House of Commons - Communities and Local Government Committee

Select Committee on Communities and Local Government Committee Written Evidence

Explanatory Memorandum by the Department for Communities and Local Government—Winter Supplementary Estimates 2006-07 (AR 02)

INTRODUCTORY NOTE

The changes to Departmental Expenditure Limits which are referred to below were announced by the Secretary of State for the Department of Communities and Local Government on 21 November 2006, Official Report, columns 23 WS-26 WS. Changes to Departmental Expenditure Limits, of which the Department has two (Main Programmes and Local Government), are not always identical to the changes to the Estimates described below. This is because:

a) some expenditure within Departmental Expenditure Limits (DEL) is non-Voted while some Voted expenditure is outside Departmental Expenditure Limits; and

(b) the Departmental Expenditure Limit includes expenditure by Trading Funds, Non Departmental Public Bodies (NDPBs) and Public Corporations and supported capital expenditure to local authorities which are not included in the Estimate. The Estimate records expenditure by the Department and its Executive Agencies only, which includes grant in aid to NDPBs and capital grants to Public Corporations.

END YEAR FLEXIBILITY

The end of year flexibility (EYF) entitlements were included in the Public Expenditure 2005-2006 Provisional Outturn White Paper (Cm 6883) which was presented to Parliament by the Chief Secretary to the Treasury in July 2006.

MACHINERY OF GOVERNMENT CHANGES

As a result of the Machinery of Government Changes on 5 May 2006

The Department for Communities and Local Government was formed to take on most of the responsibilities of the Office of the Deputy Prime Minister and to take on responsibilities for Race, Cohesion and Faith from the Home Office and for gender and equality policy from the Department of Trade and Industry.

In addition:

(a) the responsibility for the work of the Deputy Prime Minister was transferred to the Deputy Prime Minister's Office;

(b) the responsibility for parts of the Social Exclusion Unit was transferred to the Cabinet Office Social Exclusion Task Force; and

SUMMARY OF CHANGES SOUGHT IN ESTIMATE

RFR1: IMPROVING THE QUALITY OF LIFE BY CREATING THRIVING, INCLUSIVE AND SUSTAINABLE COMMUNITIES IN ALL REGIONS.

This RfR covers expenditure on Housing, Planning, Supporting People, Sustainable Communities, Liveability, Civil Resilience, Fire Services, Neighbourhood Renewal, Equality, Race, Cohesion and Faith and work by the Regional Development Agencies and the London Development Agency; and the cost of the administration of the Department and the Government Offices.

Two new lines have been added to the Estimate: Y and Z. These are to cover the work being carried out by Local Area Agreements (LAAs). Line Y shows receipts from other government departments and Line Z shows the provision for LAAs.

As a result of the Estimate the overall resource position on RfR1 will change as set out in the following table:

£000

Existing net provision: 8,685,198

Increase in provision sought: 885,208

Revised net provision: 9,570,406

The element of the Main Programmes Departmental Expenditure Limit within the Estimate that is associated with this Request for Resources will be increased by £433,678,000 from £4,848,217,000 to £5,281,895,000.

Annex A sets out the detailed technical changes made to the Estimate Sections. The following describes the main changes that have been made.

SPENDING IN DEPARTMENTAL EXPENDITURE LIMITS (DEL)

CENTRAL GOVERNMENT SPENDING

SECTION A—HOUSING SUPPLY AND DEMAND

Transfers to Section A

£2,800,000 from English Partnerships to the Planning Inspectorate and Valuation Office Agency to cover a shortfall in income from quality assuring local Authorities Local Development Frameworks. £6,380,000 from Planning Delivery Grant to fund the Planning Inspectorate (£2,000,000), Planning Application Services, Advisory Team on Large Applications, and Planning Policy Statement 3 (£4,380,000).

Transfers from Section A

£208,000 transferred from Other Growth Areas to cover Other Growth Areas expenditure by Northamptonshire Urban Development Corporation.

£800,000 from Other Growth Areas to cover expenditure on work carried out for Other Growth Areas by English Partnerships.

£4,300,000 from Thames Gateway for non-voted expenditure by Thames Gateway London Urban Development Corporation.

£4,800,000 switched from Thames Gateway resource and £900,000 from Thames Gateway capital for expenditure by Thurrock Urban Development Corporation in the Thames Gateway.

£100,000 resource and £900,000 capital from Thames Gateway to fund expenditure by the East of England Development Agency in the Thames Gateway.

£290,000 from Planning to INTERREG for the Transactional ERDF and State Aid (TESA) system.

£444,000 from Regional Housing Board to Regional Chambers to support Regional Housing Board work by local authority hosted regional assemblies and independent regional assemblies.

£200,000 from Landlord's Licensing and Safety Ratings programme to fund increased number of Social HomeBuy Local Authority pilot schemes.

£300,000 from Research to Departmental Unallocated Provision.

£2,045,000 from Other Growth Areas to fund expenditure on Other Growth Areas by Northamptonshire Urban Development Corporation.

£75,000 from ASD research to cover expenditure on National Register of Social Housing project.

As a result of all changes there is a decrease in provision for Section A of £7,142,000 (decrease of £8,292,000 resource; increase of £1,150,000 capital).

SECTION B—DECENT PLACES TO LIVE

Transfers to Section B

£500,000 within section from Liveability to Housing Corporation to cover pensions pressures.

£2,255,000 drawdown from end year flexibility for expenditure by Housing Action Trusts to meet agreed capital commitments.

£3,790,000 capital from Departmental Unallocated Provision to cover capital expenditure on Groundwork.

£300,000 drawdown of end year flexibility and £75,000 from ASD research to cover expenditure on the National Register of Social Housing.

Transfers from Section B

£3,790,000 resource from Groundwork to Departmental Unallocated Provision.

As a result of all changes there is an overall increase in provision for Section B of £2,630,000 resource.

SECTION C—TACKLING DISADVANTAGE

Transfers to Section C

£1,320,000 from non-voted Housing Corporation to Coalfields Regeneration Trust for capital expenditure.

£8,000,000 within Local Enterprise Growth Initiative (LEGI) from support for Local Authorities to central government grant to cover LEGI expenditure.

£3,500,000 from Other Growth Areas to Coalfields Regeneration Trust for capital expenditure on the Coalfields Respite Centre.

£2,000,000 within Homelessness from (support for Local Authorities)to cover expenditure by voluntary bodies.

£615,000 from Homelessness (support for Local Authorities) to the New Ventures Fund.

£21,250,000 from Local Government Grant to Current Grant within New Ventures Fund programme.

£23,737,000 from the Home Office as a result of a Machinery of Government Change to cover expenditure on improving race and faith equalities and community cohesion.

£8,020,000 from the Department for Trade and Industry as a result of a Machinery of Government Change to cover expenditure on improving gender equality.

Transfers from Section C

£500,000 from Coalfields Regeneration Trust to non-voted Housing Corporation to cover pensions pressures.

£615,000 from Homelessness (support for Local Authorities) to the New Ventures Fund.

£12,249,000 from the New Ventures Fund to cover expenditure on Local Area Agreements.

£5,551,000 from the New Ventures Fund to Departmental Unallocated Provision.

£684,000 from Safer Stronger Communities element of New Ventures fund to cover pressures on Supporting People administration grant.

As a result of all changes there is an increase in provision for Section C of £18,843,000 (£18,818,000 resource; £25,000 capital).

SECTION D—BETTER SERVICES

Transfers to Section D

£600,000 from Local Government Capacity Building fund to Fire Services for the development of the leadership model of a FRS Centre for Leadership.

