Chapter 1 - Finance
                       
Table 1.2 Public Expenditure by Departmental Grouping
This table (taken from Table 1.5 and Table 1.10 of Public Expenditure Statistical Analyses (PESA 2009) Cm 7630 produced by HMT) examines the expenditure on defence within the wider public expenditure framework. It presents Departmental Expenditure Limits, resource and capital, and Annually Managed Expenditure (AME) by departmental groupings.

It is not possible to show figures for all individual departments separately and so departments are grouped broadly on the basis of ministerial responsibilities. A detailed list of departmental groupings can be found in PESA 2009 Annex B.

Annually Managed Expenditure (AME) relates to expenditure outside the Departmental Expenditure Limits (DEL) but included in Departmental Budgets. This is typically demand led items such as social security benefits, certain pension allowances and tax credits for individuals.

DELs are firm plans for three years for a specific part of a department's expenditure. In general DEL will cover all running costs and all programme expenditure. DEL includes relevant non-cash items such as depreciation, cost of capital charges and provisions.
Current Prices (£ billion)
  Outturn   Outturn   Outturn   Outturn   Outturn   Estimated
Outturn
  2003/04   2004/05   2005/06   2006/07   2007/08   2008/09
Total Government Resource DEL1
 245.1   258.5 r 277.7 r 291.3 r 310.0   324.2
Of which:
                      
                       
Children, Schools and Families
 11.9   12.6   14.3   42.1   44.9   46.8
Health
 63.6   69.1   76.4   80.4   88.4   92.5
Of which: NHS England
 61.9   66.9   74.2   78.5   86.4   90.9
                       
CLG Local Government2
 40.9   43.3   46.2   22.5   22.8   24.6
Home Office
 7.9   8.0   8.3   8.3   8.6   8.9
Defence3
 31.4   31.3   33.5   33.5   35.7   37.9
Work and Pensions
 7.8   8.0   8.0   7.9   8.1   8.1
 
 Current Prices (£ billion)
  Outturn   Outturn   Outturn   Outturn   Outturn   Estimated
Outturn
  2003/04   2004/05   2005/06   2006/07   2007/08   2008/09
Total Government Capital DEL1
 30.5   32.8   35.2   38.8 r 44.1   48.3
Of which:
                      
                       
Children, Schools and Families
 3.5   4.1   4.4   4.1   5.2   5.6
Health
 2.7   2.7   2.2   3.2   3.8   4.6
Of which: NHS England
 2.6   2.6   2.2   3.1   3.6   4.4
                       
CLG Local Government2
 0.2   0.3   0.3   0.2   -   0.1
Home Office
 0.7   0.6   0.6   0.6   0.7   0.9
Defence
 6.0   6.7   6.4   7.1   7.9   8.6
Work and Pensions
 0.3 r 0.3   0.4   0.2   0.1   0.1
 
 Current Prices (£ billion)
  Outturn   Outturn   Outturn   Outturn   Outturn   Estimated
Outturn
  2003/04   2004/05   2005/06   2006/07   2007/08   2008/094
Total Government AME1,4,5
 164.8   173.0   193.2 r 205.7 r 220.2   373.8
Of which:
                      
                       
Children, Schools and Families
 6.6   6.3   8.0   8.6   10.7   10.9
Health
 6.3   6.7   10.1   10.5   10.8   13.9
Of which: NHS England
 0.1   0.3   0.8   0.3   0.6   0.6
                       
CLG Local Government2
 0.4   0.5   0.5   1.0   0.8   0.7
Home Office
 -   -   -   0.3   0.4   0.4
Defence7
 1.0   0.9   0.9   0.6   0.5   0.2
Work and Pensions
 103.8   110.7   115.2   119.3   127.4   135.7
                       
Total Government DEL (RDEL + CDEL)1,6
 275.6   291.3 r 312.9 r 330.1 r 354.1   372.5
                       
Total Government AME1,4,5
 164.8   173.0   193.2 r 205.7 r 220.2   373.8
                       
Total Government Spend (RDEL + CDEL + AME)1,7
 440.4   464.3 r 506.1 r 535.8 r 574.3   746.3
Source: HMT Public Expenditure Statistical Analyses 2009 (Table 1.5 & Table 1.10)
1. Changes in all years are as a result of machinery of government changes.
2. CLG Local Government was introduced in 2006/07 but it is comparable with the "Local Government" category referred to in previous editions of UKDS. This     category is due to the creation of the "Department for Communities and Local Government " established on 5 Apr 2006.
3. For 2003/04 the Defence figure includes the supplementary estimate for asset revaluation.
4. For more information relating to the increase in Government AME in 2008/09 please refer to the Main Findings in the Departmental Resources section.
5. Total figures include Defence figures for AME as shown in PESA 2009 and not as shown in this table.
6. These figures are different from PESA 2009, which presents Total DEL as RDEL + CDEL less depreciation.
7. The figures for Defence AME from 2003-04 onwards have been adjusted to align with the data contained in Tables 1.1, 1.3 and 1.5 which excludes     contributions to the Armed Forces Pensions Scheme.