§ The Parliamentary Under-Secretary of State, Department of Trade and Industry (Lord Sainsbury of Turville)My right honourable friend the Secretary of State for Trade and Industry (Ms Hewitt) has made the following Written Statement.
Expenditure Limits
Subject to parliamentary approval of the necessary supplementary estimate, the Department of Trade and Industry's DEL will be increased by £527,542,000 from £4,966,261,000 to £5,493,803,000 and the administration costs limit will be increased by £7,958,000 from £428,847,000 to £436,805,000.
Within the DEL change, the impact on resources and capital is as set out in the following table:
£000s New DEL Change Voted Non-voted Total Resource 486,509 1,049,695 4,245,715 5,295,410 Capital 41,033 -94,664 293,057 198,393 Depreciation* 0 -20,841 -93,159 -114,000 Total 527,542 934,190 4,445,613 5,379,803 *Depreciation, which forms part of resource DEL, is excluded from the total DEL since capital DEL includes capital spending and to include depreciation of those assets would lead to double counting. The change in the resource element of the DEL (all RfR1) arises from:
- (i) utilisation of £10,210,000 from the unused balance of the department's end-year flexibility entitlement in respect of the Rover Task Force;
- (ii) utilisation of £500,000 from the unused balance of the department's end-year flexibility entitlement in respect of the roll-out of Consumer Direct;
- (iii) utilisation of £500,000 from the unused balance of the department's end-year flexibility entitlement in respect of emergency planning related to security of energy supply;
- (iv) utilisation of £2,000,000 from the unused balance of the department's end-year flexibility entitlement in respect of business links support to start-up businesses;
WS 42 - (v) utilisation of £75,000,000 from the unused balance of the department's end-year flexibility entitlement in respect of modernisation of the Post Office network;
- (vi) utilisation of £5,800,000 from the unused balance of the department's end-year flexibility entitlement in respect of launch/delivery and evidence-gathering for business support products;
- (vii) utilisation of £700,000 from the unused balance of the department's end-year flexibility entitlement in respect of establishment of the single equality body;
- (viii) utilisation of £3,000,000 from the unused balance of the department's end-year flexibility entitlement for external financial and legal advisers in relation to British Energy;
- (ix) utilisation of £1,800,000 from the unused balance of the department's end-year flexibility entitlement in respect of UNITAS release 2;
- (x) utilisation of £4,000,000 resource and £2,000,000 capital grants from the unused balance of the department's end-year flexibility entitlement in respect of university innovation centres;
- (xi) utilisation of £5,000,000 from the unused balance of the department's end-year flexibility entitlement in respect of the manufacturing package;
- (xii) utilisation of £20,000,000 from the unused balance of the department's end-year flexibility entitlement in respect of capital grants for investment aid to the coal industry;
- (xiii) utilisation of £900,000 from the unused balance of the department's end-year flexibility entitlement in respect of R and D related to offshore wind farms and strategic environment assessment;
- (xiv) utilisation of £2,000,000 from the unused balance of the department's end-year flexibility entitlement in respect of the Financial Reporting Council;
- (xv) utilisation of £268,000 from the unused balance of Ofcom's end-year flexibility entitlement;
- (xvi) utilisation of £962,000 from the unused balance of Ofcom's departmental unallocated provision;
- (xvii) a transfer of £17,000 from the Cabinet Office in respect of the Senior Salaries Pay Review Body;
- (xviii) a transfer of £450,000 from the Department for Education and Skills in respect of the National Council for Graduate Entrepreneurship;
- (xix) a transfer of £350,000 to the Department for Constitutional Affairs in respect of the Civil Partnership Bill;
- (xx) a transfer of £2,200,000 to the Ministry of Defence in respect of the National
WS 43 Meteorological Programme and Severe Weather Warning Service; - (xxi) utilisation of £10,800,000 from the Efficiency Challenge Fund in respect of the accommodation strategy and the Pay and Workforce Strategy;
- (xxii) utilisation of £6,500,000 from the Performance and Innovation Fund in respect of renewable energy;
- (xxiii) reclassification of £2,000 from voted expenditure to non-voted expenditure by the regional development agencies in relation to the pan-government agreement for supply of Ordnance Survey data;
- (xxiv) reclassification of £11,000,000 from voted expenditure to non-voted expenditure, to reflect funding of Enterprise Fund capital grants via regional development agencies;
- (xxv) reclassification of £271,000 from voted expenditure to non-voted expenditure, to reflect the funding of Smart and enterprise grant teams and business link regional teams co-location costs, via regional development agencies;
- (xxvi) reclassification of £638,000 from voted expenditure to non-voted expenditure, to reflect the delivery of Enterprise Fund grants in the regions;
- (xxvii) an increase of £1,010,000 in the non-voted expenditure of Postwatch accompanied by an equivalent increase in voted receipts;
- (xxviii) a classification change of £17,683,000 in respect of the national measurement system private finance initiative.
