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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 17 August 2025
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Displaying 1229 contributions

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Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

It is an on-going process. We always work to planning assumptions and contingencies within a range. A meeting with finance officials happens literally every week, in which an assessment is made on where we are in that range and on what we think will or might happen, and we make decisions in that context. There is not a point where we sit down and say, “This is the number.” It is an evolving scenario—

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

Not off the top of my head, no.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

That is an on-going process. Clearly, variables happen, one of which is the pay review—

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

That will depend on the circumstances. If we are in a situation in which unavoidable costs have been incurred elsewhere, in order to achieve balance we go through a process of understanding what budget lines we might need to adjust. That will come down to a number of factors, including what spend has already occurred, what is committed, what we have made commitments on and those areas in which there may be underspend. A range of factors will come into play in making such an assessment. I do not think that there is a hard and fast way of determining that.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

I do not know whether we have made a final announcement on our decision on that.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

Yes. The increase for this year is £1.4 billion on resource and £72 million on capital, and the number for next year is £3.5 billion, so the difference between 2024-25 and 2025-26 is about £2 billion. When you take inflation into account, that number is just over £800 million in real terms, of which £500 million is capital and, as I said, £328 million is resource spending. That £500 million capital increase effectively takes us back to where capital spend was in 2023-24, before the significant cuts that happened in this financial year. I will write that down for you, if it helps.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

—and police per head of the population than there are in the rest of the UK. That is very important and that is the position that we want to maintain. However, it is also absolutely clear that the spend on the public sector in general, in the area that we call corporate services, is something that we are working very hard to address. As I said, that includes recruitment in Government and more widely in those non-front-line occupations.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

Yes, I would be quite comfortable with assessing where we are and laying down projections as to where the policies that we are putting in place would take us.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

We had this conversation earlier. If you unpick that figure and look at the difference between resource funding for 2024-25 versus 2025-26, you find that the increase in real terms is just over £300 million—from memory, it is £328 million—which is less than 1 per cent. Does that mean that there are no pressures going forward? It does not because, as we know, there are always challenges in, for example, health spending.

Finance and Public Administration Committee

Subordinate Legislation

Meeting date: 12 November 2024

Ivan McKee

The spending controls are still in place. The recruitment controls are in place. As I identified, we are accelerating a significant amount of work on how we seek to drive more efficiency through reduced savings in corporate spend, because it is the right thing to do.