HC Deb 25 November 1996 vol 286 cc39-40W
Mr. Morgan

To ask the Secretary of State for Wales what consultations he has had with the chairman of the South East Wales Ambulance NHS Trust concerning the losses made in running coach holidays to Spain and shopping day trips to France in trust vehicles; what departmental guidance exists covering such business ventures; what reference to the district auditor has been made with respect to such ventures; and if he will make a statement. [5997]

Mr. Hague

None. Income generation schemes do not need my approval, but statutory auditors may inspect them and a copy of the latest guidance has been placed in the Library.

Mr. Morgan

To ask the Secretary of State for Wales, pursuant to his answer of 19 November,Official Report, column 496, about expenditure by public bodies, if he will indicate the principal three methods used within the variety of arrangements referred to ensure effective monitoring and control of capital expenditure and how they were used with respect to the new Mamhilad headquarters of the South East Wales Ambulance NHS trust; what monitoring took place of the overspend prior to 29 January; and what intelligence gathering method his Department has to detect (a) deliberate understatement of capital cost and (b) unreported overspend on capital cost. [5991]

Mr. Hague

Capital expenditure on all health schemes is monitored quarterly against amounts set out in the full business case approved by my Department before a project starts and cannot be exceeded. In the case of the ambulance trust, the Mamhilad project had only just begun by 29 January 1996. The Department would have become aware of any overspend through the quarterly monitoring process. The statutory auditors examine compliance with statutory and other procedures.