Subject to parliamentary approval of any necessary supplementary estimate, HM Treasury’s total DEL will be reduced by £73,000 from £229,448,000 to £229,375,000 and the Administration budget will be reduced by £2,670,000 from £173,851,000 to £171,181,000. The impact on resources and capital is set out in the following table:
Change NEW DEL Voted Non-voted Voted Non-voted Total Resource 6,572,000 -6,572,000 210,547,000 21,240,000 231,787,000 Ofwhich Administration budget 1 3,902,000 -6,572,000 170,331,000 850,000 171,181,000 Near-cash in RDEL 6,231,000 -6,572,000 198,385,000 32,418,000 230,803,000 Capital2 - 7,200,000 - 7,200,000 Less Depreciation3 -73,000 - -9,612,000 - -9,612,000 Total 6,499,000 -6,572,000 208,135,000 21,240,000 229,375,000 1The total of 'Administration budget' and 'Near-cash in resource DEL' figures may well be greater than total resource DEL due to the definitions overlapping. 2Capital DEL includes items treated as resource in Estimates and accounts but which are treated as Capital DEL in budgets. 3Depreciation, which forms part of resource DEL, is excluded from the total DEL, since capital DEL includes capital spending and to include depreciation of those assets would lead to double counting.
The resource and capital DELs remain unchanged while total DEL is reduced by £73,000 following an increase in depreciation. The reduction in the administration budget arises from the reclassification of Administration budget spending to other current to finance increased other current spending by HM Treasury to reflect a reduction of £390,000 in appropriations in aid and the Office of Government Commerce to fund the remaining costs associated with the OGC’s voluntary early retirement and severance scheme costs arising from the Transforming Government Procurement review.