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Departmental Cash Limits
Mr. Gareth Thomas: To ask the Secretary of State for Wales what changes he is proposing to make to the cash limits for his Department for the current financial year. [80122]
Mr. Michael: The local authority capital cash limit (WO/LACAP) will be reduced by £1,470,000 from £377,644,000 to £376,174,000; the cash limit on class XIV, vote 3 will increase by £1,470,000 from £469,689,000 to £471,159,000.
The transfer of £1,470,000 from the non-voted local authority capital cash limit to the vote 3 cash limit is in respect of work undertaken by Housing Associations on behalf of local authorities.
The above changes will not add to the overall level of public expenditure.
Mr. Rhodri Morgan:
To ask the Secretary of State for Wales if he will make a statement on the winding-up of the Cardiff Bay Development Corporation, with particular
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reference to the main successor bodies and the Corporation's functions, assets and liabilities to be passed on. [79018]
Mr. Michael
[holding answer 29 March 1999]: I have given careful consideration to the views of the CBDC Board, the Cardiff and Vale authorities, the Welsh Development Agency and other interested parties and I am able to confirm, as previously announced, that the Corporation shall wind up its activities on 31 March 2000 with dissolution taking place on 30 June 2000.
I regard it as essential that the momentum of development within Cardiff Bay is maintained. I have therefore decided that, from March 2000, as with other local authorities in the rest of Wales, Cardiff County Council and the Vale of Glamorgan authority should regain responsibility for the economic, social and environmental regeneration of the whole of their areas. As elsewhere, they will be able to rely on the services available from the WDA and other economic bodies on the basis of partnership. I have also discussed with those authorities the implementation of projects planned by CBDC which may not be completed within the lifetime of the Corporation, including the Penarth Link, Hamadryad Park, a significant environmental upgrade in the Bay area and an access road to the Cardiff Yacht Club. I have also considered the provision necessary for the new responsibilities and liabilities which each authority will inherit: and transitional support for certain local services in South Cardiff. For these purposes, I shall be making available over a period of 3-5 years a total of up to £13 million to Cardiff County Council and up to £8.2 million to the Vale of Glamorgan. Copies of the understandings reached with the local authorities will be placed in the Library of the House.
The Corporation's non-development assets and liabilities will be transferred to Cardiff County Council and to the Vale of Glamorgan Council respectively. Development assets and liabilities, including management of the proposed Bute Avenue PFI, will be transferred to the Welsh Development Agency. I shall invite the parties to discuss together and agree with me the timing and terms on which these transfers will take place. Land currently held by CBDC at the Ferry Road Peninsula will be transferred to Cardiff County Council, subject to terms and conditions to be agreed between the Department and the Council and taking into account the relevant provisions of the Development Agreement between CBDC and Associated British Ports.
Future sponsorship of the Techniquest organisation will transfer to my Department. Responsibility for the operation and maintenance of the Gwent Levels Bird Reserve will pass to the Countryside Council for Wales.
I attach particular importance to the efficient and safe operation and maintenance of the Barrage and to the exploitation of the impounded lake for the public benefit. These responsibilities, including groundwater monitoring and control and management of water quality in the Bay,
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are also of direct and significant interest to the local communities in Cardiff and the Vale. As foreshadowed in the Cardiff Bay Barrage Act 1993, I propose to establish a dedicated body with responsibility for the operation, maintenance, and management of the Barrage, the outer harbour and the inland Bay. I shall enter immediate discussions with the Corporation regarding the purpose, functions and funding of such a body and will also fully explore the opportunities for partnership between the public and private sectors. I shall consult with local authorities and other interests before final decisions are taken.
On the basis of a thorough review of Barrage costs, I have decided to increase the financial cap for the project from £191 million to £197 million, subject to settlement of any unresolved and future claims. This is the best available estimate of the final outturn cost, subject to settlement of any unresolved and future contract claims. The increase is mainly attributable to the increased cost of the Bird Reserve on the Gwent Levels and additional costs arising from new legislation. A Budget Review report on the Barrage will also be available shortly and I shall place a copy in the Library of the House.
