§ Mr. Evennettasked the Secretary of State for Transport whether he intends to alter the transport supplementary grant system in so far as it relates to highway repairs; and if he will make a statement.
§ Mrs. ChalkerAn order laid on 22 October by my right hon. Friend would mean that highway repairs on local roads would be eligible for transport supplementary grant only if they were capitalised and qualified as prescribed expenditure for the purposes of part VIII of the Local Government, Planning and Land Act 1980. If the highway repairs substantially improved the standard of the road, such expenditure could be considered for TSG as described above.
My right hon. Friend has said also that when determining how much of an authority's estimated expenditure to accept for transport supplementary grant he would consider the extent to which the roads affected were of more than local importance. Current expenditure on highway repairs would continue to be supported by rate support grant through grant-related expenditure distributed by a new formula.