§ Mr. Gwilym JonesTo ask the Secretary of State for Wales if he proposes to make any changes to the cash limits for his Department in the current financial year.
§ Mr. David HuntYes. Subject to parliamentary approval of the necessary supplementary estimates, the cash limit for class XVI, vote 4 will be reduced by £12,644,000 from £156,567,000 to £143,923,000; the cash limit for class XVI, vote 5 will be increased by £641,000 from £393,285,000 to £393,926,000; the cash limit for class XVI, vote 8 will be reduced by £20,912,000 from £1,143,460,000 to £1,122,548,000; the cash limit for class XVI, vote 9 will be increased by £ 304,000 from £55,406,000 to £55,710,000; the cash limit for class XVI, vote 10 will be reduced by £6,254,000 from £1,775,320,000 to £1,769,066,000. In addition the local authority capital cash limit—WO/LACAP—will be increased by £22,700,000 from £374,662,000 to £397,362,000.
The reduction in the cash limit for vote 4 reflects a lower take-up on employment training than expected. The Welsh Office contribution to the Department of Employment in respect of training activities will be reduced accordingly.
The increase in the cash limit for vote 5 reflects (i) a transfer of provision— £501,000—from class XVI, vote 10 to cover the costs of Bishop Vaughan school which has opted for grant maintained status; (ii) additional provision for the National Biological Standards Board—£63,000; and (iii) provision to cover a grant towards the capital expenditure on the former Cwmbran development corporation's approved roads programme—£77,000.
The net reduction in the cash limit for vote 8 is in respect of: (i) A non-recurrent reduction of £22,000,000 which is required because of technical changes to the present arrangements for the payment of income tax, national insurance and superannuation contributions by health authorities and family health service authorities. This change will mean that contributions for March 1992 will not be drawn from resources in this financial year. There will be no effect upon health service provision in 1991–92 or subsequent years. (ii) An additional sum of £1,200,000 to cover the cost of expenditure incurred by some health authorities in Wales in preparing to treat Gulf war casualties. (iii) A transfer of £38,000 from the Department of Health to provide additional resources for occupational therapy training. (iv) A transfer of £150,000 to class XVI, vote 7 to meet additional costs incurred in non-cash limited pharmaceutical services.
The increase in the cash limit for vote 9 is in respect of the take-up of end year flexibility entitlement from 1990–91 for running costs expenditure—£186,000— and capital administration costs—£118,000—as announced by the Chief Secretary to the Treasury on 17 July 1991, Official Report, columns 185-190.
The reduction in the cash limit for vote 10 comprises (i) the transfer of provision to class XVI, vote 5 in respect of the Bishop Vaughan school—£501,000; and (ii) a reduction in the provision for the costs of council tax banding—£3,253,000—and for prior-year adjustments in local authorities' entitlement to rate support grant —£2,500,000.
261WThe net increase of £22,700,000 in the local authority capital cash limit— WO/LACAP—represents additional provision for home renovation grants.