Explanatory Memorandum

Budget Act (Northern Ireland) 2008

2008 CHAPTER 3

12 March 2008

Commentary on Clauses

Clause 1 : Issue of Sum out of the Consolidated Fund for year ending 31^st March 2008 and appropriation of that sum.

Sub-section (1) authorises the issue out of the Consolidated Fund of Northern Ireland of the revised sum of £11,851,642,000 for 2007-2008.

Sub-section (2) appropriates that sum for the purposes specified in Schedule 1.

Sub-section (3) provides authority for cash limits set by the Budget (Northern Ireland) Order 2007 and the Budget Act (Northern Ireland) 2007 to be superseded by the amounts specified in column 2 of Schedule 1 to the Budget Act (Northern Ireland) 2008.

Clause 2: Use of resources (other than accruing resources) in the year ending 31^st March 2008

This section authorises the use of resources amounting to £14,429,839,000 for 2007-2008, for the purposes specified in column 1 of Schedule 2.

Sub-section (4) provides authority for the resources limits set by the Budget (Northern Ireland) Order 2007 and the Budget Act (Northern Ireland) 2007 to be superseded by the amounts specified in column 2 of Schedule 2 to the Budget Act (Northern Ireland) 2008.

Clause 3: Revised limits on use of certain accruing resources in the year ending 31^st March 2008

Sub-section (1) sets relevant limits on the total amount of accruing resources, including both operating and non-operating accruing resources that may be directed to be used for certain specified purposes as shown separately in the Spring Supplementary Estimates for 2007-08

Sub-section (2) provides authority for the direction of accruing resources as specified in column 3 of Schedule 2 for the purposes specified in the corresponding entries in column 1 of that Schedule.

Sub-section (3) provides authority for the accruing resources limits set by the Budget Act (Northern Ireland) 2007 to be superseded by the amounts specified in column 3 of Schedule 2 to the Budget Act (Northern Ireland) 2008.

Clause 4: Issue of sum out of the Consolidated Fund for the year ending 31^st March 2009 and appropriation of that sum

Sub-section (1) authorises the issue out of the Consolidated Fund of Northern Ireland of the sum of £5,335,212,000 for 2008-09.

Sub-section (2) appropriates that sum for the purposes specified in Schedule 3.

Clause 5: Power of the Department of Finance and Personnel to borrow

This section authorises the temporary borrowing by the Department of Finance and Personnel of approximately half the sum covered by Section 4 (1). This is a normal safeguard against the possibility of a temporary deficiency arising in the Northern Ireland Consolidated Fund.

Clause 6: Use of resources (other than accruing resources) for the year ending 31^st March 2009

This section authorises the use of resources amounting to £6,493,908,000 for 2008-2009, for the purposes specified in column 1 of Schedule 4.

Clause 7: Interpretation

As in Budget Act.

Clause 8: Short Title

This section sets out the title of the Act.

Schedules to the Act

Schedule 1 : Sums granted for the year ending 31^st March 2008.

Schedule 2 : Amounts of resources authorised for use and amounts of accruing resources which may be used in year ending 31^st March 2008.

Schedule 3 : Sums granted for the year ending 31^st March 2009.

Schedule 4 : Amounts of resources authorised for use in the year ending 31^st March 2009.