- Department for. Communities and Local Government. 2.Z February 2016

Transcription

1 - Department for Communities and Local Government Clive Betts MP Chairman, Communities and Local Government Select Committee House of Commons London SW1AOAA The Rt Hon Greg Clark MP Secretary of Stal,: for Communities and Local Government Department for Communities and Local Government 4 1 " Floor, Fry Building 2 Marsham Street London SW1 P 4DF Tel: PSGregClark@communities.gsi.qov.uk 2.Z February 2016 Supplementary Estimate Explanatory Memorandum Please find attached the Explanatory Memorandum from the Department for Communities and Local Government in relation to the Supplementary Estimate My department would of course be happy to answer any questions you may have about the Estimate. THE RT HON GREG CLARK MP

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3 Department for Communities and Local Government EXPLANATORY MEMORANDUM Supplementary Estimate 2015/16 Introduction 1. The Supplementary Estimate 2015/16 seeks the necessary changes to resources and cash to support the functions of both the Department for Communities and Local Government's main programmes (DCLG) and the Department's Local Government programmes. 2. The purpose of this memorandum is to provide the Select Committee with an explanation of how the resources and cash sought in the Supplementary Estimate will be applied to achieve the Department's objectives. Strategic Overview 3. The Department for Communities and Local Government is responsible for delivering the Government's priorities on housing, devolution and transforming local government and public services. The strategic objectives for the Department in this Parliament are: 1. Driving up housing supply 2. Increasing home ownership 3. Devolving powers and budgets to boost local growth in England 4. Supporting strong communities with excellent public services 4. In the last Parliament the Department demonstrated good progress in delivering for families and communities. For example the Troubled Families programme turned around 116,654 families with multiple, complex problems (as at May 2015) and Government schemes have helped nearly 270,000 people into home ownership between 2010 and Strategic Objective 1: Driving up housing supply 5. There were over 170,000 net additions to the housing stock in England in an increase of 25 per cent over the previous year, and the largest annual percentage rise for almost three decades 1. There is still more to do, and the significant additional investment announced in the Spending Review on 25 November will help deliver a further one million new homes by Strategic Objective 2: Increasing home ownership 6. Nearly 270,000 people have been helped into home ownership through Government schemes between 2010 and The Spending Review confirmed additional funding for home ownership programmes which will allow us to extend our support for hard-working people who aspire to own their own home. 1 Net additions track changes in the size of dwelling stock due to new builds, conversions (e.g. a house to a number of flats), change of use (e.g. a residential house to an office), other gains/losses and demolitions. Net additions : a-quarter 2 Right to Buy (53,781), Help to Buy equity loan sales (62,569), Help to Buy mortgage guarantee sales (65,920), NewBuy sales (5,703) and affordable home ownership sales (67,721). 1

4 Strategic Objective 3: Devolving powers and budgets to boost local growth in England 7. In the Spending Review the Government reaffirmed its commitment to the "devolution revolution". Specific commitments made at the Spending Review include: further funding to bring the total size of the Local Growth Fund to 12 billion; continued investment in business-led Local Enterprise Partnerships to support their work driving growth and productivity in their areas; a commitment to create a 400 million Northern Powerhouse Investment Fund; and, 26 new Enterprise Zones across the country, more than doubling the number in the Northern Powerhouse from nine to In addition to these commitments,.the Cities and Local Government Devolution Bill (introduced in May) takes forward a number of reforms to facilitate the devolution of powers and budgets currently held by Whitehall, such as housing, policing, transport and social care to large cities which choose to have elected mayors, towns and rural areas. 9. The joint Cities and Local Growth Unit won the Supporting Growth and Productivity Award at!he Civil Service Awards in November. Strategic Objective 4: Supporting strong communities with excellent public services. 10. The Spending Review confirmed the Government's commitment to this objective through funding for the Troubled Families programme, Domestic Violence interventions, homelessness and projects to strengthen communities. Key Budget Changes 11. The Supplementary Estimate allows the Department to make budget changes to the 2015/16 budget under the following categories: Surrenders A surrender is where money ne longer required in 2015/16 is returned to HM Treasury. BudgetExchange A Budget Exchange transfers budget from 2015/16 to 2016/17. Reserve claims An element of DCLG budget is held back by HM Treasury as a Reserve which can only be accessed through the Supplementary Estimates after agreement from the Chief Secretary to the Treasury. Machinery of Government and Budget Cover Transfers Machinery of Government is where a programme or team moves from one Department to another. There should be no impact on our budget position. A Budget Cover Transfer is where cash is transferred from one Department to another to fund (or contribute lo) a programme. 12. The Department has surrendered 1,040m of budget in 2015/16 ( 1,000m of Financial Transactions, 35m of non-financial Transactions Capital DEL and 5m of Resource DEL). Budgets for these programmes for future years were secured as part of the Spending Review and this has no impact on overall programme delivery. For further detail please see Annex A and B. 13. The Department has completed the following Budget Exchanges: Budget Exchange to support delivery of key government programmes, including Troubled Families - ( 60m): The Troubled Families programme needs to be re-profiled into 2016/17. The department held back part of the original programme in case the programme was not 2