Also within the change to resource DEL (all RfR1), the changes to administration costs limit are:
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- (i) utilisation of £1,310,000 from the unused balance of the department's end-year flexibility entitlement in relation to the accommodation strategy;
- (ii) utilisation of £2,530,000 from the unused balance of the department's endyear flexibility entitlement in respect of UK Trade and Investment administration;
- (iii) utilisation of £452,000 from the unused balance of the department's end-year flexibility entitlement in relation to the Insolvency Service invest-to-save project;
- (iv) a transfer of £2,585,000 from the Cabinet Office in respect of a machinery of government change for the Shareholder Executive;
- (v) a transfer of £17,000 from the Department for Constitutional Affairs for the Senior Salaries Pay Review Body;
- (vi) a transfer of £436,000 to the Foreign and Commonwealth Office in relation to netting-off procedures and UK Trade and Investment e-business;
- (vii) implementation of an agreed virement from programme to administration of £1,500,000 in respect of the Liabilities Management Authority.
Non-voted
There is also utilisation of £185,000,000 from the unused balance of the department's end-year flexibility entitlement in respect of payments in relation to British Energy liabilities, an increase of £77,169,000 to reflect the transfer of non-voted, non-cash RDA budgets from the Office of the Deputy Prime Minister, utilisation of £300,000 from the unused balance of the department's end-year flexibility entitlement for non-voted expenditure of the Equal Opportunities Commission, and utilisation of £2,400,000 resource and £69,642,000 capital grants from the unused balance of the department's end-year flexibility entitlement for non-voted expenditure of the regional development agencies.
Office of the Deputy Prime Minister Main Estimate
There is also a transfer of £22,000,000 to the Department for Work and Pensions in relation to European Regional Development Fund expenditure, in repayment of the department's overspend on this activity in 2003–04 that was funded by the Department for Work and Pensions.
The change in the capital element of the DEL (all RfR1) arises from:
- (i) utilisation of £444,000 from the unused balance of the department's end-year flexibility entitlement for Rover Task Force;
- (ii) utilisation of £1,600,000 from the unused balance of the department's end-year flexibility entitlement for implementation of the parental leave regulations;
- (iii) utilisation of £15,500,000 from the unused balance of the department's end-year flexibility entitlement for support for the national measurement system;
- (iv) utilisation of £300,000 from the unused balance of the department's end-year flexibility entitlement for the Insolvency Service;
- (v) utilisation of £16,600,000 of capital from the unused balance of the department's end-year flexibility entitlement in respect of accommodation, electronic filing and e-purchasing.
- (vi) utilisation of £424,000 from the unused balance of Ofcom's end-year flexibility entitlement;
- (vii) utilisation of £25,000 from the unused balance of Ofcom's departmental unallocated provision;
- (viii) utilisation of £3,500,000 from the Performance and Innovation Fund in respect of renewable energy.
Non-voted
There is also utilisation of £2,640,000 from the unused balance of the department's end-year flexibility entitlement for non-voted expenditure by regional development agencies.