§ Mr. Chris SmithTo ask the Chancellor of the Exchequer if he will indicate the reasons for the increase in funds raised for the Building Societies Commission under the General Charge and Fees Regulations from £1.95 million in 1987–88 to £3.322 million in 1988–89; to what extent this increase is attributable to an increase in
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§ Mr. LilleyI regret that there was a printing error in the explanatory note to the Building Societies (General Charge and Fees) Regulations 1988; the expected receipts from the general charge for 1988–89 are £2,322,000, not £3,322,000. A correction slip is being issued. The explanatory note does not form a part of this order, which remains valid.
The final outturn of the Building Societies Commission's expenditure on services to societies in 1987–88 is not yet available. It is expected to be slightly higher than the actual receipts from the general charge of £1.96 million. The expected cost of the services for 1988–89 is £2.3 million.
The increase in costs is due to the development of the prudential work of the commission and rises in salary and price levels. The fees schedule for 1988–89 has been adjusted to reflect the increased costs, the increase in assets of societies and to recoup the under-recovery of costs from 1986–87.