§ Mr. Bruce-Gardyneasked the Secretary of State for Social Services if he will now evaluate the consequential changes in public expenditure under the control of his Department during the remainder of the current financial year flowing from the reductions in the rate of 246W growth of public expenditure announced on 17th December last, and specify the distribution of the savings on capital and current account within his Department during 1974–75 between the various services for which it is responsible.
§ Sir K. JosephIt is not possible to separate changes in expenditure caused by the general economic situation, such as shortage of supplies, from those directly attributable to my right hon. Friend the Chancellor of the Exchequer's measures. However, hospital authorities have been asked to secure a reduction of 10 per cent. in relevant procurement expenditure during the remainder of 1973–74, so far as practicable having regard to existing contracts. The maximum saving on this basis would be about £5 million.
Adjustments to the capital programme of 1973–74 are being made in order to reduce the volume of building work in 1974–75, but since the programme is already being adjusted to implement the forward phasing policy, announced on 8th October 1973, it is not possible to separate the financial effects.
The savings planned for 1974–75 in England are as follows:
£ million at 1973 White Paper prices Capital Current Hospitals and community health services 41.1 25.3 Former local authority health services 4.3 1.5 Local authority personal social services 1.30 8.9