2.3
Local authority self-financed expenditure	9.7	8.6	11.3	13.2	12.7	12.7	12.8
Further EYF Takeup²	0.0	0.0	0.0	0.0	0.0	0.7	0.0
Reserve	0.0	0.0	0.0	0.0	0.0	1.4	1.9
Control Total	254.4	257.1	260.9	262.0	259.9	258.8	259.1

To ask the Chancellor of the Exchequer if he will update Table 6.5 of the Financial Statement and Budget Report 1996–97 to show comparisons of the outturns with Table 6.5 estimates for 1996–97, and comparisons of current estimates for 1997–98 and 1998–99 with such estimates for these years as appeared in Table 6.5 (FSBR 1996–97). [19268]

[holding answer 8 December 1997]: The Government is wholly committed to PFI, and has wasted no time putting into place the changes needed to revitalise the initiative. Following consultation with PFI practitioners, Malcolm Bates' review identified a number of areas that warranted attention, and the Government has acted quickly to issue guidance and help from the centre, to encourage departments to set realistic priorities, to work on establishing standard templates to reduce the need for repetition of effort, and to put in place legislation to facilitate the flow-through of contracts in the health and local authority sectors. We are already seeing positive results, with contracts signed for two major hospitals, and education establishments at Clarendon College and Colfox School in Dorset.This table is compiled every six months. The latest version, set out below, represents the latest figures that have been collected centrally. These are estimates, and not targets to be met at any price. The Government's priority is to conclude good value for money projects. We are also promoting a wide range of other public-private partnerships, many of which would not be captured by this table:

Table 6.5 (FSBR 1996–97):
	1996–97	1997–98	1998–99	Total
Defence	30	80	210	320
FCO	10	10	10	30
MAFF	10	20	10	40
DTI	10	10	10	30
Transport	1120	1320	1260	3700
DfEE	20	40	50	110
Environment	30	30	30	100
Home Office	50	110	60	220
Legal Departments	10	20	10	40
National Heritage	20	30	30	80
Health	170	200	300	670
DSS	130	70	100	300
Scotland	140	360	420	920
Wales	60	150	150	360
Northern Ireland	50	80	80	210
Chx's departments	40	40	30	110
Total	1900	2570	2760	7240

Latest Estimates:
	1996–97	1997–98	1998–99	Total
Defence	50	270	390	710
FCO	0	20	30	50
MAFF	0	0	0	0
DTI	0	10	10	20
Transport	570	1,220	1,340	3,130
DfEE	0	10	10	20
Environment	70	80	140	290
Home Office	120	230	160	510
Legal Departments	10	10	10	30
National Heritage	0	20	30	50
Health	60	110	270	440

Latest Estimates:
	1996–97	1997–98	1998–99	Total
DSS	80	410	170	660
Scotland	20	200	510	730
Wales	10	10	80	100
Northern Ireland	0	20	50	70
Chancellor's departments	0	70	240	310
Local Authorities	0	25	315	340
Total	1,000	2,705	3,745	7,460

Volume 302: debated on Wednesday 10 December 1997