HC Deb 31 January 2002 vol 379 cc514-5W
Mr. Salmond

To ask the Chancellor of the Exchequer what formula is in place to vary the level of the Scottish Consolidated Fund to account for additional housing benefit costs as a result of disproportionate variances in rent levels by local authorities; what adjustments have been made to the Scottish Consolidated Fund and the Scottish Block Grant in each of the past five years in respect of this formula; what discussions have taken place with the Scottish Executive on this matter; and what was the outcome of these discussions. [31497]

Mr. Andrew Smith

The Statement of Funding Policy, published by the Treasury in July 2000, states that if in Scotland the actual cost of rent rebate subsidy expenditure changes at a disproportionate rate relative to changes in England, then appropriate balancing adjustments are made to the Scottish departmental expenditure limit. Details of such adjustments will be given in announcements of changes to the Scottish DEL made from time to time by my right hon. Friend the Secretary of State for Scotland. Discussions are taking place between the Treasury and the Scottish Executive on this issue.