§ Mr. Loveridgeasked the Secretary of State for Defence whether he will make a statement on the funding of the Royal Hospital, Chelsea.
§ Mr. NottMy Department has reviewed, together with the Commissioners of the Royal Hospital, Chelsea, the arrangements for funding and staffing the Hospital, which is a Crown body administered by the commissioners under letters patent. We have decided that from 1 April 1982 the Royal Hospital will be funded by a block grant in aid instead of from a number of Votes both within and outside the ambit of the Defence budget. This will enable expenditure on the Royal Hospital to be published in a more regular and identifiable way. The commissioners will have greater flexibility in staff management, including the freedom to fill vacancies either with staff employed directly by themselves or with staff on loan from the Ministry of Defence. The new arrangements are expected to improve the efficiency and economy of the Royal Hospital.