HC Deb 30 July 1976 vol 916 cc466-71W
Mr. Nott

asked the Chancellor of the table breaking down the expenditure cuts Exchequer whether he will publish a announced on 22nd July into the following categories: current and capital expenditure, goods and services and transfer payments expenditure, expenditure by central Government, local government and the rest of the public sector and expenditure on wages and salaries and other public expenditure.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 29th July 1976],gave the following information:

The precise allocation of the cuts has in some cases yet to be settled. I will write to the hon. Member with the figures when they are available.

Mr. Nott

asked the Chancellor of the Exchequer whether the estimates in Command Paper No. 6393 of the relative price effect in 1976–77 and 1977–78 still stand.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 29th July 1976],gave the following information:

The estimates of the relative price effect in 1976–77 and 1977–78 published in Cmnd. 6393 are likely to be amended in the light of more up-to-date information. Revised figures will be published in the Public Expenditure White Paper later in the year.

Mr. Nott

asked the Chancellor of the Exchequer (1) whether he will publish a table showing the public expenditure projected for each programme in 1977–78 in Command Paper No. 5519, revalued at 1976 Survey prices;

(2) whether he will publish a table showing the total of public expenditure and expenditure on each programme projected for 1977–78 in Command Paper No. 5519, revalued at 1976 survey prices.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 29th July 1976],gave the following information:

Projections for 1977–78 published in volume terms in Cmnd. 5519 and revalued to 1976 Survey prices are as follows:

£ million
Defence 6,137
Overseas services 1,297
Agriculture, fisheries and forestry 523
Trade, industry and employment 1,429
Nationalised industries capital expenditure 4,163
Roads and Transport 3,021
Housing 2,725
Other environmental services 2,932

Law, order and protective services 1,973
Education and libraries, science and arts 8,382
Health and personal social services 6,886
Social security 9,345
Other public services 732
Common services 897
Northern Ireland 1,466
Total programmes 51,908
Debt interest 4,025
Contingency reserve 1,270
Shortfall -510
Total 56,693

Mr. Nott

asked the Chancellor of the Exchequer whether he will publish figures for the shortfall (a) in total public spending, and (b) in the capital expenditure of the nationalised industries, anticipated in successive public expenditure White Papers, for each financial year from 1969–70 to 1979–80 and, on the same price base, the amount of shortfall in each of those years to date.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 29th July 1976],gave the following information:

Section A of the table below shows the general shortfall provision, the allowance made, that is, for the tendency for expenditure to fall short of the sum of the estimates for programmes and debt interest. Section B shows the similar provision made in the estimates of the nationalised industries' capital expenditure programme for the tendency of total fixed investment by all these industries to fall short of the sum of the estimates made for individual industries. All figures have been adjusted to 1975 Survey prices; since the adjustment cannot be precise, they are rounded to the nearest £25 million.

Figures are also shown at the foot of these tables for the "actual shortfall" in years to 1974–75. This is the difference, at 1975 Survey prices, between the estimate of expenditure in each year made in the Public Expenditure White Paper published during that year and the outturn as estimated in the White Paper of the following year. The figures may therefore include the consquences of some policy changes as well as estimating errors. They do not take account of any subsequent revisions; the cost of incorporating these, at 1975 Survey prices. would be disproportionate.

PROVISION FOR SHORTFALL IN PUBLIC EXPENDITURE, 1969–70 TO 1979–80
£million at 1975 Survey prices
1969–70 1970–71 1971–72 1972–73 1973–74 1974–75 1975–76 1976–77 1977–78 1978–79 1979–80
A.General Shortfall
Shortfall allowances:
Cmnd. 4234(December 1969) 100 100
Cmnd. 4578 (January 1971) 375 200 200 200 200
Cmnd. 4829(November 1971) 175 175 175 175 175
Cmnd. 5178(December 1972) 325 325 325 325 325
Cmnd. 5519 (December 1973) 575 425 425 425 425
Cmnd. 5879 (January 1975) 375 325 325 325 325
Cmnd. 6393 (February 1976) 200 250 250 250 250
Actual shortfall* 600 425 150 1,150 100 (75)†
B.Shortfall in nationalised industries capital expenditure programmes
Shortfall allowances:
Cmnd. 4234(December 1969) 200 250 300
Cmnd. 4578 (January 1971) 275 325 275 275 275
Cmnd. 4829(November 1971) 125 175 125 125 125
Cmnd. 5178(December 1972) 150 150 150 150 150
Cmnd. 5519(December 1973) 150 150 150 150 150
Cmnd. 5879 (January 1975) 200 375 375 375 375
Cmnd. 6393 (February 1976) 150 200 300 300 300
Actual shortfall* 375 25 575 200 400 (75)†
* Estimates of expenditure (before provision for shortfall) made in the White Paper published during the yearless the outturn as estimated in the White Paper of the following year.
† In 1974–75 expenditure exceeded estimates.

Mr. Nott

asked the Chancellor of the Exchequer when he intends to announce the changes in expenditure by the NEB and the Scottish and Welsh Development Agencies referred to in his statement of 22nd July; and whether the changes will be increases in expenditure or changes in the scale or character of the expenditure carried out by those bodies.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 29th July 1976],gave the following information:

There will be increased expenditure in these specific fields, and in selective assistance for industry given directly by the Government. Its allocation between them is under active consideration; an announcement will be made as soon as possible.

Mr. Nott

asked the Chancellor of the Exchequer whether he will revalue the expenditure cuts announced on 22nd July to 1975 survey prices.

Mr. Joel Barnett,

pursuant to his reply [Official Report, 29th July 1976],gave the following information:

A broad guide to the relationship between 1975 Survey prices and 1976 Survey prices can be inferred from the answer I have given to another Question by the hon. Member.

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