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Department for Environment, Food and Rural Affairs: DEL

Volume 707: debated on Thursday 12 February 2009

Statement

My honourable friend the Minister for the Natural and Marine Environment, Wildlife and Rural Affairs (Huw Irranca-Davies) has made the following Written Ministerial Statement.

Subject to parliamentary approval of any necessary supplementary estimate, the Department for Environment, Food and Rural Affairs DEL will be reduced by £656,314,000 from £3,746,278,000 to £3,089,964,000 and the Administration Budget will be reduced by £45,880,000 from £356,463,000 to £310,583,000. These movements in the DEL Budget are mainly due to the machinery of government transfer to the Department of Energy and Climate Change. That apart, the overall effect on Defra's DEL Budget is minimal with the forecast outturn anticipated to run close to allocated budget. Within the DEL change, the impact on resources and capital are as set out in the following table:

£'000s

Change

New DEL

Voted

Non-voted

Voted

Non-voted

Total

Resource

-24,629

-207,707

4,050,855

-1,362,984

2,687,871

of which:

Administration Budget

-45,880

-

310,583

-

310,583

Near-cash in RDEL

-40,518

-188,457

3,829,710

-1,446,278

2,383,432

Capital

-405,780

-12,250

259,902

338,939

598,841

Depreciation*

-8,748

2,800

-96,949

-99,799

-196,748

Total

-439,157

-217,157

4,213,808

-1,123,844

3,089,964

*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 change in the resource element of the DEL arises from (i) a transfer of £45,846,000 administration spend from the Climate Change Group located in the Department for Environment, Food and Rural Affairs (Defra) to the Department of Energy and Climate Change (DECC); (ii) a transfer of £34,000 administration spend to Department for Innovation, Universities and Skills (DIUS) for skills strategy; (iii) a transfer of £152,512,000 programme spend from the Climate Change Group located in Defra to DECC (iv) a transfer of £34,000,000 Non-voted Departmental Unallocated Provision (DUP) to the DECC; (v) take up of End Year Flexibility for Investing in Communities Invest to Save Budget (ISB) of £56,000.

The change in the capital element of the DEL arises from (i) a transfer of £402,030,000 from the Climate Change Group located in Defra to DECC; (ii) a transfer of £16,000,000 Non-voted Departmental Unallocated Provision (DUP) to DECC.

The change in the depreciation budget is due to (i) £3,102,000 transferring to DECC for the machinery of government transfer; (ii) a transfer of £12,050,000 non-cash costs from Natural England to Defra across non-cash categories; (iii) re-profiling of Forestry Commissions (FC) Budget of £3,000,000 across non-cash categories.