§ Mr. Alfred Morrisasked the Chancellor of the Exchequer if, pursuant to the answer to the right hon. Member for Manchester, Wythenshawe on 7 April 1982, Official Report, c. 376–78, he will list the purposes for which the contingencies fund was used, and the amount allocated for each purpose, in 1982–83; what is the level of the contingencies fund for the financial year 1983–84; what commitments have already been set against it; and whether there has been any change of policy in connection with the use of the fund since his answer of 7 April 1982.
§ Sir Geoffrey HoweThe purposes for which the fund has been used, the amounts used, and the limit on the capital of the fund at any one time in 1982–83 are given in the following table. Under the Contingencies Fund Act 1974 the capital of the Contingencies Fund must not at any time exceed an amount equal to 2 per cent. of the authorised Supply expenditure for the previous financial year. Gross advances from the fund during the year as a whole were greater than the capital limit. This is because sums repaid to the fund may be re-used. The limit on the capital of the fund at any one time in 1983–84 is £1,654 million.
Advances outstanding on 5 April 1983 were £339.8 million, of this £338.7 million was in respect of expenditure in 1982–83 and £1.1 million in respect of 1983–84. For 1982–83, £241.2 million was in respect of advances to finance departmental working balances over the turn of the financial year, £85 million was for expenditure in excess of voted provision in 1982–83 for which Parliament will be asked to approve an excess vote in due course, £12 million was in respect of expenditure expected to be balanced in receipts in the final accounts for the year, and £500,000 was for stamp duties remitted in respect of public Departments and so on and other expenses which will be repaid from the Vote for repayments to the Contingencies Fund presented annually as a summer Supplementary Estimate.
The amount for 1983–84 was almost entirely for an advance of the Victoria and Albert museum's annual purchase grant, with £15,000 for a new service (control of the disease hydatidosis) announced to the House on 24 March.—[Vol. 39, c. 468.]
Further commitments for new services have also been announced, but no advances have yet been made. These 373W commitments are for payments in connection with petroleum production licenses, announced to the House on 31 March—[Vol. 40, c. 266]—and for Peace through Nato, announced today.
There has been no change in policy in connection with the use of the Contingencies Fund since 7 April 1982.
£million* Limit on the capital of the Fund at any one time during 1982–83 1,526 The purposes for which the Fund has been used in 1982–83 are as follows: 1. In anticipation of votes of Parliament (a)to meet expenditure in excess of the amount granted in the Vote on Account 240 (b)to meet expenditure during the Vote on Account period on new services for which provision has been made in the original Estimate 13 (c)to meet expenditure on unforeseen new services 95 (d)to meet expenditure in excess of the provision on those subheads which may not be financed from savings on other subheads† —36 (e)to meet further expenditure on existing services when the cash provision on the Vote is exhausted! 1,074 (f)to meet expenditure to be financed ultimately from receipts pending the accrual of those receipts 12 (g)to finance working balances over the turn of the financial year 247 (h)to meet stamp duties remitted in respect of public departments etc., and other expenses 1 2. In anticipation of revenue (if repayments and other expenditure on a particular day exceed receipts) Customs and Excise 1,377 Inland Revenue 395 Total 3,454 * Provisional † The definitions of categories (d) and (e) to some extent overlap and, where this has occurred, advances have been attributed to the more relevant category.