APPENDIX 2
Further supplementary memorandum submitted
by the Department of Trade and Industry on SR 2000
Q(a). The sums
attributable to management of (i) nuclear and (ii) coal liabilities
in each of the years from 2000-01 to 2003-04, as shown in table
15.1.
Over the years 2000-01 to 2003-04 the sums attributable
to the management of nuclear liabilities are £178/298/298/298m.[3]
The sums attributable to coal liabilities, including coal health
liabilities, are £756/928/447/95m. The budget for coal health
claims expenditure is ring fenced under arrangements agreed with
the Treasury.
Q(b). The way in which funding of the launch
aid loan for Airbus A3XX is handled in that table.
The launch aid loan for A3XX (£136m, 139m
255m over 2001-04) is provided for in the capital budget.
Q(c). The level of funding from the DTI budget
of BTI.
British Trade International funding consists
of five elements: programme spend, DTI administration and capital
budgets, and FCO administration and capital budgets. In the SR2000
White Paper the first three elements were included in the DTI
figures (but see Note ii) and the last two in the FCO figures.
The breakdown of the first three elements is as shown in the table:
| | £ million
|
| | 2000-01
| 2001-02 | 2002-03
| 2003-04 |
| Trade Partners UK, DTI and Programme Funding[4],[5]
| 94.6 | 96.2
| 99.2 | 101.2
|
Of which:
Resource Budget DTI | 27.4
| 25.7 | 26.7
| 26.7 |
| Resource Budget, Programme | 67.0
| 65.3 | 69.3
| 71.3 |
| Capital Budget DTI | 0.2
| 5.2 | 3.2
| 3.2 |
Trade Partners UK also received £6 million in 2001-02,
£6 million in 2002-03 and £3 million in 2003-04 from
the FCO in the Spending Review settlement split between resource
and capital budgets.
Q(d). The existing level of funding for the SBS in 2000-01,
and the actual levels of funding now proposed for the three subsequent
years, as referred to at 15.9.
The 2000-01 level of programme funding directly allocated
to the SBS is £220 million (in resource terms). Over the
years 2001-02 to 2003-04 the Settlement provides £284 million,
£303 million and £276 million.
Q(e). The level of funding as originally proposed for the
Phoenix Fund for 2000-01 and 2001-02, and the levels now proposed,
indicating how much is expenditure as opposed to investment.
Planned expenditure on the Phoenix Fund for 2000-01 and 2001-02
was £15.3 million and £5.5 million (cash) respectively.
The Spending Review settlement provided additional funding for
Enterprise for All projects (including the Phoenix Fund) of £10
million in 2001-02, £30 million in 2002-03 and £30 million
in 2003-04. Final decisions on the allocation of funds between
projects have not yet been taken.
Q(f). The existing level of funding of programmes for boosting
e-commerce, to which £15 million (para 15.8) is to be added
in 2001-02 and 2002-03.
E-commerce activities and the Information Society Initiative
are currently funded from the Innovation Budget. Prior to SR2000,
anticipated spend for 2000-01 was £30.1 million and for 2001-02
was 23.4 million, both in cash terms. The 2000-01 figure includes
£20.1 million as set out in the Department's 2000 Expenditure
Plans Report plus an extra £10 million for these activities
announced in March 2000 Budget.
Q(g). The latest state of the regional venture capital
funding commitment, in view of the reference in the 2000 Budget
to an additional £100 million over three years, the reference
to £84 million in SR 2000/DTI, and to venture capital in
para 15.9.
The 2000 Budget announced £100 million venture capital
for the SBS over 2001-04 of which £84 million was for DTI
and the rest was for the devolved administrations. The SR2000
Settlement for DTI included provision to cover this commitment.
In addition, the SR2000 Settlement provided further funding for
the SBS as outlined in answer to question d above.
Q(h). The existing and new levels of funding for the various
programmes designed to assist the transfer of research to the
commercial sector, including University Challenge.
Funding for programmes for assisting the transfer of research
to the commercial sector is set out below:
| | 2000-01
| 2001-02 baseline |
2001-02 extra | 2002-03
| 2003-04 |
University Innovation
Fund (DTI contribution)
| 1.5 | 2
| 22 | 20
| 40 |
| University Challenge | 10
| 0 | 0
| 5 | 0
|
| Science Enterprise Challenge | 0
| 0 | 0
| 5 | 10
|
Commercialisation of
research from PSREs
| 0 | 0
| 10 | 0
| 0 |
| Total | 11.5
| 2 | 30
| 30 | 50
|
Q(i). The existing and new levels of funding from DTI and
RDAs for competitiveness, innovation, cluster development etc.
Provision for RDAs' competitiveness agendas for 2000-01 is
c£4 million cash. The Settlement provided £50 million
resource for each of the years 2001-04. This includes £35
million clusters funding announced in the 2000 Budget for 2001-02.
Allocations for other innovation activities will be considered
in the internal resource allocation round this autumn for publication
in the spring.
Table: It would be helpful to have a breakdown of Table
15.1 into science and non-science spending.
The totals in Table 15.1 break down into science and non
science funding as shown below.
| £ million | 2000-01
| 2001-02 | 2002-03
| 2003-04 |
| Department of Trade and Industry[6]
| 3,728 | 4,595
| 4,280 | 4,222
|
| Of which Science and exploitation | 1,638
| 1,776 | 1,920
| 2,165 |
| Non-science and exploitation | 2,090
| 2,819 | 2,360
| 2,057 |
8 November 2000
3
The DTI is seeking Parliamentary approval via a Supplementary
Estimate for additional provision of £45m for expenditure
on the nuclear decommissioning programme in this financial year. Back
4
British Trade International has two pillars: Trade Partners UK,
which handles trade promotion and development, and Invest UK (formerly
the Invest in Britain Bureau) which handles inward investment.
The figures shown are for Trade Partners UK only. Invest UK joined
British Trade International late in the Spending Review process,
and the settlement for this part of the organisation is still
under discussion. Back
5
The summary line shows the total Trade Partners UK funding included
in the DTI figures in the SR2000 White Paper. The Secretaries
of State for Trade and Industry and Foreign and Commonwealth Affairs
are jointly responsible for British Trade International's programme
budget, and the Chief Executive reports directly to them. The
expenditure is recorded on a separate Request for Resources. Back
6
Figures include funding of British Trade International (which
also receives £6 million in 2001-02, £6 million in 2002-03
and £3 million in 2003-04 from the FCO). Back
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