Subject to parliamentary approval of the spring supplementary estimate, HM Treasury’s resource DEL will be increased by £14,148,000 from £180,063,000 to £200,231,000. The administration budget will be increased by £12,724,000 from £137,594,000 to £150,318,000. The impact on resources, including the administration budget is set out in the following table:
* Capital DEL includes items treated as resource in estimates and accounts but which are treated as Capital DEL in budgets.
**Depreciation, 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 net increase in resource DEL of £14,148,000 is the net effect of the take-up of administration budget (£2,400,000) and programme (£1,600,000) EYF in RfR1 section A to fund the costs of the increased work load which includes the funding of various new Treasury related bodies and the draw down from the modernisation fund of £7,598,000 administration costs to fund costs associated with the Fast Forward IT project. There is also a transfer of £5,552,000 from capital to resources to fund the increased work load pressures.
As a result of the machinery of government (MoG) transfer of the Office of Government Commerce (OGC), £3,002,000 (£2,826,000 administration and £176,000 programme) is being transferred to the Department for Business, Innovation and Skills (BIS) to reflect the transfer of responsibility for the Government property and facilities management teams.
Additionally there are movements from non-voted to voted spending within the DEL total to reflect the draw-down of departmental unallocated provision (DUP) of £709,000 administration and £1,716,000 programme and the reallocation of an underspend on utilisation of provision of £9,490,000 to voted spending.
The administration budget is increasing by £12,724,000, which is the net effect of the EYF take-up (£2,400,000), draw-down from the modernisation fund (£7,598,000), a transfer from capital (£5,552,000) and the MoG transfer (£2,826,000) of OGC to BIS.
The capital DEL decreases by £101,000 which is the net result of the draw-down of £5,451,000 from the modernisation fund to cover spending on the Fast Forward IT project less a transfer to resources of £5,552,000. Additionally, voted DEL is being increased by £3,400,000 following the take-up of DUP.