Armed Forces Pension Scheme: Contingencies

Lord Lancaster of Kimbolton Excerpts

Tuesday 8th November 2016 Written Statements

[The Parliamentary Under-Secretary of State for Defence (Mark Lancaster)]

The armed forces pension and compensation schemes will be requesting a supplementary estimate in due course to address a shortfall in the net cash requirement amount, which originally appeared in the HM Treasury’s central Government main supply estimates 2016-17, published in July 2016 (HC 967).

This shortfall in the net cash requirement has arisen due to an inadvertent publishing error by HMT in the central Government main supply estimates 2016-17.

This will be corrected at the supplementary estimate stage; however, a Contingencies Fund advance has been sought in the interim, which will be repaid once the supplementary estimate is approved by Parliament and Royal Assent of the accompanying Supply and Appropriation Bill has been obtained.

Parliamentary approval for additional cash of £438,193,000 will be sought in the supplementary estimate for the armed forces pension and compensation schemes. Pending that approval, urgent expenditure estimated at £438,193,000 will be met by repayable cash advances from the Contingencies Fund.

[HCWS249]