§ Mr. BeggsTo ask the Secretary of State for Northern Ireland why £48 million allocated to the Department for Regional Development for the financial 2002–03 year had to be handed back to the Northern Ireland central administration in autumn 2002; and if he will make a statement. [89822]
§ Mr. PearsonClarification of the nature of stage payments to Northern Ireland Railways (NIR) to purchase new trains confirmed that they did not create an asset, and hence those payments were not a charge on the Department's departmental expenditure limit (DEL). Although the Department for Regional Development made substantial grant payments to NIR in 2001–02 and 2002–03 in respect of trains, none of this scores in the budget under the resource budgeting rules that apply for those two financial years. As soon as this technicality was clarified, in August 2002, £49 million was made available for re-allocation, under the normal rules that apply to all Departments. This funding, together with other funds identified by Departments, has been allocated to good effect across Departments and is profiled to be spent in the current financial year. The revised budget for 2003–04 to 2005–06 published on 11 December 2002 includes the required provision for the purchase of the new trains and delivery in 2004 is on schedule.