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The changes in the Spring Supplementary Estimate 2007-08 compared to the Winter Supplementary Estimate 2007-08 are due to: drawdown on the reserve for V matched funding, take-up of resource DEL end-year flexibility to cover grants in the Office of the Third Sector, budgetary cover transfer to Department of Health to cover costs of the Office of the Parliamentary Counsel, reclassification of expenditure from administration to programme within RDEL, transfer of non cash to near cash within RDEL, a transfer from non cash RDEL to capital DEL, a transfer of non voted transfer from RDEL to non voted CDEL in respect of Executive NDPB (ENDPB), an increase in non operating appropriations in aid in CDEL reflecting a disposal of a fixed asset.

Changes in Resource DEL (RDEL)

£1,584,000 increase in the resource element of DEL arises from:

Drawdown on the Reserve

Drawdown for V matched funding for the Office of the Third Sector to cover grant expenditure increases RDEL and net cash requirement in the estimate by £4,729,000.

End-Year Flexibility (EYF)

Take-up of EYF to cover grants expenditure for necessary Third Sector projects increases grant expenditure in RDEL and net cash requirement by £3,300,000.

Outward budgetary cover transfer

A budgetary cover transfer to Departmental of Health to cover the costs of the Office of the Parliamentary Counsel (OPC) reduces RDEL and net cash requirement in the estimate by £370,000.

Transfers between budgets

A transfer from non cash administration to capital DEL to fund capital investment in IT projects including the Government Gateway Strategic Support Programme reduces RDEL by £6,000,000 and no change to net cash requirement.

A non-voted transfer of £75,000 from RDEL to CDEL to finance capital expenditure of ENDPB.

Change in Administration Budget (RDEL)

£50,370,000 decrease in the administration budget arises from:

£370,000 transfer to Departmental of Health;

£6,000,000 transfer from administration within non cash RDEL to capital DEL;

£10,500,000 reallocation from administration to programme within non cash; and

£33,500,000 reallocation from administration to programme within near cash DEL.

Change in Near Cash in RDEL

£16,848,000 increase in near cash in RDEL arises from:

£3,300,000 take-up of end-year flexibility;

£4,729,000 drawdown from the reserve;

£10,000,000 conversion from non cash to near cash;

£370,000 budgetary transfer to Departmental of Health;

£75,000 transfer of non voted to capital DEL;

£14,000 change in notional audit fee; and

£750,000 change in provisions

Changes in Capital DEL (CDEL)

£6,072,000 increase in the capital element of DEL arises from:

A transfer of £6,000,000 from non cash administration to capital DEL to fund additional pressures which have arisen within the department which relates to IT projects including the Government Gateway Strategic Support Programme.

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Sale proceeds from the disposal of a minibus has increased non-operating appropriations in aid by £3,000 and reduced net cash requirement in the by the same amount.

A non-voted transfer of £75,000 from RDEL to CDEL to finance the capital expenditure of ENDPB.

Change in Depreciation

£19,721,000 decrease in depreciation arises from:

£10,000,000 conversion from non cash to near cash;

£6,000,000 conversion from non cash to capital DEL; and

£3,721,000 transfer to cost of capital.

Charity Commission: DEL

Lord Davies of Oldham: My honourable friend the Parliamentary Secretary at the Cabinet Office (Phil Hope) has made the following Written Ministerial Statement.

Plans to change the Charity Commission’s departmental expenditure limit (DEL) and administration budget for 2007-08.

Subject to parliamentary approval of any necessary Supplementary Estimate, the Charity Commission total DEL will be increased by £2,800,000 from £31,993,000 to £34,793,000. Within the total DEL change, the impact on resources and capital is as set out in the following table:

Departmental Expenditure Limits and Administration Budget
	Change		New DEL		£’000
	Voted	Non- voted	Voted	Non- voted	Total
Resource DEL of which*	2,600	0	34,343	0	34,343
Administration budget	2,600	0	34,343	0	34,343
Near cash in RDEL	-	0	30,732		30,732
Capital DEL**	200	0	1,100	0	1,100
Depreciation***	-	0	-650	0	-650
Total	2,800	0	34,793	0	34,793

* The total of “Administration budget” and “Near cash in Resource DEL” may be greater than total resource DEL due to the definitions overlapping.

** Capital DEL includes items treated as resource in estimates and accounts but which are treated as capital DEL in budgets.

*** Depreciation, which forms part of resource DEL, is excluded from 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 and in the administration budget arises from the take-up of £2.6 million from the Modernisation Fund (out of a total £3 million agreed in the CSR 07 settlement). This funding will be used to pay for staff severances consequent upon the Commission’s reprioritisation and restructuring exercise, which will enable the Commission to meet the CSR settlement through to 2010-11.

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The change in the capital element of the DEL reflects take up of £200,000 from prior years’ EYF to fund the completion of capital projects to enhance the effectiveness of IT systems and increase the availability of online services.

The Supplementary Estimate also details changes in operating appropriations in aid, fully offset by changes in spending and not impacting on the Commission’s departmental expenditure limit:

project funding of £50,000 by the Foreign and Commonwealth Office for the continuation of the International Outreach project; and

£50,000 additional accommodation charges funded by the sub-letting of a floor at the Commission’s London office building.

Department for Business, Enterprise and Regulatory Reform: DEL

The Minister of State, Foreign and Commonwealth Office & Department for Business, Enterprise and Regulatory Reform (Lord Jones of Birmingham): My right honourable friend the Secretary of State for Business, Enterprise and Regulatory Reform (John Hutton) has made the following Written Ministerial Statement.

Spring Supplementary Estimates 2007-08

Expenditure Limits

Subject to parliamentary approval of the necessary supplementary estimate, the Department for Business, Enterprise and Regulatory Reform’s DEL will be increased by £584,491,000 from £3,396,817,000 to £3,981,308,000 and the administration budget will be increased by £174,122,000 from £326,709,000 to £500,831,000.

Within the DEL change, the impact on resources and capital is as set out in the following table:

	Change		New DEL
	Voted	Non- voted	Voted	Non- voted	Total
Resource (£000)	201,746	356,373	-443,681	3,230,940	2,787,259
of which:
Administration budget*	174,122		500,831		500,831
Near cash in Resource DEL*	6,905	356,373	-791,704	3,286,885	2,495,181
Capital (000)	-59,892	86,264	-758,716	1,952,765	1,194,049
Less Depreciation* (£000)			-38,275	-9,129	-47,404
Total (£000)	141,854	442,637	-1,240,672	5,174,576	3,933,904

* The total of the “Administration Budget”’ and “Near-cash in Resource DEL” figures may well be greater than total resource DEL, due to the definitions overlapping.

* Capital DEL includes items treated as resource in Estimates and accounts but which are treated as capital DEL in budgets.

* 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.

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