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16/04

23 February 2004

SPRING SUPPLEMENTARY ESTIMATES 2003-04

The Spring Supplementary Estimates, presented to the House of Commons today, seek £27,049 million in resources and £9,769 million in cash. The Estimates seek increased resources and cash for existing services and Parliamentary authority, with necessary funding, for certain new services.

These Estimates do not involve any change in total spending plans.  £11 billion is the result of prior period accounting adjustments for pensions liabilities. These are non-cash items relating to new accounting standards and do not increase public expenditure totals.  A further £4.6 billion relates to other increases in resources that do not affect public expenditure.  Any budget increases sought by departments have either been offset by savings elsewhere in departmental programmes, charged to the Departmental Expenditure Limits (DEL) Reserves or represent shifts against the Annually Managed Expenditure (AME) Margin. Since the Reserves and the Margin are part of Total Managed Expenditure, the planned total of public expenditure remains unchanged.

Within the overall increase noted there is a charge to the DEL Reserves of £3.76bn (£3.05bn resource DEL and £0.7bn capital DEL), of which £2.55bn (£2bn resource and £0.55bn capital) relates to take up of End Year Flexibility entitlements, and an increase of £6.79bn in the departmental programmes within AME.

Media enquiries should be addressed to HMT press office on 0207 270 5238

Spring supplementary estimates 2003-04

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