5 renewed in the Spending Review. This would have allowed the department to make tail end commitments at the end of the initial programme. This funding will allow us to meet the programme's overall delivery targets of supporting 400,000 families. Affordable Homes Programme ( 186m): We need to provide cover for existing Affordable Housing financial commitments in 2016/17. This results from providers reviewing their business plans and re-profiling their delivery plans over the programme period. It does not affect overall programme delivery. This programme is demand-led, and is dependent on the capacity of housing associations to continue building at current forecast levels. Single Land Programme ( 50m): We have rolled additional land receipts into 2016/17 to mitigate potential income risk in the housing market. This is consistent with our approach in previous years, and enables the Department to re-invest in the Land programme. Land receipts are forecast to achieve 50m more than the 2015/16 Main Estimate budget. The majority of Financial Transactions re-profiles were completed through the Spending Review process, which is reflected in the large budget surrenders. Since the SR was completed, there have been a few marginal changes, the most significant of these is the Manchester Housing Investment programme ( 33m), where new management information has been received from the Greater Manchester Combined Authority indicating that spend has been delayed into 2016/17. Regional Growth Fund ( 105m): The Regional Growth Fund programme is run jointly between the Department and the Department for Business, Innovation and Skills. The Department has surrendered a total of 105m Capital DEL due to delays in the programme's delivery. HM Treasury have agreed with BIS that 35m of this funding will be made available in 2016/17 if required to fund projects that have slipped. Additional Resource DEL budget of 30.Bm has been allocated to support RGF projects, 8.1 m funding from BIS. 14. The Department has agreed DCLG Reserve claims of 163 million. The Reserve claim is ring-fenced for Storm Desmond and Storm Eva flood recovery costs, and as contingency for any further flooding incidents, which the Department will be expected to meet. Local Government Reserve claims are discussed in Annex B. 15. There is one Machinery of Government change from Cabinet Office of 0.92m for the transfer of the Cities and Local Growth Team to DCLG. There are a number of Budget Cover Transfers both to and from other Government departments. A summary is attached as Annex E. 3

6 Summary Budget Changes 16. The tables below outline the overall changes in 2015/16 sought for Departmental Expenditure Limits (DEL), Annually Managed Expenditure (AME), non-budget and net cash requirement for both DCLG and local government budgets. DCLG Main - DEL Budgetary control m Present. Changes Revised Resource DEL Programme - Voted 2, ,255.2 Resource DEL Programme - Non Voted Resource DEL Administration Capital DEL 5,340-1,292 4,048 Resource AME Capital AME Local Government- DEL Budgetary control m Present Changes Revised Resource DEL 10, ,758.7 Resource AME 11, , Annex D contains a detailed breakdown of the budget changes described above. Annex A contains a detailed list of all budget changes by programme, and Annex B provides a description of programme movements in the Supplementary Estimate along with a description and explanation for E;lach. 18. The Resource DEL budget increase relates to the Government funding for the Storm Desmond and Storm Eva flooding, less the 60m Budget Exchange for the Troubled Families programme and the 5m surrender. The Department has acted as the responsible body for the recent flooding, coordinating the Government's response, and ensuring that funding reaches Local Authorities promptly. The Troubled Families programme has been re-profiled to match spend with need over the lifetime of the programme. 19. The Department's 2015 Mid-Year Report highlighted the Department's Capital DEL budget and the likely budget movements as part of the Supplementary Estimate. The Homes and Communities Agency has surrendered 597 million on Financial Transactions. These programmes are sensitive to changes in the wider lending market and this means that increased activity in the lending markets is likely to soften our expenditure forecasts. As part of the Spending Review money not spent this year has been re-profiled into future years. The Department's 2015 Mid-Year Report also discussed the Manchester and GLA programme reprofiles of million into This is to align budgets allocated to the projects current spend profile, and neither will affect overall programme delivery. 20. The key significant changes to local government's main budgets relate to: 268 million for Council Tax Freeze Grant expenditure 638 million for the Local Share and Business Rate Retention outturn adjustments in respect of

