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Supply estimates are the means by which the Government seeks from Parliament sufficient funds and parliamentary authority for the bulk of departmental expenditure each year. In the course of the year the Government may need to ask Parliament for additional resources and/or cash. This volume contains 32 supplementary estimates and one new estimate.
Dated February 2011
The Ministry of Defence (MoD) must put into the public domain the full cost of military operations in Afghanistan. This report notes that although there are obvious standing expenses, the Afghan deployment brings with it additional costs in terms of training opportunities cancelled or deferred and equipment wear and tear that will eventually have to be met. The Committee is also disappointed by the Department's inability to provide the detailed information requested about expected write-offs such as Nimrod and the Type 22 Frigate. The MoD was not clear but the Committee deduce that some of the 2010-11 provision for depreciation and write-offs will be carried forward to 2011-12 or even later years. There is also concern that the voluntary redundancy programme has been over-subscribed and that applications (or even resignations) have been received from individuals who might have achieved high command and asks the MoD to show how it will ensure that the voluntary redundancy process does not impact on the future leadership capability and effectiveness of the Armed Services
This new edition incorporates revised guidance from H.M Treasury which is designed to promote efficient policy development and resource allocation across government through the use of a thorough, long-term and analytically robust approach to the appraisal and evaluation of public service projects before significant funds are committed. It is the first edition to have been aided by a consultation process in order to ensure the guidance is clearer and more closely tailored to suit the needs of users.
Traditionally, economics training in public finances has focused more on tax than public expenditure issues, and within expenditure, more on policy considerations than the more mundane matters of public expenditure management. For many years, the IMF's Public Expenditure Management Division has answered specific questions raised by fiscal economists on such missions. Based on this experience, these guidelines arose from the need to provide a general overview of the principles and practices observed in three key aspects of public expenditure management: budget preparation, budget execution, and cash planning. For each aspect of public expenditure management, the guidelines identify separately the differing practices in four groups of countries - the francophone systems, the Commonwealth systems, Latin America, and those in the transition economies. Edited by Barry H. Potter and Jack Diamond, this publication is intended for a general fiscal, or a general budget, advisor interested in the macroeconomic dimension of public expenditure management.
The MoD is requesting net resources of some £39.8 billion and capital expenditure of some £10 billion for 2012-13. Within the total requested the MoD has asked from some £3.6 billion to cover the costs of operations, some 18 percent less than 1011-12. Resource expenditure is also planned to fall in line with the Spending Review 2010. The Committee recommends, along with other requests and general recommendations, that the Main Estimate for the MoD is approved by Parliament and have indentified no issues which require a debate before it does so
Dated October 2007. The publication is effective from October 2007, when it replaces "Government accounting". Annexes to this document may be viewed at www.hm-treasury.gov.uk
The Main Supply Estimates are the means by which the Government requests resources from Parliament to meet its expenditure plans for the coming financial year, setting out a resource-based Estimate for each Department and for public service pension schemes. The Committee's report focuses on the Estimates for the Ministry of Defence (MoD) for 2007-08 (HCP 438, session 2006-07; ISBN 9780102944969). It identifies no issues which require to be debated by the House of Commons before the House is asked to agree to the Main Estimates, but the report highlights the fact that MoD's request for resources of £33.7 billion in the Main Estimates does not include the expected costs of military operations in Iraq and Afghanistan and so greatly underestimates the total expected cost of the MoD's activities in 2007-08. It argues that the MoD should include estimated costs of military operations in its Main Estimates, instead of waiting for the Supplementary Estimates as it does at present, as it is unacceptable that the MoD is incurring costs on military operations, without parliamentary approval and without even providing Parliament with an outline of the anticipated costs.