The Scottish Executive is responsible for setting its own targets for efficiency and public service delivery in devolved areas. Changes to the Scottish Executive departmental expenditure limit are determined in accordance with the Treasury publication ‘Funding the Scottish Parliament, National Assembly for Wales and Northern Ireland Assembly—a Statement of Funding Policy’. The latest edition was published in July 2004.
Section 10 of the Treasury publication “Funding the Scottish Parliament, National Assembly for Wales and Northern Ireland Assembly—a Statement of Funding Policy” details the arrangements that are in place for the handling of end year flexibility, breaches of departmental expenditure limits and the management of cash balances.
Treasury Ministers and officials meet with the Scottish Executive from time to time to discuss matters of common interest.