7 Net Cash Requirement Budgetary control Net Cash Requirement m Present Changes Revised 22, , The Department's revised Net Cash Requirement for 2015/16 is 21.3bn and includes contingency of 0.6bn to mitigate the risk of any unforeseen cash payments in 2015/16 Ambit 22. The full changes to the Department's Ambit are attached as Annex C. We have updated the Ambit to cover changes in the Department's scope, such as including reference to the Ebbsfleet Development Corporation, and expressing our responsibility for flooding more clearly. Approval of Memorandum 23. This Memorandum has been prepared in accordance with guidance in the Estimates Manual provided by HM Treasury and that found on the House of Commons website. This has been approved by the Department's Principal Accounting Officer, Melanie Dawes. Melanie Dawes Accounting Officer Permanent Secretary of Department for Communities and Local Government 5

8 Annex A - Summary Table of Programme Changes by Estimate Line DCLG DEL - Resource Changes Estimate Line OSCAR at Main Estimates Net Change Outturn Outturn Locallsm Fire Pro rammes Private Finance Initiative - Fire Local Support Services Grant Efficiency and Support for Local Government Community Rights, Integration and Bi Societ GLA Setllement Public Service Transformation Weekly Collection Support Scheme Valuation Office A enc Flooding Support I Bellwin UK Holocaust Memorial Foundation Local Authority Fraud Other Localism ~-.ftlj;i'f ;w,t; '''' ''l? -~ ~-'" Ei::~4,! t~1~/:_t,2-?.'.7i;f;~;. Housing and Planning New Homes Bonus 1, , Housing Strate Growing Places Fund 8.9 Housing Growth Transitional Fund Preventing Homelessness Private Housing Initiative - Housin Community Ri hi to Build Planning Inspectorate Admin Other Housing N Plannirlg Neighbourhoods De reciation

9 OSCAR at Main Estimates Net Change Estimate Line 2016/2016 Troubled Families Local Economies, Regeneration & European Regional Development A encies Regional Growth Fund Coalfields Regeneration Trust and Enter rise Fund INTERREG Olympics ERDF Coastal Communities Ex enditure Other (LEREP) Local Growth Fund & Cities Local Enterprise Partnershi s LEREP :iiliab Research, Data and Trading Funds Queen Elizabeth II Conference Centre ERDF Conlin enc Research and Data Research and Data De reciation i tihltltrl!1i-l~ 11,i!~iiff (3<\.4 DCLG Staff,Bulldlngs and Infrastructure Costs Departmental Unallocated Provision Administration DCLGOlher Central De recialion l'\lt.t~l!llil~!~~:z;l~j~ ~jl~l{fffl ~~~&~~ i'';1l'.' \~~i~j rk'f.,\k;id6@a'i1 fh;;f'hi~i~i ~,&~::z"o~i~" Departmental Unallocated Provision Housing and Planning (NDPB) Community Ri ht to Build HCA: Housing Strate Other (NDPB)

10 Estimate Line OSCAR at Main Estimates Net Change Ebbsfleet Outturn Outturn Outturn Outtu"rn Local Economies, Regeneration & European (NDPB) Localism NDPB Localism Other (NDPB) DCLG DEL - Capital Changes Estimate Line, OSCAR at main Estimates Net change Ou_tturn Outturn Outturn Fire Fire Capital Grant Community Rights, Integration and Big Society ' Localism UK Holocaust Memorial Foundation, Other Localism GLA Settlement s!lttw;:11t ~-9-~'i '5,-;:,,?/.. -se _i,, R'll,.-';, -~-"'. - fil'ff. d~.. " ;iii'i: _ 9..,2-,!fl!ffll:r."<... :48,6.;,; Housing and Planning Planning Disabled Facilities Grant Buildings for the Future

