HC Deb 31 October 1989 vol 159 cc131-2W
Sir Hector Monro

To ask the Secretary of State for Scotland if he proposes to make any further changes to the cash limits for 1989–90 within his responsibility.

Mr. Rifkind

Yes. I intend to make changes to nine of the cash limits within my responsibility.

As a result of reduced requirements the cash limit for class XVI, vote 3—regional and general industrial support—has been decreased by £4,000,000 from £148,249,000 to £144,249,000. This reduction will partially offset increases in other votes.

Subject to parliamentary approval of the necessary supplementary estimate, the cash limit for class XVI, vote 6—roads, transport and environmental services—will be increased by £1,881,000 from £211,061,000 to £212,942,000 reflecting the take-up of entitlement to carry forward underspends in 1988–89 under the end year flexibility arrangements as announced by the Chief Secretary to the Treasury on 20 July 1989. The full entitlement of £1,673,000 on capital expenditure and £208,000 in respect of running costs for historic buildings and monuments are taken up.

The cash limit on class XVI, vote 14—prisons, hospitals and community health services, etc.—is being reduced by £4,630,000 from £2,003,389,000 to £1,998,759,000. The supplementary estimate includes take-up of the entitlement to carry forward £388,000 under the end year flexibility scheme for running costs.

There is a new cash-limited vote, class XVI, vote 27—hospital and community health services—covering from 1 January 1990 the hospital and community health services formerly carried on vote 14.

The cash limit has been set at £8,697,000, reflecting gross expenditure of £542,199,000 and appropriations in aid of £533,502,000. This comprises transfers from vote 14 for the final quarter of the financial year, together with additional resources, originally agreed for vote 14, of £4,747,000 on capital expenditure for the take-up of the full entitlement to carry forward underspending in 1988–89 under the end year flexibility scheme and £3,950,000 for NHS review implementation costs, partly offset by savings of £200,000 on class XVI, vote 14.

Subject to parliamentary approval of the necessary supplementary estimate, the cash limit for class XVI, vote 15—education, arts, libraries and social work—will be increased by £162,000 from £215,649,000 to £215,811,000 to take account of the changes in payment of income support for hostel dwellers.

Subject to parliamentary approval of the necessary supplementary estimate, the cash limit for class XVI, vote 19—General Register Office for Scotland—will be increased by £50,000 from £5,318,000 to £5,368,000 reflecting the take-up of the full entitlement to carry forward underspends in 1988–89 under the end year flexibility scheme for running costs. In addition, the running costs limits for the General Register Office for Scotland will be increased by £50,000 from £5,815,000 to £5,865,000.

Subject to parliamentary approval of the necessary supplementary estimate, the cash limit for class XVI, vote 21—Scottish Office administration—will be increased by £1,014,000 from £120,358,000 to £121,372,000. The increase includes take-up under the end year flexibility scheme for running costs of £379,000 and legal expenses of other departments for which legal advice is provided. As a result of these changes and the full take-up of carry forward under the end year flexibility scheme by historic buildings and monuments within class XVI, vote 6 and by prisons within class XVI, vote 14, the running costs limit for the Scottish Office will be increased by £1,057,000 from £205,865,000 to £206,922,000.

Cash block SO/LA1, which covers non-housing capital expenditure by local authorities, is to be increased by £12,000,000 from £501,035,000 to £513,035,000 reflecting the take-up of the full entitlement to carry forward underspending under the end year flexibility scheme for capital expenditure.

Cash block SO/LA2, which covers housing capital expenditure by local authorities and capital expenditure by new towns, is to be increased by £18,524,000 from £326,900,000 to £345,424,000. Within this total, £24,900,000 reflects the take-up of the full entitlement to carry forward underspending under the end year flexibility scheme for capital expenditure.

The net effect of these changes will be met from the Reserve and will not therefore add to the planned total of public expenditure.