§ The Minister for School Standards (Mr. David Miliband)
Parliamentary approval for additional resources of £111.8 million is being sought in a spring supplementary estimate for the Teachers' Pension Scheme. Pending that approval, expenditure estimated at £30 million will be met by a repayable cash advance from the Contingencies Fund.
The Teachers' Pension Scheme Fund is managed by the Department for Education and Skills and administered under contract by Capita Business Service Ltd. The Department's funding to Capita is completed on a daily basis with the funded amount being determined by the "net cash requirement" for payments that Capita makes on behalf of the Teachers' Pension Scheme.
Cash drawn down from the Consolidated Fund is greater at the beginning of each month because income and related cash arrives too late to fund this expenditure. To enable the Department to meet its funding obligations the £30 million will be required to make up the shortfall between the funding requirement and the Spring Supplementary Estimate provision becoming available.