£1,230,000 from Fire Credit Approvals to Fire Services for capital expenditure on an Electronic Data Collection System.

Transfers from Section D

£1,500,000 from Fire Services to cover expenditure by the Audit Commission on performance assessment for the Fire and Rescue Authorities.

£240,000 from Fire Services to meet expenditure of FireBuy.

As a result of all changes there is an increase in provision for Section D of £90,000 (decrease of £1,140,000 resource; increase of £1,230,000 capital).

SECTION E—DEVELOPMENT OF ENGLISH REGIONS

Transfers to Section E

£40,000,000 drawdown of end year flexibility to cover Regional Development Agency capital expenditure.

£19,300,000 drawdown of end year flexibility to cover £800,000 resource expenditure and £18,500,000 capital expenditure on the Northern Way.

£274,000 from Regional Housing Board to Regional Chambers to support Regional Housing Board work by regional assemblies.

£10,000 drawdown of end year flexibility to cover Regional Development Agency resource expenditure.

As a result of all changes there is an increase in provision for Section E of £59,584,000 resource.

SECTION F—CENTRAL ADMINISTRATION

Transfers to Section F

£7,147,000 from Home Office to reflect administration costs associated with Machinery of Government changes.

£3,036,000 from Department of Trade and Industry to reflect administration costs associated with Machinery of Government changes.

£120,000 from Department for Culture Media and Sport for the Minister for Women.

£520,000 from Cabinet Office for Parliamentary Counsel work.

£12,677,000 drawdown of end year flexibility to cover a transfer to Government Office administration expenditure (£10,572,000) and for planned central administration expenditure (£2,105,000).

£6,500,000 drawdown from end year flexibility to fund Early Exits Scheme.

£292,000 from the Cabinet Office for the Equalities Review Team.

£3,000,000 drawdown of capital end year flexibility to cover capital expenditure on e-business, of which £2,358,000 is for expenditure on Electronic Document and Records Management and telephony projects in the Government Offices.

Transfers from Section F

£1,160,000 from Central Administration to the Deputy Prime Minister's Office to reflect Machinery of Government changes.

£926,000 from Central Administration to the Cabinet Office to cover the work on Social Exclusion following Machinery of Government changes.

£11,072,000 from Central Administration for the Government Offices' work on various schemes including emergency planning (£2,309,000); planning review (£2,132,000); local area agreements (£1,000,000) and street wardens (£394,000).

£2,358,000 from Central Administration capital provision to cover Government Offices expenditure on Electronic Document and Records Management and telephony projects.

As a result of all changes there is an increase in provision for Section F of £17,776,000 (£17,134,000 resource; £642,000 capital).

SECTION G—GOVERNMENT OFFICES

Transfers to Section G

£3,000,000 from Department for Education and Skills to fund Government Office early exits.

£7,051,000 from Department for Environment Food and Rural Affairs to Government Offices to fund GO early exits (£2,071,000); additional core funding (£3,519,000 Countryside Agency (£941,000); SR2002 (£520,000).

£1,257,000 from Department of Trade and Industry to fund Government Office early exits.

£66,000 from Department for Culture Media and Sport for contribution to fund Government Office early exits.

£2,358,000 capital provision from Central Administration for Electronic Document and Records Management and telephony projects.

Transfers from Section G

£993,000 to HM Treasury in respect of efficiency savings required under SR04.

As a result of all changes there is an increase in provision for Section G of £23,811,000 (£21,453,000 resource; £2,358,000 capital).

SECTION H—EUROPEAN STRUCTURAL FUNDS (NET)

No change.

SECTION I—EUROPEAN STRUCTURAL FUNDS (COMMUNITIES AND LOCAL GOVERNMENT)

Transfers to Section I

£5,000,000 from non-voted English Partnerships to cover European Regional Development Fund's interpretation provision.

£290,000 from Planning to INTERREG for the Transactional ERDF and State Aid (TESA) system.

£962,000 drawdown of end year flexibility (£682,000 resource and £280,000 capital) for European Regional Development Fund for the Transactional ERDF and State Aid (TESA) system.

As a result of these changes there is an increase in provision for Section I of £6,252,000 (£5,972,000 resource; £280,000 capital).

SECTION J—ORDNANCE SURVEY

No change.

SECTION K—QUEEN ELIZABETH II CONFERENCE CENTRE EXECUTIVE AGENCY

Transfers to Section K

£117,000 drawdown from end year flexibility to correct an error in the Main Estimate figures.

As a result of this change there is an increase in provision for Section K of £117,000 resource.

SUPPORT FOR LOCAL AUTHORITIES

SECTION L—HOUSING SUPPLY AND DEMAND

Transfers to Section L

£800,000 drawdown of end-year flexibility for Housing Market Renewal Fund capital expenditure on grant payments.

£818,000 drawdown of end year flexibility for capital expenditure on Choice Based Lettings.

£398,191,000 transfer from non-voted Local Authority Supported Capital Expenditure to Regional Housing Pot (£384,191,000) and Gypsy and Travellers' Sites (£14,000,000).

£33,500,000 drawdown from DEL Reserve for Housing Market Renewal Fund to cover resource expenditure.

£200,000 from Landlord's Licensing and Safety Ratings programme to increase the number of Social Homebuy Local Authority Pilot Schemes.

Transfers from Section L

£20,000,000 from the Housing Market Renewal Fund to non-voted English Partnerships.

£3,200,000 from Other Growth Areas to English Partnerships to carry out work on Other Growth Areas.

£38,100,000 from Thames Gateway to non-voted expenditure by London Urban Development Corporation in the Thames Gateway.

£26,425,000 from Thames Gateway to cover expenditure by Thurrock Urban Development Corporation in the Thames Gateway.

£2,800,000 transfer within Thames Gateway to cover expenditure by the English Partnerships in the Thames Gateway.

£1,200,000 transfer within Thames Gateway to cover non-voted expenditure by the South East England Development Agency in the Thames Gateway.

£3,500,000 from Other Growth Areas to Coalfields Regeneration Trust to cover expenditure on the Coalfields Respite Centre.

£6,380,000 from Planning Delivery Grant to fund the Planning Inspectorate (£2,000,000), Planning Application Services, Advisory Team on Large Applications and Planning Policy Statement 3 (£4,380,000).

£10,000,000 from Other Growth Areas to non-voted Other Growth Areas to cover cost of work carried out by Northamptonshire Urban Development Corporation.

£1,500,000 transfer within Thames Gateway to non-voted Thames Gateway to cover expenditure by the East of England Development Agency.

As a result of all changes there is an increase in provision for Section L of £320,404,000 resource.

SECTION M—DECENT PLACES TO LIVE

Transfers to Section M

£745,000 drawdown of Invest to Save Budget to meet Private Housing Renewal planned expenditure.

As a result of this change there is an increase in provision for Section M of £745,000 resource.

SECTION N—TACKLING DISADVANTAGE

Transfers to Section N

£40,300,000 transfer from Local Area Agreements for expenditure on New Ventures Fund projects.

£30,000,000 transfer of provision from Tackling Disadvantage for expenditure on Safer and Stronger Communities.

£4,232,000 drawdown of end year flexibility for Disabled Facilities Grant (£200,000 resource and £4,032,000 capital) to meet demands on Local Authorities for mandatory grants.

£3,600,000 transfer from non-voted Departmental Unallocated Provision to Local Enterprise Growth Initiatives to cover capital needed by local authorities.

£2,100,000 drawdown of end year flexibility to cover expenditure on New Deal for Communities programme.

£684,000 from Safer Stronger Communities element of New Ventures fund to cover Supporting People administration grant.

