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Dept for Environment Food and Rural Affairs

Answer

Mr. Gareth R. Thomas: To ask the Secretary of State for Environment, Food and Rural Affairs what plans there are to change the Office of Water Services departmental expenditure limit and administration costs limit for 2001-02. [36857] Margaret Beckett: The Ofwat DEL will be reduced by £2,000 from £35,000 to £33,000 and the administration costs limits will be decreased by £302,000 from £11,846,000 to £11,544,000. With the DEL change, the impact on resources and capital are as set out in the following table: _________________________________________________________________________________________________. Resources Capital Change -302 300 New DEL -567 600 Of which: Voted -567 600 Non-voted {1}-- {1}-- _________________________________________________________________________________________________. {1} Not applicable The £302,000 reduction in the resource element of the DEL arises from the transfer of £2,000 resources to the Cabinet Office for the fast stream recruitment and a transfer to a capital of £300,000. The increase of £300,000 in the capital element of the DEL arises from an investment in the development financial model for the periodic review. This will be used in the next review of prices and will be shared with the industry. There has been a change in accounting policy for OFWAT treatment of VAT. The previous accounting policy meant that VAT was Cfered. The new accounting policy is that the Department now accounts, net of VAT. This has no impact on the DEL.There will be a reduction in consolidated fund extra receipts of £135,000.

Secondary information

Type

Written question

Reference

36857; 380 c509-10W;380 c512W

Session

2001-02

Subjects

Expenditure Ofwat Cash limits Operating costs Departmental expenditure limits

Contains statistics

Yes

Link

View this Written question on www.publications.parliament.uk