Cash and Running Costs Limits (Hansard, 27 October 1995)

§ Mr. Michael Forsyth

Subject to parliamentary approval of the necessary supplementary estimates, I intend to make changes to nine voted cash limits and nine running costs limits:

The cash limit element of class XIV, vote 1, agriculture and fisheries, Scotland will be decreased by £1,500,000 from £132,667,000 to £131,167,000. The decrease takes account of slower than expected take-up of measures aimed at providing support in special areas.

The cash limit for class XIV, vote 2, training programmes, roads and transport services, industrial and regional support, Scotland, will be increased by £21,659,000 from £941,222,000 to £962,881,000. The increase includes an additional £4.7 million in capital grant towards investment in new shipping by Caledonian MacBrayne Ltd., balanced by a corresponding reduction in the non-voted element of the company's external financing limit; a reduction of £630,000 in the repayment of voted loans—capital—by Scottish Enterprise to be accompanied by a similar reduction in the provision of grant in aid; and the take-up of £16,961,000 capital end year flexibility entitlement as announced by the Chief Secretary to the Treasury on 13 July 1995, Official Report, columns 776–82, for regional assistance and motorways and trunk roads.

The cash limit for class XIV, vote 5. housing and environmental services, Scotland will be decreased by £364,000 from £417,068,000 to £416,704,000. The decrease takes account of a reduced requirement of £1,721,000, under departmental administration, environment and central services, which is being transferred to class XIV, vote 8; and a net increase of £1,357,000 covering an increase of £1,606,000 in gross running cost provision for Historic Scotland from £14,215,000 to £15,821,000 reflecting the take-up of end year flexibility entitlements—£151,000 capital and £1,206,000 running costs—further increases in provision for this agency of £400,000 for running costs and £496,000 for capital expenditure which are offset fully by increased appropriations in aid. In addition, there is an increase in provision for the Local Government Staff Commission (Scotland), the Scottish Environment Protection Agency and establishes provision for the Local Government Property Commission (Scotland) and for the Monklands inquiry, all of which is offset fully by savings within the vote.

The cash limit for class XIV vote 10, law, order, miscellaneous health and social services, Scotland, will be increased by a net total of £3,883,000 from £311,890,000 to £315,773,000. Provision for running costs on this vote will be increased by £1,290,000 from £149,619,000 to £150,909,000. This includes a transfer of £58,000 from class XIV, vote 18. The changes include the take-up of the end year flexibility entitlement for the Scottish Prison Service, increasing its running cost provision by £1,028,000 and capital provision by £354,000; for the Scottish Office Pensions Agency, increasing its running cost provision by £204,000 and capital provision by 884W £418,000; and the social work residential accommodation for children capital provision by £1,271,000. A number of other minor transfers have taken place, within the vote itself, from within other votes in the Scottish Office block and from the Department of Social Security vote, in respect of consequences of changes in housing benefit arrangements.

The cash limit for class XIV, vote 12, hospital, community health (part) and other health services, Scotland, will be increased by a net total of £29,839,000 from £3,131,164,000 to £3,161,003,000. This increase includes £48,482,000 reflecting the partial take up of the end year flexibility entitlement announced by the Chief Secretary to the Treasury on 13 July 1995, Official Report, columns 776–82, a transfer of £840,000 from class XII, vote 1 in respect of the Scottish contribution to the Prescription Pricing Authority's administration costs in connection with the assessment of claims under the Scottish low income scheme; a transfer of £246,000 from class XII, vote 1 to cover the costs of services previously funded directly by the Department of Health; a transfer of £17,000 from class XIV, vote 10 to meet the maintenance, repair costs and insurance premiums from invalid three-wheelers, the responsibility for which has transferred to the CSA; a transfer of £1,000 from class XIV, vote 10, in respect of income from insurance claims from invalid three-wheelers; a transfer of £180,000 to class XIV, vote 10 to meet the costs of a merit award given to a member of the Mental Welfare Commission. In addition, there is a reduction in provision of £19,554,000 as a result of a revision of NHS trusts' external financing limit; some adjustments between subheads to reflect revised requirements and changes to anticipated appropriations in aid.

The cash limit for class XIV, vote 15, education, arts and libraries, Scotland will be increased by £2,101,000 from £965,655,000 to £967,756,000. The increase reflects the full take up of end-year flexibility of £2,000,000 as announced by the Chief Secretary to the Treasury on 13 July 1995, Official Report, columns 777–78, for further education capital—£1,250,000—and National Library of Scotland building programme—£750,000; also a transfer of £101,000 from class XIV, vote 18 for the Student Awards Agency, Scotland—£36,000 for administrative costs in respect of additional responsibilities and £65,000 in respect of end year flexibility. Running cost provision on this vote will increase by £101,000 from £2,840,000 to £2,941,000.

The cash limit for class XIV, vote 18, Scottish Office administration is being increased by £5,745,000 to £174,607,000. Within this total, the running cost limit for Scottish Office administration is being increased by £3,391,000 from £149,729,000 to £153,120.000 as a result of the take-up of end-year flexibility—£3.5 million—predominantly to fund staff early departure costs, less inter-vote transfers of £144,000. In addition there is a transfer of £35,000—running costs—from the Department for Education and Employment. The capital provision is also being increased, as a result of the take-up of £720,000 of end-year flexibility and inter-vote transfers. The additional capital provision is to cover information technology costs associated with agricultural grants.

The overall running cost limit for the Scottish Office, together with its agencies, is being increased by £6,521,000 from £333,087,000 to £339,608,000. This 885W results from the take-up of end-year flexibility, increased provision for Historic Scotland being covered by increased income, and a transfer from the Department of Employment in respect of European social fund work.

The cash limit for class XIV, vote 19, Scottish Record Office, is being increased by £996,000 to £5,459,000. Within this total, the SRO running cost limit is being increased by £782,000 from £4,804,000 to £5,586,000 and results from the take-up of end-year flexibility to cover increased costs associated with water and sewerage charges, contributions in lieu of rates and other running costs of the new repository. The increase in capital provision results from the take-up of end-year flexibility to meet costs arising from slippage in the construction of the Thomas Thomson house repository.

The cash limit for class XIV, vote 20, General Register Office (Scotland), is being increased by £337,000 to £5,372,000. Within this total, the GRO(S) running cost limit is being increased by £100,000 from £7,158,000 to £7,258,000, resulting from the take-up of end-year flexibility to compensate for cost increases. The capital increase results from the take-up of end-year flexibility to cover costs of the refurbishment of Ladywell house and New Register house.

The increases will be offset by savings on other votes within my responsibility or by transfers from other Departments. There will not therefore be any addition to the planned total of public expenditure.