Transfers from Section N

£120,860,000 transfer of baseline to new Estimates line Z—Local Area Agreements.

£11,970,000 transfer from New Ventures Fund to cover expenditure on Local Area Agreements.

£5,000,000 from Local Enterprise Growth Initiatives to Departmental Unallocated Provision.

£8,000,000 transfer within Local Enterprise Growth Initiatives from support for Local Authorities to central government grant to cover LEGI expenditure.

£2,000,000 transfer within Homelessness to cover expenditure by voluntary bodies.

£21,250,000 from Local Government Grants to Current Grants within New Ventures Fund programme.

As a result of all changes there is a decrease in provision for Section N of £88,164,000 resource.

SECTION O—BETTER SERVICES

Transfers from Section O

£330,000 drawdown from Invest to Save Budget for expenditure on Fire Reducing Exclusion, Starting Positive Engagement with Children Together (RESPECT) Project.

As a result of this change there is an increase in provision for Section O of £330,000 resource.

SECTION P—DEVELOPMENT OF ENGLISH REGIONS

Transfers to Section P

£5,000,000 from non-voted Departmental Unallocated Provision for capital expenditure on Combined Universities of Cornwall.

£170,000 from Regional Housing Boards to Regional Chambers to support Regional Housing Board work by local authority hosted regional assemblies.

£551,000 drawdown from end year flexibility to cover expenditure by the London Development Agency.

As a result of these changes there is an increase in provision for Section P of £5,721,000 resource.

SECTION Q—EUROPEAN STRUCTURAL FUNDS—NET

No change.

SPENDING IN ANNUALLY MANAGED EXPENDITURE (AME)

CENTRAL GOVERNMENT SPENDING

SECTION R—DECENT PLACES TO LIVE

Transfers from Section R

A decrease of £47,702,000 required to meet Housing Revenue Account subsidy.

As a result of this change there is a decrease in Section R of £47,702,000 resource.

SECTION S—BETTER SERVICES

No change.

SUPPORT FOR LOCAL AUTHORITIES

SECTION T—BETTER SERVICES

No change.

NON-BUDGET

SECTION U—HOUSING SUPPLY AND DEMAND

Transfers to Section U

£439,149,000 increase in grant in aid to cover expenditure by the Housing Corporation (£311,411,000); Thames Gateway: London Urban Development Corporation (£42,400,000); Thames Gateway: Thurrock Urban Development Corporation (£32,125,000); English Partnerships (£29,500,000); Other Growth Areas: West Northamptonshire Urban Development Corporation (£12,253,000); Other Growth Areas: English Partnerships (£4,000,000) Thames Gateway: English Partnerships (£2,800,000); Thames Gateway: East of England Development Agency (£2,500,000); Thames Gateway: South East England Development Agency (£1,200,000) and Leasehold Enfranchisement Advisory Service (£960,000).

As a result of these changes there is an increase in provision for Section U of £439,149,000 resource.

SECTION V—BETTER SERVICES

Transfers to Section V

£240,000 increase in grant in aid for FireBuy. As a result of this change there is an increase in provision for Section V of £240,000 resource.

SECTION W—DECENT PLACES TO LIVE

No change.

SECTION X—TACKLING DISADVANTAGE

£20,624,000 increase in grant in aid from the Home Office resulting from Machinery of Government changes.

£7,356,000 increase in grant in aid from Department of Trade and Industry resulting from Machinery of Government changes.

As a result of these changes there is an increase of provision for Section X of £27,980,000 resource.

SPENDING IN DEPARTMENTAL EXPENDITURE LIMITS (DEL)

CENTRAL GOVERNMENT SPENDING

SECTION Y—LOCAL AREA AGREEMENTS

Receipt of £413,067,000 from other government departments for Local Area Agreements—£353,367,000 from the Department for Education and Science and £59,700,000 from the Home Office.

As a result of this change there is a decrease in provision for Section Y of £413,067,000 resource.

SUPPORT FOR LOCAL AUTHORITIES

SECTION Z—LOCAL AREA AGREEMENTS

Transfer of £413,067,000 from Local Area Agreements for expenditure on Local Area Agreements.

RFR2: PROVIDING FOR EFFECTIVE DEVOLVED DECISION MAKING WITHIN A NATIONAL FRAMEWORK.

This RfR covers support for Local Authorities through revenue support grant and redistributed non-domestic rates; payments to the Valuation Office Agency for rating and valuation services; payments to the Audit Commission for Best Value inspections; Greater London Authority (GLA) general grant; other grants to local authorities and costs associated with boundary and electoral reviews.

As a result of the Estimate the overall resource position for RfR2 will change as set out in the following table:

£000

Existing net provision 23,372,915

Increase in provision sought 466,292

Revised net provision 23,839,207

The element of the Local Government Departmental Expenditure Limit within the Estimates that is associated with this Request for Resources will increase by £58,131,000 from £22,631,372,000 to £22,689,503,000.

SPENDING IN DEPARTMENTAL EXPENDITURE LIMITS (DEL)

CENTRAL GOVERNMENT SPENDING

SECTION A—VALUATION SERVICES

Transfers from section A

£2,371,000 from Valuation Office Agency to Standards Board for England (non voted) to support the costs of its relocation to Manchester.

As a result of this change there is a decrease in provision for Section A of £2,371,000 resource.

SECTION B—BEST VALUE INSPECTION

Transfers to Section B

£1,500,000 from Fire Services to cover expenditure by the Audit Commission on performance assessment for Fire and Rescue Authorities.

£3,271,000 from Capacity Building (section H) to Best Value Intervention to fund in year spending pressures for a number of intervention projects.

As a result of these changes there is an increase in provision for Section B of £4,771,000 resource.

SECTION C—LOCAL GOVERNMENT RESEARCH, PUBLICITY, MAPPING AND ELECTORAL COSTS

Transfers to Section C

£519,000 drawdown of end year flexibility for Local Government on Line.

£365,000 from Mayoral Referendums (section D) to Local Government Research to support Research for Lyons and Business Improvement Districts.

£194,000 from Capacity Building (Section H) to Local Government Research to pay for Capacity Building Research.

Transfers from Section C

£250,000 from Mapping Costs to Emergency Financial Assistance (Section H) to increase provision for payments under the Bellwin scheme.

As a result of these changes there is an increase in provision for Section C of £828,000 resource.

SECTION D—LOCAL GOVERNANCE

Transfers from Section D

£30,000 from Mayoral Referendums to make up the funding gap for Best Value Parish Councils Grant (section H).

£365,000 from Mayoral Referendums to Local Government Research (section C) to support Research for Lyons and Business Improvement Districts.

£219,000 from Mayoral Referendums to Standards Board for England (non voted) to support the costs of its relocation to Manchester.

As a result of these changes there is a decrease in provision for Section D of £614,000 resource.

SUPPORT FOR LOCAL AUTHORITIES

SECTION E—REVENUE SUPPORT GRANT

Transfers to Section E

£35,000,000 drawdown of end year flexibility for Private Finance Initiative Special Grant as agreed with the Chief Secretary last year, to reflect higher anticipated take up of grant in 2006-07.

As a result of this change there is an increase in provision for Section E of £35,000,000 resource.

SECTION H—OTHER GRANTS AND PAYMENTS

Transfers to Section H

£8,000,000 drawdown of end year flexibility for Capacity Building to reflect a switch in spending needs between 2006-07 and 2007-08. Monies are to be repaid to the consolidated fund in 2007-08.

£10,000,000 drawdown of end year flexibility reassigned from DCA for Local Government on Line to fund capital expenditure on Government Connect.