11 Estimate Line OSCAR at main Estimates Decent Homes (Local Authorities) Growing Places Fund Empty Homes: Clusters & Coi:nmunity Groups Manchester Housing Fund Right to Buy Planning Inspectorate Other Neighbourhoods Right to buy receipts Regional Development Agencies Coalfields Regeneration Trust and Enterprise Fund Local Economies, Regeneration & European Enterprise Zones Coastal Communities Expenditure Other Local Economies Olympics Coastal Community Teams Local Growth Fund & Cities Regional Growth Fund,,., a:liffllr ""' f$u: ~: _O I 14:ll'/}' ~ ~,,,'";: 3.0 1, ~ ta.~ , /.-...';,. ':.;r:,.::.4 ')'-" "'"ti:' lfj;ija.1; Mh ('~~: :~,.~J nil,~--- ;9h i~i~.4i~\fi,;.'i:;.i~,-i::;1_;;::~~,: 'i.\l'.654,8\ \is ;~~;f Research,Data & Trading Funds -\\O;-o : DCLG Staff, Buildings and Infrastructure Costs Capital Departmental 9

12 Estimate Line OSCAR at Net main change Estimates /16.. s, St~-C -~p -Iii.E'I -,_ffl_;;je,1~ l -~;f!hi 2016/ / /12 Outturn Outturn Outturn Outturn i Unallocated Provision Departmental Unallocated Provision HCA -Affordable Housing Programme, of which; Housing and Planning (NDPB) HCA - National Affordable Housing HCA: Local Aulhority Social Housing HCA - Mortgage Rescue HCA - Kickslart HCA - Affordable Homes HCA -Affordable Housing Guarantee HCA-Other HCA - Homelessness Change Programme HCA - Traveller Pitch Funding HCA - Empty Homes HCA- Renl lo Buy HCA - Custom Build HCA - Decent Homes HCA: Housing Market Renewal HCA - Get Britain Building HCA- Local Infrastructure Fund HCA- Help to Buy (including First Buy) HCA- Build to Rent HCA-Public Sector Land HCA- Builder's Finance Fund. HCA- Estate Regeneration HCA- Housing Zones HCA-City Deals , , , ,

13 Estimate Line Other Neighbourhoods (NDPB) West Northamptonshire Urban Development Corporation OSCAR at main Estimates Net change 2016/ Outturn Outturn Outturn Localism (NDPB) Localism (NDPB) Other HCA: Property & Local Regeneration Economies. Regeneration & European Other Local Economies (NDPB) (NDPB) Local Government DEL - Resource Changes Estimate Line OSCAR at Main Estimates Net Change ouuurn Outturn Outturn Outturn NNDR Payments NNDR Payments lf~$ ~1q)'f1!t}'*~-'.:::1_:{t'.,:j o.o 23, ,00 S0;i~19~'.~lO\ Revenue Support Grant 9, , , , , t~s11i,.1q)7z;,,ttV~i!:m~s, 1~:~t~0~t.; s;~(fst~ Other Grants and Payments Localising Council Tax New Burdens Localising Council Tax for Police Council Tax Freeze Grant PFI Joint Services Centres NNDR Collection Costs Business Rate Reliefs ,

14 Estimate Line OSCAR at Main Estimates 2015/16 Net Change 2015/ / / Outturn Outturn Outturn Outturn Emergency Financial Assistance to Local Authorities -0.1 New Homes Bonus Adjustment LG DEL Contingency I AS Business Rate Measures GLA Communities Right to Build Improvement, Transformation and Efficiency Elected Mayors London Governance Business Rate Retention Capitalisation Safety Net 5 il~~}t~,;};(t.9ji LG NDPB (net) Commission for Local Administralion En land Valuation Tribunal Service ii[l?itmiitj!lfti lirtfflffff!lll! 1@i@llllmittiillJ#l@ i i@ffliifnmt 1 DCLG & Local Government AME - Resource OSCAR at Net Main Change Estimate Line Estimates 2015/ / / / / / /12 Outturn Outturn Outturn Outturn Local Ism National Fire Policy Fire

