HC Deb 01 July 1982 vol 26 c370W
Mr. Corrie

asked the Chancellor of the Exchequer if he will announce the revision to cash limits for the Health Service to take account of the additional provision for pay that is being made for certain groups in the National Health Service.

Mr. Brittan

Subject to parliamentary approval of the necessary Supplementary Estimates, cash limits for the Health Services in England, Scotland, Wales and Northern Ireland will be increased as follows to take account of the additional provision for pay for certain groups in the NHS as announced by my right hon. Friend the Secretary of State for Social Services on 8 March and by my right hon. Friend the Prime Minister on 6 May.

Present cash limit* Increase of pay Revised cash limit
£ £ £
Class XI, Vote 1 (England) 8,040,411,000 58,717,000 8,099,128,000
Class XV, Vote 14 (Scotland) 1,259,926,000 8,767,000 1,268,693,000
Class XVI, Vote 1 (Wales) 666,117,000 3,750,000 669,867,000
NID 1 (Northern Ireland) 1,866,911,000 2,700,000 1,869,611,000
* As announced on 27 May; original cash limit revised to take account of reduction in national insurance surcharge

Three Votes not subject to cash limits are also affected as a result of the pay offer to doctors and dentists announced on 6 May. Class XI, Vote 2 (England) will be increased by £10,400,000; Class XV, Vote 20 (Scotland) by £1,250,000; and Class XVI, Vote 8 (Wales) by £596,000. The comparable increase in non-cash limited expenditure in Northern Ireland is £500,000.

The total of these additional provisions for pay is £86,680,000. This represents over two-thirds of the additional cost of the offers: the remainder will be financed from within the existing provision for the Health Service. The total additional provision of £86,680,000 will be met from the Contingency Reserve, and therefore will not add to the total of public expenditure.

My right hon. Friend the Secretary of State for Social Services announced on 23 June that further additional provision was being made available for pay in the NHS. The Health Service cash limits will be further revised in due course.