HC Deb 13 July 1994 vol 246 cc598-9W
Mr. Watts

To ask the Chancellor of the Exchequer when he expects to publish detailed proposals on resource accounting and budgeting.

Mr. Kenneth Clarke

My November 1993 Budget statement contained a commitment to produce detailed proposals on the introduction of resource-based accruals accounting in Government Departments. It also said that the Government would look at the implications of this development for the current arrangements for public expenditure planning and control. This initial review is now complete and I am today publishing a Green Paper entitled "Better Accounting for the Taxpayer's Money: Resource Accounting and Budgeting in Government". Copies are available from the Vote Office.

The Green Paper announces the intention to proceed with the introduction of resource accounting for Departments and that all Departments prepare these accounts by April 1998. The Green Paper also announces a commitment in principle to build on the introduction of resource accounting by developing a system of resource budgeting, which would mean changing the basis of the public expenditure survey and in-year control arrangements to reflect the full cost of resources, while retaining controls relating to cash.

The Green Paper provides for a consultation period of six months, until January 1995.