Contingency Reserve (Hansard, 12 March 1986)

§ Mr. Lawson

Since 1984–85 all variations between departmental spending and plans have been met from the reserve. Thus the divergence between departments' plans and outturn is a measure of the way in which the reserve has been allocated. The figures are in the table.

For years before 1984–85 the contingency reserve was used only for discretionary increases in expenditure above departmental plans; it thus excluded most overruns on demand-led and local authority current spending, which in some periods have been substantial. Because of the different nature of the reserve, it is not possible to produce figures showing a departmental breakdown of sums charged to the contingency reserve which would be comparable with the figures in the table provided and relevant to the way the reserve in now managed.

499W

	1984–85	1985–86
Department	Plans^*	Outturn‡	Difference	Plans†	Estimated outturn‡	Difference
Trade and Industry•	1.6	2.1	+0.5	1.7	2.0	+0.3
Energy	0.8	2.6	+1.8	—	1.0	+1.1
Employment	3.2	3.1	—	3.3	3.3	—
Transport	4.4	4.6	+0.2	4.5	4.6	—
DOE—Housing	2.4	3.2	+0.8	2.3	2.7	+0.5
DOE—Other environmental services	3.5	4.0	+0.5	3.4	3.9	+0.5
Home Office■	4.8	5.0	+0.2	5.1	5.3	+0.2
Education and Science	13.1	14.0	+0.9	13.6	14.5	+0.9
Arts and Libraries	0.6	0.7	—	0.6	0.7	—
DHSS—Health and personal social services	15.4	15.8	+0.3	16.5	16.7	+0.2
DHSS—Social security	37.2	38.1	+0.9	40.0	41.2	+1.2
Scotland	6.9	7.0	+0.2	7.2	7.4	+0.2
Wales	2.6	2.6	—	2.7	2.8	—
Northern Ireland	4.0	4.0	—	4.3	4.3	—
Chancellor's Departments	1.7	1.7	—	1.8	1.8	—
Other departments*	1.3	1.2	-0.1	1.3	1.3	—
Local authority relevant current unallocated to programmes (England)	0.7	—	-0.7	0.6	—	-0.6
Reserve	2.8	—	-2.8	5.0	—	-5.0
Privatisation proceeds	-1.9	-2.1	-0.2	-2.5	-2.6	-0.1
Adjustments#	—	—	—	—	-0.2	-0.2
Planning total	126.4	129.6	+3.3	134.2	134.2	—
^*Plans in the 1984 White Paper (Cmnd. 9143), less changes announced in the 1984 Budget, adjusted to the definition of public expenditure used in the 1986 White Paper (Cmnd. 9702).
†Plans in the 1985 White Paper (Cmnd. 9428), plus changes announced in the 1985 Budget, adjusted to the definition of public expenditure used in the 1986 White Paper (Cmnd. 9702).
‡Figures taken from the 1986 public expenditure White Paper (Cmnd. 9702).
║Including Overseas Development Administration.
¶Including Intervention Board for Agricultural Produce and Forestry Commission.
•Including Export Credits Guarantee Department.
■Including Lord Chancellor's Department.
_*Including Property Services Agency and Civil Superannuation.
#Estimated outturn in 1985–86 includes an allowance for shortfall.
^**An unallocated amount for local authority relevant current expenditure in England was included in public expenditure plans for these years; at outturn all local authority relevant current expenditure is allocated to programmes.