£6,634,000 drawdown of end year flexibility for Local Government on Line capital expenditure to fund programme slippage from 2005-06.

£250,000 from Mapping Costs (section C) to Emergency Financial Assistance to increase provision for payments under the Bellwin scheme.

£30,000 from Mayoral Referendums (section D) to make up the funding gap for Best Value Parish Councils Grant.

An additional £1,602,000 from the Treasury funded Invest to Save programme to provide cover for all 2006-07 claims.

Transfers from Section H

£1,934,000 from Emergency Financial Assistance to Standards Board for England (non voted) to fund an agreed budget.

£600,000 from Local Government Capacity Building fund to Fire Services for the development of the leadership model of a FRS Centre for Leadership.

£194,000 from Capacity Building Local Government Research (section C) to pay for Capacity Building Research.

£3,271,000 from Capacity Building to Best Value Intervention (section B) to fund in year spending pressures for a number of intervention projects.

As a result of these changes there is an increase in provision for Section H of £20,517,000 (£3,883,000 resource: £16,634,000 capital).

SPENDING IN ANNUALLY MANAGED EXPENDITURE (AME)

LOCAL GOVERNMENT

SECTION I—NON-DOMESTIC RATES OUTTURN AND ADJUSTMENTS AND LABGIS

Transfers to Section I

Increase of £316,000,000 for National Non-domestic Rates outturn adjustments to provide for expected local authority claims.

An additional £92,000,000 for Local Authority Business Growth Incentive Scheme required due to slippage in 2005-06.

As a result of these changes there is an increase in provision for Section I of £408,000,000.

NON-BUDGET

SECTION J—NON-DEPARTMENTAL PUBLIC BODIES

Increase in Grant in Aid of £3,661,000 for the Standards.

A reduction of Grant in Aid of £3,500,000 for the Valuation Tribunal Service.

As a result of these changes there is an increase in provision for Section J of £161,000.

NET CASH REQUIREMENT

As a result of the changes in the Estimates the Net Cash Requirement is to be increased by £1,357,195,000 from £32,068,455,000 to £33,425,650,000.

CHANGES TO DEL

MAIN PROGRAMME DEL

As a result of the Estimates the Department's Main Programmes DEL will be increased by £184,097,000 from £9,234,045,000 to £9,418,142,000 and the administration costs limit will also be increased by £31,863,000 from £286,784,000 to £318,647,000. Within the DEL change, the impact on resources and capital are as set out in the following table:

(£'000)

	Change	Voted	Non-voted	Total
Resource	135,605	3,497,677	149,218	3,646,895
Of which
Administration budget	31,863	318,647	—	318,647
Near-cash in RDEL	154,556	3,444,582	150,615	3,595,197
Capital	48,492	2,152,622	3,618,625	5,771,247
Depreciation*	-603	-32,360	-2,813	-35,173
Total	183,494	5,617,939	3,765,030	9,382,969

*Depreciation, which forms part of resource DEL, is excluded from the total DEL, since capital DEL includes capital spending and to include depreciation of those assets would lead to double counting.

THE CHANGE IN THE RESOURCE ELEMENT OF THE DEL ARISES FROM:

(i) take up of End Year Flexibility of £22,582,000 comprising:

Programme Expenditure

(a) £300,000 for National Register of Social Housing;

(b) £1,427,000 from the Invest to Save Budget comprising of £745,000 for Private Housing Renewal and £682,000 for the European Regional Development Fund;

(d) £1,361,000 for the Development of English Regions;

(e) £117,000 for the Queen Elizabeth II Conference Centre;

Administration costs

(f) £19,177,000 for administration costs comprising of £12,677,000 to cover the work of Department for Communities and Local Government; and £6,500,000 from Other Current to fund Early Exits.

(ii) Draw down of £330,000 from the Treasury's Invest to Save Budget for the Fire Respect Project.

(iii) Draw down of £33,500,000 from the DEL Reserve for the Housing Market Renewal Pathfinders.

(iv) A transfer of £993,000 to the Treasury in respect of efficiency reductions required under SR04.

(v) A net transfer of £81,086,000 from other government departments, comprising:

FROM OTHER GOVERNMENT DEPARTMENTS

Programme

(a) £60,683,000 to reflect Machinery of Government changes in May 2006 comprising of £16,083,000 from the Department of Trade and Industry and £44,600,000 from the Home Office

Administration Costs (Central Department)

(b) £10,475,000 to reflect Machinery of Government changes in May 2006 comprising of £7,147,000 from the Home Office; £3,036,000 from the Department of Trade and Industry and £292,000 from Cabinet Office for Equalities Review Team;

(d) £520,000 from the Cabinet Office for the Parliamentary Counsel.

Administration Costs (Government Offices)

(e) £4,323,000 for contribution to the Government Office release scheme comprising of £3,000,000 from the Department for Education and Skills; £1,257,000 from the Department of Trade and Industry; £66,000 from the Department for Culture Media and Sport;

(f) £7,051,000 from the Department of Environment Food and Rural Affairs comprising of £3,519,000 for additional Core Funding; £941,000 for Countryside Agency: £520,000 for balance for the SR2002 total and £2,071,000 for contribution to the Government Office release scheme.

TO OTHER GOVERNMENT DEPARTMENTS

Administration Costs (Central Department)

(g) £2,086,000 for May 2006 Machinery of Government Changes comprising of £1,160,000 to the Deputy Prime Minister Office and £926,000 to the Cabinet Office for work on Social Exclusion.

(vi) an increase in receipts of £440,680,000 offsetting increases in provision of £123,000 for Tenants Deposit Scheme; £24,000,000 for Tackling Disadvantage and £400,472,000 for Local Area Agreement programme; £996,000 for Central Administration; £7,700,000 for Mapping Data and Services and £7,389,000 for Government Offices.

(vii) a net transfer of £900,000 to Request for Resources (RfR 2) comprising of a transfer of £1,500,000 from Fire Services (RfR1) to Best Value Inspectorate (RfR2) and £600,000 from Capacity Building (RfR2) to Fire Services (RFR1).

(viii) a net transfer of £21,086,000 from voted to non voted provision comprising:

From voted to non-voted provision

(a) £800,000 to Other Growth Areas Urban Regeneration Agencies;

(b) £9,100,000 to Thames Gateway comprising of £4,300,000 to London UDC and £4,800,000 to Thurrock Urban Development Corporation (UDC);

(d) £14,641,000 to Departmental Unallocated provision comprising of £300,000 from Research; £3,790,000 from Groundwork; £5,000,000 from Local Enterprise Growth Initiative (LEGI); and £5,551,000 from the New Ventures Fund;

(e) £2,045,000 to Other Growth Areas ( Northampton UDC);

(f) £1,000,000 to Housing Corporation comprising of £500,000 from Liveability and £500,000 from Coalfields Regeneration Trust;

(g) £240,000 to FiReBuy programme; and

(h) £100,000 to East of England Development Agency.

To voted from non-voted provision

(i) £2,526,000 to Planning Inspectorate;

(j) £274,000 to Valuation Office Agency Right to Buy;

(k) £5,000,000 to European Regional Development Fund.

(ix) As a result of the changes to Request for Resources 1, The Department of Communities and Local Government's administration provision will be increased by £38,587,000 from £286,867,000 to £325,454,000.

THE CHANGE IN THE CAPITAL ELEMENT OF THE DEL ARISES FROM

(x) a take up of EYF of £32,587,000 comprising of :

Programme Expenditure

(a) £800,000 for Housing Market Renewal Fund;

(b) £818,000 for Pilot Based Lettings;

(d) £4,032,000 for Disabled Facilities Grant;

(e) £2,100,000 for New Deal for Communities;

(f) £18,500,000 for Northern Way;

(g) £280,000 for European Regional Development Fund from the Invest to Save Budget; and

(h) £802,000 for the Housing Corporation.

