MEMORANDUM THE SCOTTISH AFFAIRS COMMITTEE

 

This memorandum provides information in relation to the Winter Supplementary Estimate for the Scotland Office. The provision for the Scotland Office (including the Grant to the Scottish Executive) is carried as a separate Request for Resources on the Main Estimates for the Ministry of Justice.

 

Scotland Office______________________________________________________________

 

Supplementary Expenditure Details

 

In the Supplementary, the DEL provision for the administration of the Scotland Office (which is ring fenced within the overall Ministry of Justice (MoJ) DEL) will be increased by £56,000 from £6,599,000 to £6,655,000, to take account of the transfer from the Scottish Executive to cover a change in their IT PC recharging policy.

 

Also included in the Supplementary, the Scotland DEL (net of depreciation & impairments) will be increased by £786,601,000 from £26,270,801,000 to £27,057,409,000. This includes:

 

1. Take up of EYF by the Scottish Executive of £655,000,000; and

 

2. £155,991,000 in reserve claims and transfers as follows.

 

· A transfer of £25,947,000 from the Department for Transport for rail services in Scotland;

 

· A transfer of £130,100,000 due to a classification change in respect of the funding of Scottish Water Cost of Capital; and

 

· A transfer of £56,000 to the Scotland Office for IT PC Recharge.

 

CHANGES TO THE AME

 

1. Additional provision of £1,139,000 for Student Loans;

 

2. Additional provision of £172,998,000 for NHS Pensions (Scotland);

 

3. Additional provision of £41,095,000 for Teachers Pensions (Scotland);

 

4. Reduction in provision of £16,503,000 for Roads Capital Charges; and

 

5. Reduction in provision of £100,000 for Central Government subsidy to local authority housing.

 

CHANGES TO NON BUDGET

 

1. An increase in receipts of £318,529,000 in respect of NI contributions.

 

There is an increase in the grant payable to the Scottish Consolidated Fund of £331,883,000.

 

A reconciliation table is attached at Annex A; this reconciles the spending of the Scottish Executive with the grant payable to the Scottish Consolidated Fund.

 

David Middleton

Accounting Officer

7 November 2007

 

ANNEX A

GRANT PAYABLE TO THE SCOTTISH CONSOLIDATED FUND
	Position at Main		Winter Supplementary		Position following
£ million	Estimate		Changes		Winter Supplementary
Expenditure Classified as DEL[1]	26,627.863		810.991		27,438.854
Transfers
add:
Take up of EYF			655.000
Transfer from DfT			25.947
Transfer to SO			-0.056
Classification change iro funding for Scottish Water cost of capital			130.100
Expenditure Classified as AME	3,488.991		198.629		3,687.620
Add:
Decrease in Student Loans			1.139
Decrease in CG Subsidy to LA Housing			-0.100
Increase in NHS Pensions (Scotland)			172.998
Increase in Teachers Pensions (Scotland)			41.095
Roads Capital Charges			-16.503
Non Domestic Rates Income	1,859.727		0.000		1,859.727
Total Managed Expenditure	31,976.581		1,009.620		32,986.201
add:
Repayments of principle of existing (pre 1 April 1999) debt to National Loans Fund	10.000		0.000		10.000
Police Loan Charges	14.708		0.000		14.708
Housing Stock Transfers	0.000		0.000		0.000
	24.708		0.000		24.708
less:
Supported Borrowing by Local Authorities	305.156		0.000		305.156
Non Domestic Rates Income	1,859.727		0.000		1,859.727
National Insurance Fund Payments towards Scottish National Health Service	1,405.546		318.529		1,724.075
Non Voted expenditure	11.500		0.000		11.500
	3,581.929		318.529		3,900.458
Cash to accruals adjustments
depreciation	337.055		24.390		361.445
cost of capital	867.997		109.212		977.209
Impairments	20.000		0.000		20.000
Resource to cash adjustments for NHS and Teachers Pensions	2,561.445		190.876		2,752.321
Other Cash to Accrual Adjustments	19.470		34.730		54.200
	3,805.967		359.208		4,165.175
Grant payable to Scottish Consolidated Fund	24,613.393		331.883		24,945.276

 

 

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[1] The figures are gross and therefore include depreciation and impairments