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Annex A: Expenditure tables

Table 1 – Department for Work and Pensions public spending

This table sets out a summary of the expenditure on functions which are now administered by the Department, covering the period from 2000–01 to 2007–08.
As the Department was only formed during 2001, past years’ figures have been determined on the basis of the expenditure incurred by each of the various business areas brought together by the Machinery of Government changes in June 2001. Current and future year figures reflect the budgeted figures agreed with HM Treasury for the Department as it is now, including responsibility for the Health and Safety Executive and Health and Safety Commission from 24 July 2002 and The Rent Service Executive Agency from 1 April 2004.

The table reflects the extent of the organisational changes that have taken place within the Department and presents the expenditure plans by way of the groups of clients who will be served through the consumption of the resources. The ‘Corporate and shared services’ grouping represents expenditure on corporate contracts, or for the provision of information technology and corporate administration. The line relating to the National Insurance Fund (NIF) represents the costs of the Department in administering contributory benefits on behalf of the NIF. These costs are met by the NIF. The consumption of resources includes both administration and programme expenditure (including benefits) where appropriate.

The capital expenditure plans are shown separately in respect of each area of administration within the Department. Expenditure by local authorities in respect of the welfare programmes is also shown on this table, and the extent to which it is supported by grants from the Department.

Table 1 Total public spending for the Department for Work and Pensions
£ million (5,11)
  2000
– 01		 2001
– 02		 2002
– 03		 2003
– 04		 2004
– 05		 2005
– 06		 2006
– 07		 2007
– 08
  outturn outturn outturn outturn outturn estimated outturn plans plans
Consumption of Resources:
Children 249 251 295 249 257 398 408 402
Working age 36,694 38,331 39,317 40,186 42,292 42,591 41,823 41,653
Pensioners 46,130 50,198 52,743 55,549 59,756 62,826 65,023 69,002
Disability 10,073 10,807 11,477 12,467 13,249 14,115 14,954 15,780
Corporate and shared services (6) 115 1,414 1,997 1,632 1,737 2,074 2,087 2,160
National Insurance Fund (7) 821 471 890 1,399 1,137 1,108 1,083 1,083
Public corporations (12) 100 143 113 108 109 3 92 92
Unallocated provision             168 245
Total resource budget 94,182 101,615 106,832 111,590 118,537 123,115 125,638 130,417
Of which:
Resource DEL (1) 5,744 6,057 6,858 7,650 7,746 7,935 7,765 7,699
Capital spending:
Children 1 # 1 # # #    
Working age 19 38 98 239 154 311 75 35
Pensioners (8) 23 75 78 91 87 172 257 145
Disability 2     1 1 1    
Corporate and shared services (9) 15 122 153 -65 136 23 54 24
Public corporations                
Unallocated provision                
Total Capital budget 60 235 330 266 378 507 386 204
Of which:                
Capital DEL (2) 37 161 253 175 298 406 178 63
Total public spending (3,4) 94,188 101,803 107,068 111,754 118,783 123,479 125,867 130,467
Spending by local authorities on functions relevant to the Department (10)
Current Spending 11,715 12,109 13,204 12,947 13,734      
Of which:
Financed by grants from budgets, above
11,526 13,638 14,579 14,348 16,919 17,984    
Capital Spending 5 3 1 # #      
Of which:
Financed by grants from budgets, above 11 6 8 8 3 3    

Further Notes

  1. Departmental Resource Expenditure Limit, set as part of the Spending Review process.
  2. Departmental Capital Expenditure Limit, set as part of the Spending Review process.
  3. Total public spending calculated as the total of the resource budget, less depreciation.
  4. A full break down of budgets into DEL and AME voted and non-voted components is contained in the supplementary Budgetary Information publication which accompanies the Main Estimates.
  5. Totals may not sum due to rounding.
  6. The variation in this run of figures is mainly due to significant year by year fluctuations in modernisation expenditure, NIF receipts and re-structuring of the Department.
  7. National Insurance Fund (NIF) Administration relates to the administration costs of processing NIF benefits. The variation in the NIF payment in later years partly results from a re-calculation to compensate for over/under payments in previous years.
  8. Figures include net lending on the Social Fund for working age as well as pensioners. Prior to 2001-02, net lending on crisis loans and funeral payments was included under consumption of resources.
  9. Negative numbers arise due to the sale of capital assets.
  10. Local Authority spending is not forecast for future years.
  11. Amounts below £0.5m are indicated by #.
  12. Estimated outturn for Remploy grants is included within Working Age for 2005-06.

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