Administration Costs (Central DCLG)

(i) £3,000,000 for capital expenditure.

(xi) a net transfer of £15,905,000 from other Government Departments comprising of

FROM OTHER GOVERNMENT DEPARTMENTS

Programme

(a) £40,000,000 from the Department of Trade and Industry for the Regional Development Agencies;

(b) A transfer of £205,000 from the Home Office to reflect the Machinery of Government changes in May 2006.

TO OTHER GOVERNMENT DEPARTMENTS

Programme Expenditure

(c) £24,300,000 to the Department for Culture Media and Sport for the Department's contribution towards the Olympics preparation infrastructure costs.

(xii) an increase in receipts of £18,595,000 offsetting increases in provision of £6,000,000 for Tackling Disadvantage and £12,595,000 for the Local Area Agreements.

(xiii) Within the capital element of the DEL there is a net transfer of £313,757,000 from non voted to voted provision comprising:

From voted to non voted provision

(a) £10,208,000 to Northampton UDC;

(b) £26,000,000 to English Partnerships comprising of £20,000,000 from the Housing Market Renewal Fund and £3,200,00 from Other Growth Areas and £2,800,000 from Thames Gateway ;

(d) £1,200,000 to Thames Gateway South East of England Development Agency; and

(e) £2,400,000 to East of England Development Agency.

To voted from non voted provision

(f) £14,000,000 to Gypsy and Traveller's Sites;

(g) £384,100,000 to Regional Housing Pot;

(h) £500,000 to Liveability Fund;

(i) £17,840,000 from Departmental Unallocated Provision comprising of £3,790,000 to Groundwork; £3,600,000 to LEGI; £5,450,000 for the Local Area Agreement and £5,000,000 for Combined Universities;

(j) £1,320,000 to the Coalfields Regeneration Trust;

(k) £1,230,000 to Fire Services.

ADMINISTRATION COST LIMIT

The change to the Administration Cost Limit arises from a net transfer as a result of Machinery of Government changes (£8,805,000); a draw down of EYF (£12,677,000); and a net transfer from other government departments (£10,381,000).

3. CHANGES TO END YEAR FLEXIBILITY

END YEAR FLEXIBILITY (£M) 2006-07

	Start of Year	Take up in Winter Supps	Remaining EYF
Resource:
Ringfenced	12.294	1.977	10.317
Non Ringfenced	43.041	7.928	35.113
Administration	58.076	12.677	45.399
Sub total	113.411	22.582	90.829
Capital:
Ringfenced	79.458	24.912	54.546
Non Ringfenced	297.702	4.675	293.027
Administration	32.913	3.000	29.913
Sub total	410.073	32.587	377.486
Total:
Ringfenced	91.752	26.889	64.863
Non Ringfenced	340.743	12.603	328.140
Administration	90.989	15.677	75.312

LOCAL GOVERNMENT DEL

As a result of the Estimates the Department's Local Government DEL will be increased by £62,655,000 from £22,741,021,000 to £22,803,676,000. Within the DEL change, the impact on resources and capital are as set out in the following table:

£'000

Change Voted New DEL
Non-voted Total

Resource 46,021 22,432,618 105,673 22,538,291

  Of which

  Administration budget
0 0 0 0

  Near-cash in RDEL
45,505 22,432,618 105,157 22,537,775

  Capital 16,634 256,885 8,500 265,385

  Depreciation* -516 -516 -516

Total 62,139 22,689,503 113,657 22,803,160

* Depreciation, which forms part of resource DEL, is excluded from the total DEL, since capital DEL includes capital spending and to include depreciation of those assets would lead to double counting.

The change in the resource element of the DEL arises from:

(i) take up of End Year Flexibility of £43,519,000 comprising

(a) £8,000,000 for Capacity Building;

(b) £519,000 for Local Government on Line;

(ii) a net transfer of £900,000 from Request for Resources (RfR 1) comprising of a transfer of £1,500,000 to Best Value Inspection (RfR2) from Fire Services (RfR1) and £600,000 from Capacity Building (RfR2) to Fire Services (RFR1).

(iii) Draw down of £1,602,000 from the Invest to Save Budget for several projects relating to bids for Rounds 7 and 8.

(iv) an increase in cash receipt of £308,000 with a corresponding increase in DEL cover for the Standards Boards.

(v) a net transfer of £4,524,000 from voted to non voted provision comprising of £2,371,000 from Valuation Services and £219,000 from Local Governance and £1,934,000 from the Bellwin programme.

(vi) The change in the capital element of the DEL arises from a take up of End Year Flexibility of £16,634,000 for Local Government on Line.

CHANGES TO END YEAR FLEXIBILITY

END YEAR FLEXIBILITY (£M) 2006-07

	Start of Year	Reassigned from DCA	Take up in Winter Supps	Remaining EYF
Resource:
Ringfenced	109.613		43.519	66.094
Non Ringfenced	3.012		0	3.012
Sub total	112.625		43.519	69.106
Capital:
Ringfenced	259.148	10.000	16.634	252.514
Non Ringfenced	27.323		0	27.323
Sub total	286.471	10.000	16.634	279.837
Total:
Ringfenced	368.761	10.000	60.153	318.608
Non Ringfenced	30.335		0	30.335
Total	399.096	10.000	60.153	348.943

EFFECT ON COMMUNITIES AND LOCAL GOVERNMENT PSA TARGETS

  As a result of the Estimates the expenditure against the Department's PSA targets will change as set out in the following table:

PSA Target EYF
including
Invest to
Save Budget Machinery
of
Government Drawdown
from
Reserve Transfer
from DUP Transfer
from OGD Transfers
between
targets Total

1.Tackle social exclusion and deliver neighbourhood renewal working with departments to help them meet their PSA floor targets—by 2010
6,072 0 8,000 -1,107 12,965

2.  Sustainable improvements in economic performance of English Regions—by 2008
7,913 0 14,000 5,316 27,229

3.  Reduce the number of accidental fire-related deaths in the home by 20% and the number of deliberate fires by 10%—by 2010
330 0 -900 -570

4.  Improving effectiveness and efficiency of local government in leading and delivering services to all communities—by 2008
0 0 145 145

5.  Achieving better balance between housing availability and demand
11,334 0 33,500 67,900 18,000 128,405 259,138

6.  Planning system to deliver sustainable development outcomes and to achieve best value standards for planning by 2008
0 0 1,230 1,230

7.  Bring all social housing into decent condition by 2010
7,256 0 2,100 -129,649 -120,293

8.  Lead delivery of cleaner, safer, greener public spaces, and improvement of built environment in deprived areas with measurable improvement by 2008
300 0 5,000 75 5,375

9.  By 2008, working with other departments, bring about measurable improvements in gender equality across a range of indicators, as part of the Government's objectives on equality and social inclusion.
0 16,083 0 16,083

10.  Reduce race inequalities and build community cohesion.
44,805 0 44,805

     Total 33,205 60,888 33,500 75,000 40,000 3,515 246,108

Notes

1. The figures in the Table do not include costs not attributable to the Office's PSAs ie administration costs and the Queen Elizabeth II Conference Centre.

2. The LG DEL of £22.8 billion contributes to PSA 4.

The main effects on programmes as a result of these changes are:

PSA 1

The EYF has been drawn down for work to be carried out by the New Deal for Communities programme and for work being carried out by the RDAs and the LDA including work on the Northern Way. There is also a transfer from the Department of Trade and Industry for work to be carried out by the RDAs and the LDA.

