My Department's formal Comprehensive Spending Review settlement for 2008-09 to 2010-11 is expected to be announced later this month. This will be followed by the Department's own financial allocation process, during which the Environment Agency's budget will be determined. This process will be based on careful prioritisation across the Department and all its sponsored bodies. The Secretary of State has already announced an overall increase of £200 million to £800 million in 2010-11 for Government spending on flood and coastal erosion risk management. Allocations between operating authorities will be confirmed following the medium term planning exercise for capital projects later this year.