§ The Chancellor of the Exchequer (Mr. Denis Healey)There will be a reduction in housing capital programmes. Without these adjustments there would have been a substantial overspend on housing. The reduction now decided will offset most of the likely excess next year and will contribute a saving of £300 million in the following year.
New construction will be suspended or curtailed in several other central and local government programmes, including roads, other environmental services, school building, Government accommodation, and capital spending by the water authorities. This will save about £270 million next year and over £300 million in 1978–79.