In addition to the figures in the table a further £413 million (£353 million from DfES and £60 from the Home Office) was received to fund those Department's funding streams in Local Area Agreements. The figures do not appear in the table as the amounts are invoiced for by the Department and therefore do not appear in the DEL because the increased provision is offset by receipts.

PSA 2

The EYF has been drawn down for work to be carried out by the RDAs and the LDA including work on the Northern Way. There is also a transfer from the Department of Trade and Industry for work to be carried out by the RDAs and the LDA.

The other changes consist mainly of a transfer from EP to the ERDF programme.

PSA 3

The drawdown was for the Fire Services and contributes towards the Reducing Exclusion, Starting Positive Engagement with Children Together (RESPECT) project.

The decrease in expenditure consists of a transfer to the LG DEL for a contribution towards the payment of Audit Commission bills in relation to performance assessment work for the Fire & Rescue Authorities.

PSA 4

The transfer in was for the work on the Transactional ERDF and State Aid (TESA) system.

PSA 5

The EYF drawdown covered work by the RDAs and LDA including work on the Northern Way. In addition EYF was also drawn down for the Housing Corporation; the funding of pilot letting schemes and for the Housing Market Renewal Fund for the existing pathfinder projects. Resources from the Departmental Unallocated Provision were transferred for use by the Housing Corporation.There is also a transfer from the Department of Trade and Industry for work to be carried out by the RDAs and the LDA.

The Reserve drawdown was for the Housing Market Renewal programme to cover a resource spending pressure previously covered by capitalisation by local authorities.The Transfers include extra resources for the Housing Corporation and the Regional Housing Pot Grant.

PSA 6

The small change in resources is a result of transfer within Planning and a transfer to the Planning Inspectorate.

PSA 7

The main drawdown of EYF is for funding mandatory Disabled Facilities Grant and work carried out by Housing Action Trusts.The main transfer out is to the Housing Corporation but within the PSA there is an increase for Gypsy Site grants.

PSA 8

The EYF is for the National Register of Social Housing (NROSH) project. Resources from the Departmental Unallocated Provision have been transferred for use by Combined Universities in Cornwall.

PSA 9

The amount for this PSA is for the resources transferred by the Home Office for the responsibilities taken over by the Department for Race, Faith and Cohesion. It includes expenditure on the Commission for Racial Equality and the Community Development Foundation.

PSA 10

The amount for this PSA is for the resources transferred by the Department of Trade and Industry for the responsibilities taken over by the Department for Equality issues and includes expenditure on the Equal Opportunities Commission.

RFR1: IMPROVING THE QUALITY OF LIFE BY CREATING THRIVING, INCLUSIVE AND SUSTAINABLE COMMUNITIES IN ALL REGIONS

Housing revenue account subsidy; homelessness and rough sleepers; payments to the Housing Corporation; payments to the Audit Commission for registered social landlord inspections; disabled facilities grant; renewal of private sector housing; best value in housing; home selling; procurement efficiency and social housing; payments to local authorities in respect of Local Area Agreements; rent and leasehold services; national approved letting scheme; social housing mobility including choice-based local authority lettings; council tenant participation; housing transfers; procurement efficiency and social housing; regional housing boards advice; payments to Housing Action Trusts; the Supporting People programme; capital grants to local authorities for housing; Local Authority Social Housing Grant transitional compensation; payments to the Commission for Architecture and the Built Environment; payments to the Academy for Sustainable Communities; Housing Improvement Agencies; charges by Valuation Offices in respect of Right to Buy; refurbishment and acquisition of gypsy sites; deprived neighbourhoods, including the New Deal for Communities programmes; payments to the Urban Regeneration Agency; payments to the Department of Trade and Industry for Regional Development Agencies and the London Development Agency; Groundwork; initiatives to accelerate the growth areas, including payments to development corporations and other local delivery agencies; grants and payments for creating and improving parks and public spaces; co-ordinating strategy for dealing with abandoned vehicles; payments that derive from European Structural Funds Regulations (including ERDF match funding); exchange rate losses and other losses relating to European Regional Development Fund (ERDF) projects; coalfields regeneration; planning; the Planning Inspectorate; fire and rescue services, including grants paid to Chief Fire Officers' Association and measures to deal with the aftermath of terrorism; payments and loans to the Fire Service College (trading fund); fire service superannuation; fire service dispute(s); payments to Firebuy; mapping data and services; Ordnance Survey trading fund; regional assemblies, payments for the Mersey Basin Campaign; work on improving race, gender and faith equalities; payments to the Equal Opportunities Commission and the Commission for Racial Equality; costs associated with the setting up of the Commission for Equality and Human Rights; special grants paid under section 88B of the Local Government Finance Act 1988; special grants paid under Section 31 of the Local Government Act 2003; minor grants and payments in support of housing, planning, regeneration, liveability, urban design, building regulation, research, development, surveys; monitoring, statistics, advice and consultancies; initiatives to tackle areas of low demand housing; publicity, promotion and publications; communications; Special Grants Programme support to voluntary bodies; subscriptions and contributions to international organisations; co-ordination of cross-cutting issues including social exclusion; the residual functions of Property Services Agency (PSA); residual payments concerning the privatisation of the Building Research Establishment; payments and loans in connection with the Queen Elizabeth II Conference Centre trading fund; the Neighbourhood Renewal Unit; the Teenage Pregnancy Unit; the administration and operation of the Department; providing for the administration of the Government Offices; the purchase, acquisition, hire, lease and rent of land, buildings, plant, equipment, machinery, vehicles and capital assets; research; housing statistics, special payments; and associated non-cash items.

Section +/- change (£000s) Further comment to text above

¹A -7,142 To decrease resource provision to £146,920,000:

(Of which:

    Resource
    Capital
-8,292
1,150
by the net transfer of £800,000 Other Current provision and £10,753,000 Grant provision from Housing Supply and Demand (Section A) to non voted provisions; by increasing Other Current provision by £4,270,000 for Housing Supply and Demand (Section A) funded through a net transfer from Housing Supply and Demand (Support for Local Authorities) (Section L);
by the transfer of £200,000 Grant provision for Housing Supply and Demand (Section A) to Housing Supply and Demand (Support for Local Authorities) (Section L);
by the transfer of £75,000 Other Current provision for Housing Supply and Demand (Section A) to Decent Places to Live (Section B);
by the transfer of £290,000 Other Current provision for Housing Supply and Demand (Section A) to European Structural Fund (Section I);
by the transfer of £170,000 Other Current provision for Housing Supply and Demand (Section A) to Development of English Regions (Section E);
by the transfer of £274,000 Other Current provision for Housing Supply and Demand (Section A) to Development of English Regions—Support for Local Authorities (Section E);
by increasing the Grant Provision by £123,000 for Housing Supply and Demand (Section A) fully offset by receipts.
To increase capital provision to £5,794,000:
by the transfer of £1,150,000 capital provision to Housing Supply and Demand (Section A) from Housing Supply and Demand (Support for Local Authorities) (Section L).

¹B +2630 To increase resource provision to £44,194,000:

Of which:

    Resource
    Capital
+2,630
0
by increasing the grant provision by £2,255,000 and Other Current Provision by £300,000 for Decent Places to Live (Section B) by draw down from EYF;
by the transfer of £75,000 Other Current Provision from Housing Supply and Demand (Section A) to Decent Places to Live (Section B).

