§ Mr. Ridley
I have laid this report before the House today.
My right hon. Friend the Secretary of State for Education announced to the House on 2 March his proposals for teachers' pay under the Teachers' Pay and Conditions Act 1987. He promised that the Exchequer would make a significant contribution through RSG towards the extra cost that would result in 1986–87 and the current financial year.
On 5 May the House approved of the first Supplementary Report 1987–88, which increased the expenditure provision by £460 million and block grant by £183 million to cover the extra cost of school teachers' pay in the current financial year. The purpose of this second supplementary report for 1986–87 is to honour the undertaking to make a contribution towards the cost in 1986–87. It will increase the expenditure provision for local authorities by a £111 million and block grant by £5 million. As usual, the report will make a number of changes to grant related expenditure assessments, and take account of the latest information available from authorities on total expenditure.
Copies of the report and tables showing exemplifications of likely revised grant entitlements are being sent to all local authorities and the local authority associations. Copies are being placed in the Library and in the Vote Office.