In 2010-11, we are meeting half of the full implementation costs—£420 million—as implementation starts from October. These are being met as explained in my reply on 8 December 2009, Official Report, column 296W to the hon. Member for Boston and Skegness (Mark Simmonds).
The remaining half year costs will be found from 2011-12. Detailed budget prioritisation decisions for 2011-12 onwards will be taken once the outcome of the next Spending Review is available, as the Department’s total budget beyond 2010-11 is not yet known.
The savings will be made in the Department.
I refer the hon. Member to the reply I gave to the hon. Member for Eddisbury (Mr. O'Brien) on 10 December 2009, Official Report, column 553W.