¹C +18,843 To increase resource provision to £92,987,000:

Of which:

    Resource
    Capital
+18,818
25
by the transfer of £5,551,000 Other Current provision from Tackling Disadvantage (Section C) to non voted provisions;
by the net transfer of £820,000 Grant provision from non voted provisions to Tackling Disadvantage (Section C);
by increasing the grant provision by £2,000,000 and Other Current provision by £16,317,000 for Tackling Disadvantage (Section C) by a net transfer from Tackling Disadvantage (support for Local Authorities) (Section N);
by increasing the Grant provision by £3,500,000 for Tackling Disadvantage (Section C) by a transfer from Housing Supply and Demand (Support for Local Authorities) (Section L);

by increasing Other Current provision by £31,732,000 for Tackling Disadvantage (Section C) in respect of Machinery of Government changes in May 2006; by increasing receipts by £30,000,000 for Tackling Disadvantage (Section C) fully offset by an increase in provision for Tackling Disadvantage (Support for Local Authorities) (Section N).
To increase capital provision to £25,000:
in respect of Machinery of Government changes in May 2006.

¹D +90 To decrease resource provision to £106,304,000:

Of which:

    Resource
    Capital
-1,140
1,230
by the net transfer of £1,140,000 Other current provision for Better Services (Section D) to non voted provision (£240,000) and the Request for Resources 2 (£900,000).
To increase capital provision to £16,840,000:
by increasing the Other current provision by £1,230,000 for Better Services (Section D) funded through a transfer from Non-Voted Fire Services.

¹E +59,584 To increase resource provision to £1,329,666:

Of which:

    Resource
    Capital
+59,584 by increasing the Grant provision by £59,310,000 for Development of English Regions (Section E) funded through a draw down of End of Year Flexibility;
by a transfer of £274,000 from Housing Supply and Demand (Section A) to Development of English Regions (Section E).

¹F +17,776 To increase resource provision to £214,957,000:

Of which:

    Resource:
    Capital:
+17,134
+642
by a transfer of £1,160,000 from Central Administration (Section F) to the Deputy Prime Minister's Office to reflect Machinery of Government Changes;
by a transfer of £7,147,000 to the Central Administration (Section F) from the Home Office to reflect Machinery of Government Changes;
by a transfer of £3,036,000 to the Central Administration (Section F) from the Department of Trade and Industry to reflect Machinery of Government Changes;
by a transfer of £120,000 to the Central Administration (Section F) from the Department for Culture, Media and Sport in respect to Minister for Women;
by a transfer of £338,000 from Central Administration (Section F) to the Cabinet Office;
by a transfer of £11,072,000 from Central Administration (Section F) to Government Offices;
by increasing the Administration provision by £12,677,000 for Central Administration (Section F) by draw down of End of Year Flexibility; by increasing the Other Current provision by £6,500,000 for Central Administration (Section F) by draw down of End of Year Flexibility;
by increasing the Administration provision by £224,000 for Central Administration (Section F) funded through a transfer by the Cabinet Office;
by increasing the Other Current provision by £8,696,000 for Central Administration (Section F) fully offset by an increase in receipts.
To increase the capital provision to £21,706,000:
by increasing the Other Current provision by £3,000,000 for Central Administration (Section F) by draw down of End of Year Flexibility;
by the transfer of £2,358,000 capital provision from Central Administration (Section F) to Government Offices.

¹G +23,811 To increase resource provision to £123,023,000:

Of which:

    Resource:
    Capital
+21,453
2,358
by increasing the Administration provision by £7,389,000 for Government Office Administration (Section G) fully offset by an increase in receipts;
by the transfer of £11,072,000 to Government Office Administration (Section G) from Central Administration (Section F);
by the transfer of £3,000,000 Administration provision to Government Office Administration (Section G) from the Department for Education and Skills;
by the transfer of £7,051,000 Administration provision to Government Office Administration (Section G) from Department for Environment Food and Rural Affairs;
by the transfer of £1,257,000 Administration provision to Government Office Administration (Section G) from Department for Trade and Industry;
by the transfer of £66,000 Administration provision to Government Office Administration (Section G) from Department for Culture, Media and Sport;
by a transfer of £993,000 from Government Office Administration (Section G) in respect of efficiency savings required by SR04.

To increase the capital provision to £5,218,000:
by the transfer of £2,358,000 to Government Office Administration (Section G) from Central Administration (Section F).

¹H +0 There is no change to the resource provision:

Of which:

    Resource: 0

    Capital 0

¹I +6,252 To increase resource provision to £7,974,000:

Of which:

    Resource:
    Capital
+5,972
+280
by increasing the Other current provision by £682,000 for the European Structural Fund (Section I) by a draw down of End of Year Flexibility;
by transfer of Other Current provision by £5,000,000 to European Structural Fund (Section I) from non voted provision;
by transfer of Other Current provision by £290,000 to European Structural Fund (Section I) from Housing Supply and Demand (Section A).

To increase the capital provision to £280,000:
by increasing the Other current provision by £280,000 for the European Structural Fund (Section I) by a draw down of End of Year Flexibility.

¹J +0 There is no change to the resource provision:

Of which:

    Resource:
    Capital
0
0

¹K +117 To increase resource provision to £1,292,000:

Of which:

    Resource:
    Capital
+117
0
by increasing the Other current provision by £117,000 for the Queen Elizabeth II Conference Centre Executive Agency by a draw down of End of Year Flexibility.

¹L +320,404 To increase resource provision to £961,303,000:

Of which:

    Resource:
    Capital
+320,404
0
by increasing the Grant provision by £35,118,000 for Housing Supply and Demand (Support for Local Authorities) (Section L) by draw down of End of Year Flexibility (£1,618,000) and draw down from Central Reserve (£33,500,000) for the Housing Market Renewal Fund;
by the net transfer of £294,966,000 Grant provision to Housing Supply and Demand (Support for Local Authorities) (Section L) from non voted provisions;
by the net transfer of £6,180,000 Grant provision from Housing Supply and Demand (Support for Local Authorities) (Section L) to Housing Supply and Demand (Section A);
by the transfer of £3,500,000 Grant provision from Housing Supply and Demand (Support for Local Authorities) (Section L) to Tackling Disadvantage (Section C).

¹M +745 To increase resource provision to (£131,425,000):

Of which:

    Resource
    Capital
+745
0
by increasing the Grant provision by £745,000 for Decent Places to Live (Section M) by draw down of Invest to Save Budget for Private Housing Renewal.

¹N -88,164 To decrease resource provision to £2,260,343,000:

Of which:

    Resource
    Capital
-88,164
0
by increasing the grant provision by £6,332,000 for Tackling Disadvantage (Support for Local Authorities) (Section N) by draw down of End of Year Flexibility;
by the net transfer of £1,400,000 for Tackling Disadvantage (Support for Local Authorities) (Section N) to non voted provisions:
by the net transfer of £30,566,000 from Tackling Disadvantage (support for Local Authorities) (Section N) to Tackling Disadvantage (Section C);
by a transfer of £62,530,000 for Tackling Disadvantage (Support for Local Authorities) (Section N) to Local Area Agreements (Section Z).

¹O +330 To increase resource provision to £44,136,000:

Of which:

    Resource
    Capital
+330
0
by increasing the Grant provision by £330,000 for Better Services (Support for Local Authorities) (Section O) funded through the draw down of End of Year Flexibility.

