HC Deb 03 March 1925 vol 181 cc276-7W
Mr. RUNCIMAN

asked the Financial Secretary to the Treasury for what purposes and under what powers the Civil Contingencies Fund was originally instituted, and what limits are placed upon the uses to which it has been customary to put the fund; and whether any assurances as to the use to he made of the fund were given to the House by the Treasury when the capital sum in the fund was last increased?

Mr. GUINNESS

The Civil Contingencies Fund provides a sum, entrusted to the Government, to meet payments for miscellaneous services not appropriate to any separate or specific Vote of Parliament, and to make advances where necessary to meet deficiencies on existing Votes or for new services, in anticipation of Votes of Parliament. The Fund dates from 1862, and the arrangements in force follow, with one exception, which is referred to below, the recommendations in the Fourth Report of the Public Accounts Committee of 1861. The material recommendations were as follows:

  1. '(a) That the. Treasury should continue to make advances to meet deficiencies on the ordinary Votes or for the new services, and that such advances be included in the Estimates for the succeeding year, as at present and be repaid to the Contingency Fund.
  2. (b) That the Estimates should in each case state the sum to be repaid to the Contingency Fund.
  3. (c) That no final payment should be charged to the fund; but that in case Government, for the Public Service, feel it necessary on their responsibility to incur any Civil Service expenses, the deficiency occasioned by such expenditure shall be considered as an advance. and be submitted to Parliament as a Vote in the succeeding year.
  4. (d) That accounts of the Civil Contingency Fund, similar to the account of the Treasury Chest presented to Parliament, should be prepared by the Treasury, and by them be forwarded, with the necessary vouchers, to the Audit Office; and that the auditors should present such accounts annually to 277 Parliament together with such observations as they may think fit."

Payments for miscellaneous services not appropriate to any separate or specific Vote of Parliament are included in a Vote in the succeeding year for Repayments to the Civil Contingencies Fund, as recommended by the Public Accounts Committee; but any necessary advances to meet deficiencies on existing Votes or for new services are, wherever practicable, and that is with rare exceptions, included in Supplementary Estimates for the same year, instead of in Estimates for the succeeding year.

The Finance Act, 1921, authorised the permanent increase of the Fund from £300,000 to £1,500,000. I am aware of no pledge which would limit the use of the Fund more strictly than the recommendations of the Public Accounts Committee, referred to above.