15 Estimate Line OSCAR at Main Estimates Net Change Outturn Outturn :: /12 Outturn Outturn Housing and Planning HPG Communications HRAS - existing subsidy system Property Searches Litiaation Affordable Housing Guarantee NewBuy Planning f ic-~-;~i=ti: :ii~i~~~ ~~m&!~~ ~~~5;;;,;,,,;~1~:~ i:{ '~:-~ ;t:~ t,;; \,:ii;;,~ "{'' ;1;;~ S';i/16~'.~ DCLG Staff, Cenlral Buildings and Administration Infrastructure Costs Provisions c;it6~""!!1ffle!,~-o!!!ffi1J_i!llc UJ& l~:~~~\~~fl~i ~1;'~~74~ i:,,{f~!ii'): *j;;,~~~~~~; jj'y:~«i~! ': > ii'.2 i<!i\l:3" Research, Data ERDF write offs and and Trading losses F-un_d_s--- "-"'llmlllffi ~!llfflflif" Housing and Planning (NDPB) HCA: Affordable Homes Programme HCA Get Britain Buildin!l Olher Neighbourhood NPDBs HCA: Olher HCA: Help to Buy HCA: Single Land Proaramme EbbsHeet Development Corporation 's!ti1,,..,,, i~/'e,\~'itt~it;s.{\'.'.-: tf~iii i 6.31:2t 1 fl1~1~4ijf(fi i'.",~i"';#;';\s' ~~~ifwlfi'ii <, -: ( ::~4:5"; 1,'j '-';'}";, :.:,,:, -d76)2c( ;:,,;.. i-_,;":irg;.7.:: '.5 Local Economies, Regeneration & European (NDPB) HCA: Property & Reaeneration Thames Gateway: Thurrock Thames Gateway: London "' fol '",..., ' ' ,,,, t,~'.:bff'l.. o.o, b~fitttil:o--j 1;:-"'''X-' 1, : ftj}ft}~':6;~} 0::-t,~~ J~;i : s5::2 Localism (NDPB) The Valuation Tribunal Service The Commission for Local Administration in En11land Business Rates Retention Local Share , Local Government 13

16 Estimate Line (NDPB) Other Local Government NPDBs Standards Board OSCAR at Main Estimates 2015/16 Net Change 2016/ / /16 Outturn 2013/14 Outturn 2012/13 Outturn /12 Outturn -3.0 NNDR Outturns NNDR Outturn Adustments Business Rates S31 rants ~-; s DCLG & Local Government AME - Capital Estimate Line OSCARat Main. Estlm~\es. Net Change 2016/ / / / /14 Outturn 2012/13 Outturn 2011/12 Outturn Localism Fire Superannuation Housing and Planning Local Government (NDPB) 14

17 Annex B - Narrative of Programme Changes by Estimate Line DCLG Resource DEL Estimate Line - Localism Fire - There has been a 15m swap between Capital and Resource for Transformation funding. During the Supplementary Estimates 45m Capital was transferred from Local Government Finance to DCLG Del and the split for the fire transform_ation funding was 60m capital and 15m resource. The further Resource DEL decrease reflects surrenders as a result of efficiencies within the New Dimension programme. The New Dimension programme will see elements of the counter terrorism Urban Search and Rescue (USAR) capability training rationalised; however, this will not impact delivery. Further information can be found at: Community Rights, Integration and Big Society - There has been a decrease in budget of 11 m Resource DEL which reflects an internal structural change as Neighbourhood Planning has moved from Localism to Neighbourhoods. Public Service Transformation - Local Government DEL has transferred 11.6 million Resource DEL to support local public service transformation. Further information can be found at: Flooding Support I Bellwin - The Government is meeting its commitments to Local Authorities affected by Storm Desmond and Storm Eva to support the homes and businesses affected. An additional 244 million of Resource DEL funding has been identified for the costs of the flooding beyond the Department's Main Estimates 2015/16 budget. This funding is made up of contributions from the Department as well as from the Department for Business, Innovation and Skills, from the Department for Environment, Food & Rural Affairs, and additional funding form HM Treasury. 40m has been set aside for the remainder of 2015/16 as a contingency for initial payments in the event of further flooding. Estimate Line - Housing and Planning Private Housing Initiative, Housing - 6.8m decrease in Resource DEL Finding mainly attributable to a technical PFI adjustment. Estimate Line - Troubled Families Troubled Families /16 is the first year of the expanded Troubled Families programme that will reach up to an additional 400,000 troubled families. Building on the success of the current programme, it will reach families with a broader range of problems - including families with younger children, affected by domestic violence and abuse and where mental and physical health problems are prevalent. As discussed in the main report, 60m has been transferred from 2015/16 to 2016/17. Further information on the expanded programme can be found at: 15

