HC Deb 18 June 1986 vol 99 cc556-7W
Mr. Gwilym Jones

asked the Secretary of State for Wales what calculations were used to determine the provision for the cost of petrol, oil, heating oil, electricity and gas for the health authorities in Wales in 1986–87; and what was the financial allocation for each of those commodities.

Mr. Mark Robinson

No specific provision was made for these or any other individual commodities in health authorities' allocations.

Mr. Gwilym Jones

asked the Secretary of State for Wales what calculations were used to determine the provision for the cost of inflation for the health authorities in Wales in 1986–87; and what was the consequent financial allocation.

Mr. Mark Robinson

In determining allocations to district health authorities in Wales in 1986–87, account was taken of the 4.5 per cent. forecast of inflation for 1986 required by the Industry Act 1975, together with estimates of the authorities' capacity to release additional resources through efficiency savings, the generation of income and the realisation of receipts from the sale of land. On this basis, cash allocations amounting to £659.7 million in revenue and £21.4 million capital were issued to DHAs in Wales at the beginning of 1986–87 and a further £14.0 million revenue and £24.8 million capital was allocated for centrally financed services and developments including expenditure incurred by the Welsh Health Common Services Authority and community health councils. Since then price inflation has fallen well below the forecast level and is continuing to fall and this has been taken into account in determining the additional £3.1 million revenue provision which was recently made available to DHAs in Wales in respect of the costs of implementing the 1986 review bodies' pay recommendations.

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