§ Mr. Galbraith
To ask the Secretary of State for Scotland what condiderations underlay the reduction in the general services capital allocation for Strathkelvin district between 1994–95 and 1996–97; and if he will make a statement.
§ Mr. Stewart
Local authority capital financial plans are considered afresh each year in light of the outcome of the Government's public expenditure survey generally. Capital allocations are determined having regard to the aggregate public expenditure resources available, the relative needs of individual authorities as expressed in their 405W financial plans, the ability of authorities to finance capital expenditure at their own hand, and past and projected spending levels and patterns.
In the case of Strathkelvin district council, it benefited from a general decision that no authority should take a reduction in its allocation for 1994–95 on its general services programme. The provisional allocations for 1995–96 and 1996–97 were, however, set at a level which reflects both the fact that aggregate resources being provisionally allocated from this programme are reduced and our view of the council's need for capital allocations to undertake capital expenditure given the level of resources available to it overall.
By their very nature the provisional allocations will fall to be reviewed. This will happen later in the year in response to the council's 1994 capital financial plan.