18 Estimate Line - Local Economies, Regeneration & European Coastal Communities - The Coastal Communities Fund (CCF) is funded from the Reserve due to the link to the Crown Estate marine reviews two years prior. In 2015/16, funding for the CCF has been provided from within DCLG's budget, including a switch of 10.3 million from Resource DEL budget switched to Capital. However this has increased the size of the Reserve funding for flood recovery costs by 12m, which would otherwise have been drawn down from the Reserve for the CCF. The Coastal Communities Fund is supporting 222 projects across the UK and forecast to deliver 13, 700 jobs, and provide over 10,280 training places and apprenticeships. Further information on the expanded programme can be found at: Local Growth Fund and Cities -At Budget 2013, in response to Lord Heseltine's Report, the Government committed to create a single Local Growth Fund from 2015, including elements of housing, skills and transport. In 2015/16 an additional 6.Bm of Resource DEL funding has been allocated for Superfast Broadband projects. Further information on the expanded programme can be found at: hltps:// hltps:// hltps:// Regional Growth Fund - The Regional Growth Fund programme is run jointly between the Department and the Department for Business, Innovation and Skills (BIS). Additional Resource DEL budget of 30.Bm has been allocated to support RGF projects, 8.1 m funding from BIS. Estimate Line - DCLG Staff, Building and Infrastructure Costs Administration - As the Department prepares for Administration budget reductions in the Spending Review period the 2015/16 Resource DEL budget has been decreased by 9.4 million to reflect the early deliverer of efficiency savings. Estimate Line - Housing and Planning (Non-Departmental Public Bodies) Other (Non-Departmental Public Bodies) - We have rolled 50m of additional land receipts into 2016/17 to enable the Department to re-invest in the Land programme. DCLG Capital DEL Estimate Line - Localism Fire -There has been a 15m swap between Capital and Resource for Transformation funding. During the Supplementary Estimates 45m Capital was transferred from Local Government Finance to DCLG Del and the split for the fire transformation funding was 60m capital and 15m resource. Greater London Authority Settlement - As part of the Spending Review Process Financial Transaction budgets for 2015/16 and beyond have been aligned which has resulting in a 16

19 surrender of 181.2m to HMT. This programme provides devolution of the London Housing Bank to Greater London Authority and overall delivery is unaffected. Further information can be found at: Estimate Line - Housing and Planning. Manchester Housing Fund -The majority of Financial Transactions re-profiles were completed through the Spending Review process, and this includes funding the Manchester Housing Investment programme in full. These changes align the profile of spend with the programme's delivery. More information on the fund can be found at: Estimate Line - Local Economies, Regeneration & European Local Growth Fund and Cities -At Budget 2013, in response to Lord Heseltine's Report, the Government committed to create a single Local Growth Fund from 2015, including elements of housing, skills and transport. In 2015/16 an additional 12.4m Capital DEL funding for Local Growth Fu.nd Projects and City Deals. Further information on the expanded programme can be found at: Regional Growth Fund - The Regional Growth Fund programme is run jointly between the Department and the Department for Business, Innovation and Skills (BIS). The Department has surrendered a total of 105m Capital DEL due to delays in the programme's delivery. Estimate Line - Neighbourhoods (Non-Departmental Public Bodies) Homes & Communities: Financial Transaction programmes - As the budget for Financial Transactions re-profiles were completed through the SR process, as slippages in 2015/16 can be offered as a budget surrender. This is why the Department can offer Financial Transaction budget reductions of million Capital DEL. This relates to surrender of 220m in Build to Rent, and Builder's Finance Fund 125.5m. Additional budget is required for the Help to Buy programme which has offset this surrender. 17

