HC Deb 01 June 1998 vol 313 cc4-5W
Dr. Lynne Jones

To ask the Secretary of State for the Environment, Transport and the Regions to what extent the additional costs to local authorities of millennium compliance were built into the 1998–99 local government finance system. [43084]

Angela Eagle

The 1998–99 local government finance settlement took into account the Local Government Association's estimate of a spending pressure on English local authorities in the current financial year of £100 million for the costs of preparing for millennium computer compliance. The preliminary indication of the amount councils have budgeted in 1998–99 on millennium compliance, based on budget returns submitted to the Department by local authorities, is between £60 million and £70 million.

Dr. Lynne Jones

To ask the Secretary of State for the Environment, Transport and the Regions what estimate he has made of the additional costs to local authorities of ensuring that IT and embedded systems are millennium compliant. [43085]

Angela Eagle

The Local Government Association estimated the total additional costs to local authorities in preparing for millennium compliance in its paper for the Department on cost pressures facing local authorities in England in 1998–99. Their estimate of £100 million for the current financial year was taken into account in the 1998–99 local government finance settlement. The Association has again highlighted the cost pressures faced by councils during preliminary discussions between officials on pressures in 1999–2000, and we will again be taking its estimate into account in the settlement for the coming financial year.