Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 22
22
Accepted
Clarify impact of Treasury's capital expenditure changes on future DLUHC projects
Conclusion
According to the Financial Times, concerns about the DLUHC’s ability to deliver ‘value for money’ have been raised by the Treasury. Despite DLUHC’s efforts to reassure us, the Treasury’s decision to remove DLUHC’s ability to sign off on capital expenditure is a significant concern. The DHLUC needs to make clear what impact this will have on the delivery of future DLUHC funded projects and in particular future funding under the levelling up policy. (Paragraph 69) The UK Shared Prosperity Fund
Government Response Summary
The government clarifies that the change in capital expenditure sign-off only relates to new projects and has no implications for DLUHC's budgets, policy objectives, or the delivery of Levelling Up. They cite recent funding announcements as evidence of continued investment.
Government Response
Accepted
HM Government
Accepted
The recent change only relates to new projects. There have been no changes to the Department for Levelling Up, Housing and Communities’ budgets – either capital or revenue, no change to our policy objectives, no dilution of our ambition to Level Up all parts of the UK, and there are no implications for the Government’s policy agenda. Indeed, at Spring Budget the Department announced a further £211 million in grants for 16 Capital Regeneration Projects across England, with around £58 million also allocated to three Capital Levelling Up Bids in the North West of England.