I am also pleased to announce a public consultation on the Corporation's proposal to install a dewatering network in the area of South Cardiff most at risk from rising groundwater. Copies of the Corporation's submission, including a report by Professor Stoner, can be obtained from Mr. D. Lowe at CBDC, Baltic House, Mount Stuart Square, Cardiff CF1 8DH. Comments should be sent by Friday 30 April to Mr. G. A. Fagan, Regional Development Division, Welsh Office, Cathays Park, Cardiff CF1 3NQ.
Finally, I should like to place on record my personal admiration for the great achievements of the Chairman, Board and staff of the Corporation, in removing the legacy of dereliction in South Cardiff, transforming it into an area internationally acclaimed as a major development success and in the first rank of investment locations. I am confident that the successor arrangements I have announced today will secure the continued successful regeneration of Cardiff Bay.
| £ million | |||
|---|---|---|---|
| Estimated cost 1995 | Revised estimate 1999 | Change | |
| Barrage Structure | 134.0 | 137.6 | +3.6 |
| Groundwater | 11.0 | 11.2 | +0.2 |
| Birds Reserve | 5.7 | 9.5 | +3.8 |
| Environment | 6.7 | 6.2 | -0.5 |
| Legal Agreements | 7.5 | 6.4 | -1.1 |
| Drainage | 10.6 | 9.4 | -1.2 |
| Pre-1993 Expenditure | 15.4 | 15.4 | 0 |
| Additional Works | 0 | 0.7 | +0.7 |
| Total | 190.9 | 196.4 | +5.5 |
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EDUCATION AND EMPLOYMENT
Trainees (Tax)
Mr. Healey: To ask the Secretary of State for Education and Employment if a young person on non- employed status training is liable for (a) income tax and (b) national insurance contributions. [78726]
Mr. Andrew Smith: Young people who are participating in employment and training programmes funded by the Department for Education and Employment, on a non-employed basis, are not liable for income tax on any training allowance. They are, however, able to attract a credited National Insurance Contribution through their benefit claim.
Employment on Trial
Mr. Healey: To ask the Secretary of State for Education and Employment if a jobseeker's allowance claimant who has used Employment on Trial but returned to jobseeker's allowance can qualify again for Employment on Trial after 13 weeks of further unemployment; and whether such a claimant would subsequently be eligible for extended payments of housing benefit and council tax benefit. [78727]
Mr. Andrew Smith: Responsibility for the subject of the question has been delegated to the Employment Service agency under its Chief Executive. I have asked him to arrange for a reply to be given.
Letter from Peter Collins to Mr. John Healey, dated 26 March 1999:
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As the Employment Service is an Executive Agency, the Secretary of State for Education and Employment has asked Leigh Lewis to reply to your question about eligibility for Employment on Trial and its linked eligibility to extended payments of Housing Benefit and Council Tax benefit. This is something which falls within the responsibilities delegated to Mr. Lewis as Chief Executive of the Agency. I am replying in his absence.
It may be helpful if I begin by confirming that Employment on Trial can only be considered when a jobseeker accepts a job having being unemployed for a period of at least 13 weeks. The job must be for at least 16 hours a week and the jobseeker must stay with the employer for at least four weeks, but no more than 12 weeks, to be eligible. Jobseeker's Allowance regulations, can qualify again for Employment on Trial after a further period of 13 weeks unemployment.
To be eligible for Housing Benefit and Council Tax Benefit extended payments, the jobseeker must have been continuously registered as unemployed and in receipt of Jobseeker's Allowance for at least 26 weeks before starting work. If someone has a second Employment on Trial period after having been unemployed for the minimum of 13 weeks, they will not have had the period of unemployment of at least 26 weeks which is required to re-qualify for extended benefit payments.
In such circumstances, people who do not re-qualify for extended benefits may still be eligible for Housing Benefit and Council Tax reductions. This will depend on the amount of earnings and the individual's personal arrangements. Advice can be sought through the local council offices of Employment Service adviser.
I hope this is helpful.
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