20 DCLG Resource AME Estimate Line - Housing and Planning New Buy - Increase of 216m Resource AME reflects contingency against impairments across whole housing asset portfolio - this does not involve payment of cash. DCLG Capital AME Estimate Line - Housing and Planning.Stock Transfer - DCLG Ministers have agreed that the remaining budget for the 2015/16 Stock Transfer programme is no longer required. the programme has now ended and the remaining budget of 13 million Capital AME can be surrendered Local Government DEL Estimate Line - Revenue Supporl Grant Council Tax Freeze Grant - HM Treasury are providing 148 million for the round of Council Tax Freeze Grant payments for councils who chose not to increase Council Tax in ?m of which is being transferred to Home Office for Police. To limit draw down from the Reserve, the amount provided is being offset against returned funding of 62m for Business Rate Relief measures in respect of outturn. Further information on this policy can be found at: Local Welfare Provision - For , 30 million is being provided by HM Treasury. Estimate Line - Other Grants and Payments Council Tax Freeze Grant- HM Treasury are providing 120 million for Council Tax Freeze Grant payments for councils who choose not to increase Council Tax in To limit draw down from the Reserve, the amount provided is being offset against 103m funding that would otherwise have been surrendered to the Treasury having been previously been provided for Safety Net payments and Business Rate Relief Measures on an estimated basis prior to actual take up. Other Changes - 62m of income in respect of returned funding for Business Rate Relief Measures in respect of which is being transferred to Revenue Support Grant for Council Tax Freeze grant for m from the Treasury in respect of Council Tax Referendum costs. Estimate Line - Business Rates Retention Transitional Protection and Safety Net million transfer to Other Grants and Payments for Council Tax Freeze Grant payments for Local Government AME Estimate Line - Business Rates Retention 18

21 Business Rates Retention Outturn Adjustment Payments and the Local Share - A net increase of 588 million for final adjustments to local authority Business Rates Retention outturns for and to the Local Share for Partially funded by a reduction in the National Non-Domestic Rates Outturn. Estimate Line - National Non-Domestic Rates Outturns Business Rates Outturn Adjustments - A net decrease of 239 million to local authorities Business Rates Retention Outturn. 19

22 Annex C - All changes to the DCLG Ambit 24. Changes to the ambit have been made to add the following responsibilities, which you can see listed at the bottom of the Department's latest Ambit: DCLG Communities Expenditure arising from: Ebbsfleet Development Corporation; Memorials and Remembrance; Right to Buy, including pilots; support for home owners and home ownership; financial support in response to flooding and for flood recovery; inspections by the Crown Property Inspection Group; Local Growth Fund, paid to an accountable body for each Local Enterprise Partnership; Financial Transactions devolved to and delivered by local authorities; local government reviews and revisions to administrative and electoral boundaries; payments to specified bodies; payments to the valuation Office Agency for rating and valuation services; Greater London Authority (GLA) General Grant; Private Finance Initiative Special Grant; GLA community right to build. Income arising from: decentralising power to citizens and communities and promoting the Big Society, including support to local areas and the voluntary and community sector to improve social and community action, and increase empowerment to local communities; promoting race, gender and faith equality; tackling extremism and promoting sustainable, cohesive and integrated communities; Greenwich Peninsula; receipts from the sale of housing by local authorities. DCLG Local Government Expenditure arising from: Adult Social Care Implementation grant; Independent Living Fund grant. Income arising from: Recovery of grants relating to the department's payment for LG DEL responsibilities Annually Managed Expenditure Expenditure arising from: Ebbsfleet Development Corporation. Income arising from: Fire superannuation; business rates retention Non-Budget Expenditure Expenditure arising from: Prior Period Adjustments 20

23 Annex D - Summary Table of Breakdown of Increases and Decreases DCLG Programme Resource DEL keieiite claims Belwin Emergency Support 15.0 Troubled Families -6 Bud e(cbver.transfers- in Cyber Resilience - CO 0.6 RGF additional ROEL commitments - BIS 8.2 Community Shares programme - DECC 0.1 STRIVE- BIS 4 Troubled Families - MOJ 9.0 Bud ie(djver Transfers- out Goddard Review Funding - HO -3.0 Community Organisers mobility fund - CO -0.3 NHS England Better Fund - DoH -1.5 switches. Resource/ Capital switch Surrender FireFighters Pension -5.4 Depreciation -9.6 Total DCLG Administration Resource DEL Reserve claims Cashflow Management 0.2.Bud et. Cover Transfers- out Financial Management Review - HMT -0.1 Machine of Govt chan es- In Cities and Local Growth Team - CO 0.9 Total 1.1 Total Resource DEL

