A world-first focus on long-term outcomes could transform UK government – or create new spending fights
Summary
The UK government plans to protect spending on projects that can be shown to reduce future costs, starting with the next spending review. The proposed rule could change how departments plan budgets, but officials and experts say its impact will depend on how the Treasury defines qualifying projects.Key Facts
- The proposed system is called a preventative departmental expenditure limit, or PDEL.
- Under the plan, qualifying preventative spending would be ringfenced so it could not be redirected to immediate needs.
- The next spending review is due to begin next year.
- The budget cites Andy Burnham’s plan to prevent rough sleeping as an example of spending that might qualify.
- Public health programmes and early-years schemes such as Sure Start may also qualify.
- The Treasury has not yet issued guidance defining which projects can receive PDEL protection.
- Experts warn that departments could disagree with the Treasury about what counts as preventative spending.
- The government describes the proposal as part of a broader effort to address long-term issues, including rough sleeping and adult social care.
Read the Full Article
This is a fact-based summary from The Actual News. Click below to read the complete story directly from the original source.
