§ Dr. Dafydd Elis ThomasTo ask the Secretary of State for Transport if he will outline the scope and purpose of the public service obligation grant in funding public transport in Wales; what has been the level of grant in Wales in each year since 1985–86; which projects have been assisted; and what is the estimated amount of public service obligation grant to be spent in Wales in 1991–92.
§ Mr. FreemanSubsidy is paid by the Government to the British Railways board in the form of the Public Service Obligation grant under EC regulation 1191/69 and section 183W 3 of the Railways Act 1974, which compensates BR for maintaining loss making passenger services. Grant is paid as a total to the board and the Government do not allocate it between sectors or geographical areas. Figures for PSO grant in respect of each of the past five years are given in the table. The figure for 1991–92 has not yet been decided.
Cash 1990–91 £ million prices £ million 1986–87 690 883 1987–88 761 925 1988–89 534 606 1989–90 499 520 1990–91 600 600