24 DCLG Capital DEL Budget Exchange Help to Buy '. ---,... _, :_.... Housing Supply: Local Growth Fund Manchester Housing lm.estment Fund Affordable Housing Affordable Homes Programme Single Land Receipt Budget.Cover Transfer- in.,. -.,_,:,.,,_ :... - _ UK Holocaust Memorial Fund - DCMS 1.0 Budget Cover Transfer- out. <..,.. -, -- c RGF Tourism projects - DCMS Pilots disposal scheme - DoH -5.0 Switches. _ Resource/ Capital switch 33.0 Regional Growth Fund Housing Supply: Get Britain Building -1.8 London Settlement -20 Large Stalled Sites - Loans -0.5 Builcl to Rent Housing Supply 95.5 HCA: Rent to Buy Builde(s Finance Fund Estate Regeneration Custom Build - Serviced Plots Surrender Housing Supply: Large Sites Housing Supply: Local Growth Fund Housing Zones- HCA Manchester Housing lnwstment Fund : Surrender.... -_ ~,... Income surrender ,:,,.... ":1,292.1 ':-':::>. Total.... "... :,: -- '.,,.. 22

25 Local Government Resource DEL and AME Reserve Claims Council Tax Freeze Grant Council Tax Referendum Re1.enue Support Grant Local Share Deficit on Collection fund 48.0 NNDR Outturn (AME Contingency) 5 Budget-Cover transfef's OUT Home Office Surrender City of London Tariff Total / 757;5-2.7 DCLG Resource AME Switches Central Admin 0.5 Fire Pensions The Housing Ombudsman -0.1 CLAE 0.3 Valuation Tribunal -0.1 Other HCA OCLG DEL Total -98;1 23

26 DCLG and Local Government Capital AME Switches Fire Pensions Stock Transfer Tota.I DCLG Non-Budget. :~::_:-~~-tll.t--- E fcoliiatfir,j rs_w_l_w_h_e_s.----~~----.~--~--. Grant-in-Aid; Homes & Communities Agencies... -1,889.3 Leasehold Adsisory Se ces 0.2 The Commission for local Admin in England 0.5 Valuation Tribunal Se ce 0.18 Ebbsfleets De1.elopment Corp 4.0 Other; Working Capital - Creditors Working Capital - Debtors

27 Annex E 1) Budget Cover Transfers Change Reason TO: Oept FROM: Dept Grant funding for NHS England Community Shares Programme FMR Programme Digital & Cvber Resilience Initiative Pilots Disposal Scheme Contribution to Troubled Families RGF Virtual Journey programme - cover for virtual programme to be run by the National Holocaust Centre and Museum. Transfer from DCLG to DCMS - two Regional Growth Fund Tourism projecls DH DCLG HMT DCLG DH DCLG DCLG DCLG DCLG DECC DCLG co DCLG MoJ BIS DCMS f 10m and 5ml DCMS DCLG Goddard Funding to Home Office DCLG HO STRIVE - skills to homeless people DCLG contribution to evaluation costs Main BIS Community or!lanisers mobilisation fund co DCLG Main Police contribution HO LG DEL Control Budget Economic Budget Amount 000s DEL PROG RES -1,500 DEL RES 110 PROG DEL RES -75 ADMIN DEL ADMIN RES 575 DEL CAP PROG -4,987 DEL PROG RES 9,000 DEL PROG RES 8,200 DEL PROG CAP 1,000 DEL PROG CAP -15,000 DEL PROG RES DEL PROG RES 38 DEL PROG RES -300 DEL PROG RES -2,733 2) Machinery of Government Changes Change Reason TO: Dept FROM: Dept Control Budget Economic Budget Amount 000s Cities and Local Growth - movement of the Cities Unit from the Cabinet Office to DCLG. DCLG co DEL Adrriin Resource

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