Contingencies Fund Advance

Michael Fallon Excerpts

Thursday 19th December 2013 Written Statements

[The Minister of State, Department of Energy and Climate Change (Michael Fallon)]

The Department of Energy and Climate Change requires a cash advance of £1,500,000 from the Contingencies Fund in 2013-14 to fund the costs of assuming the concessionary fuel allowances of former miners who lost their entitlement as a result of the restructuring of UK Coal in July 2013.

On 15 November, the Chancellor of the Exchequer announced that the Government would guarantee the concessionary fuel allowance and, where appropriate, the alternative cash in lieu entitlements of the 1,500 former miners who lost their entitlement as a result of the restructuring of UK Coal with all entitlements to be backdated to July 2013 subject to any change in personal circumstances.

The Department intends to rely on the Supply and Appropriation (Anticipation and Adjustments) Act for this spend. The advance is urgent to avoid hardship and potential ill-health effects in the winter months. Accordingly, parliamentary approval for additional resources of £1,500,000 for this new service will be sought in a supplementary estimate for the Department of Energy and Climate Change. Pending that approval, urgent expenditure estimated at £1,500,000 will be met by repayable cash advances from the Contingencies Fund.