¹P +5,721 To increase resource provision to £ 290,942:

Of which:

    Resource
    Capital
+5,721
0
by increasing the grant provision by £5,000,000 for Development of English Regions (Support to Local Authorities) (Section P) funded through a transfer from the non voted Departmental Unallocated Provision;
by increasing the grant provision by £170,000 for Development of English Regions (Support to Local Authorities) (Section P) funded through a transfer from the Housing Supply and Demand (Section A);
by increasing the grant provision by £551,000 for Development of English Regions (Support to Local Authorities) (Section P) by a draw down of End of Year Flexibility.

¹Q 0 There is no change to the resource provision:

Of which:

    Resource
    Capital
0
0

¹R -47,702 To decrease the resource provision to £659,819,000:

Of which:

    Resource
    Capital
-47,702
0
by decreasing the grant provision by £47,702,000 for Decent Places to Live (Support for Local Authorities) (Section R) in respect of the Housing Revenue Accounts forecast.

¹S 0 There is no change to resource provision:

Of which:
    Resource
    Capital
0
0

¹T 0 There is no change to resource provision:

Of which:
    Resource
    Capital
0
0

¹U +439,149 To increase the resource provision to £2,479,974,000:

Of which:

    Resource
    Capital
+439,149
0
by increasing the net grant-in-aid provision by £311,411,000 for Housing Supply and Demand (Section U) for Housing Corporation provision;
by increasing the net grant-in-aid provision by £81,025,000 for Housing Supply and Demand (Section U) for Thames Gateway provision;
by increasing the net grant-in-aid provision by £16,253,000 for Housing Supply and Demand (Section U) for Other Growth Areas provision;
by increasing the net grant-in-aid provision by £29,500,000 for Housing Supply and Demand (Section U) for English Partnerships provision;
by increasing the grant-in-aid provision by £960,000 for Housing Supply and Demand (Section U) for the LEASE programme provision.

¹V +240 To increase the resource provision to £2,040,000:

Of which:

    Resource
    Capital
+240
0
by increasing the grant-in-aid provision by £240,000 for the Better Services (Section V) to adjust FireBuy provision.

¹W 0 There is no change to the resource provision:

Of which:

    Resource
    Capital
0
0

¹X +27,980 To increase the resource provision to £27,980,000:

Of which:

    Resource
    Capital
+27,980
0
by increasing the grant -in-aid by £27,980,000 for non budget Tackling Disadvantage (Section X).

¹Y -413,067 To decrease the resource provision to (£413,067,000):

Of which:

    Resource
    Capital
-413,067
0
by increasing receipts of £413,067,000 for Local Area Agreements (Section Y) fully offset by provision in Local Area Agreements (Section Z).

¹Z +523,296 To increase the resource provision to £523,296,000:

Of which:

    Resource
    Capital
+523,296
0
by increasing the Grant provision by £523,296,000 for Local Area Agreement (Section Z).

RFR2: PROVIDING FOR EFFECTIVE DEVOLVED DECISION MAKING WITHIN A NATIONAL FRAMEWORK

  Payments to the Valuation Office Agency for rating and valuation services; payments to the Audit Commission for Best Value inspections; revenue support grant and redistributed non-domestic rates to receiving authorities in England; repayments of excess contributions made by local authorities in respect of non-domestic rates in 2004-05 and previous years; preparation for the Greater London Authority and related bodies; Greater London Authority (GLA) general grant; intervention action and capacity building in local authorities; local Public Service Agreement (PSA) performance fund payments; special grants paid under section 88B of the Local Government Finance Act 1988 and section 31 of the Local Government Act 2003; Best Value grants to Parish Councils; grants to beacon councils; emergency financial assistance to local authorities; payments to bodies specified by the Secretary of State under section 78 of the Local Government Finance Act 1988, as amended, and to the Commission for Local Administration in England; mapping and other costs associated with local government reviews and revisions to administrative and electoral boundaries following Parish and Electoral Commission reviews; grant-in-aid to the Standards Board for England and to Valuation Tribunal Service; payments in respect of the work of the Parliamentary Boundary commissions; electoral functions in the United Kingdom; payments in respect of the capital element of contracts let under the private finance initiative; research, development, surveys, monitoring, statistics, advice and consultancies; publicity, promotion and publications; special payments; subscriptions to the Commonwealth Local Government forum; and associated non-cash items.

Section +/- change (£000s) Further comment to text above

²A -2,371 To decrease resource provision to £167,450,000:

Of which:

    Resource
    Capital
-2,371
0
by the transfer of £2,371,000 Other current provision from Valuation Services (Section A) to non voted provision for Standard Boards.

²B +4,771 To increase resource provision to £27,491,000:

Of which:

    Resource
    Capital
+4,771
0
by the transfer of £1,500,000 Other Current provision to Best Value Inspection (Section A) from RFR1(Fire Services);
by the transfer of £3,271,000 Other Current provision to Best Value Inspection (Section B) from Other Grants and Payments (Section H).

²C +828 To increase resource provision to £4,267,000:

Of which:

    Resource
    Capital
+828
0
by increasing the Other current provision by £519,000 for Local Government research and publicity, Mapping and Electoral costs (Section C) by draw down of End of Year Flexibility;
by the net transfer of £56,000 Other current provision from Local Government research and Publicity, Mapping and Electoral Costs (Section C) to Other Grants and Payments (resource grants) (Section H);
by the transfer of £365,000 Other current provision to Local Government research and publicity, Mapping costs and Electoral law (Section C) from Local Governance (Section D).

²D -614 To decrease resource provision to £11,000:

Of which:

    Resource
    Capital
-614
0
by a transfer of £30,000 Other Current provision to Other Grants and Payments (Section H) from Local Governance (Section D);
by a transfer of £365,000 Other Current provision to Local Government research and Publicity, Mapping and Electoral Costs (Section C) from Local Governance (Section D);
by a transfer of £219,000 Other Current provision from Local Governance (Section D) to non voted provision.

²E +35,000 To increase resource provision to £3,912,866:

Of which:

    Resource
    Capital
+35,000
0
by increasing the Grant provision by £35,000,000 for Revenue Support Grants (Section E) funded through draw down of End of Year Flexibility.

²F 0 There is no change to the resource provision:

Of which:

    Resource
    Capital
0
0

²G 0 There is no change to the resource provision:

Of which:

    Resource
    Capital
0
0

²H +20,517 To increase resource provision to £1,039,550,000:

Of which:

    Resource
    Capital
+20,517
0
by increasing the Grant provision by £24,634,000 for Other Grants and Payments (resource grants) (Section H) by draw down of End of Year Flexibility;
by a transfer of £30,000 Other Current provision from Local Governance (Section D) to Other Grants and Payments (Section H);
by the transfer of £3,271,000 Other Current provision to Best Value Inspection (Section A) from Other Grants and Payments (Section H);
by the net transfer of £56,000 Other current provision from Local Government research and Publicity, Mapping and Electoral Costs (Section C) to Other Grants and Payments (resource grants) (Section H);
by increasing the Other current provision by £1,602,000 for Other Grants and Payments (resource grants) (Section H) by a draw down from Invest to Save budget (ISB);
by the transfer of £1,934,000 Other current provision for Other Grants and Payments (resource grants) (Section H) to non voted provision;
by a transfer of £600,000 Other current provision for Other Grants and Payments (resource grants) (Section H to Request for Resources 1 (Fire Services).

I +408 To increase resource provision to £1,128,000:

Of which:

    Resource
    Capital
+408
0
by increasing the Grant provision by £408,000 for Non-domestic Rates Outturn Adjustments and LABGIS (Section I).

J +161 To increase resource provision to £21,704,000:

Of which:

    Resource
    Capital
+161
0
by increasing the grant in aid provision by £161,000 for Non-departmental public bodies (Section J).



© Parliamentary copyright 2007	Prepared 19 March 2007