§ Mr. RowlandsTo ask the Secretary of State for Energy, what is his current estimate of the amount of deficit grant payable to the coal industry in 1987–88, particularly in respect of redundancy payments; and what are the outturn figures for 1986–87.
§ Mr. Michael SpicerWithin the revised external financing limit of £842 million for 1987–88, payment of deficit grant to British Coal is currently forecast at £383 million, of which £214 million relates to deficits of previous years. This is subject to parliamentary approval of an order under section 2 of the Coal Industry Act 1987 and of a Supplementary Estimate later this financial year. It is not possible to identify how much of the deficit is due to redundancy costs or to any other item.
Deficit grant payments during 1986–87 totalled £546 million. For that year redundancy payments to most mineworkers were financed by the redundant mineworkers payments scheme; RMPS payments in 1986–87 totalled £610 million.