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					RESOURCE BIDS
DEPARTMENT FOR SOCIAL DEVELOPMENT


BUDGET 2010 BIDS – GLOSSARY



CMED           Child Maintenance & Enforcement Division

DEL            Departmental Expenditure Limit

DFP            Department of Finance & Personnel

EQIA           Equality Impact Assessment

ESA            Employment Support Allowance

GB             Great Britain

GDP            Gross Domestic Product

HLIA           High Level (Equality) Impact Assessment

IB             Incapacity Benefit

ISNI           Investment Strategy for NI

OFMDFM         Office of the First Minister & Deputy First Minister

PFI            Public Finance Initiative

PSA            Public Service Agreement

SSA            Social Security Agency

UOB            Unit of Business

UOS            Unit of Service

ADMIN          Administration Expenditure
KPI    Key Performance Indicator

NIHE   Northern Ireland Housing Executive

TBC    To be confirmed

N/A    Not Applicable
Table A1- Summary of Current Expenditure Departmental Spending Proposals

                                                                  Resource (£000’s)
Spending Proposal                       PSA
                                                       2011-12    2012-13    2013-14    2014-15
                                           Resource      15,306     19,195     24,966       30,942
Pay increases, equal pay and
pension increases                             Admin       1,317      1,842      2,690        3,571

                                           Resource       2,552      5,695      9,336       13,218
Price Inflation
                                              Admin         84        188        307          435


NI Housing Executive Revenue            PSA 12            3,580      6,678     10,047       13,564
programme inflation                      Objective 1


Supporting People inflation             PSA 7             1,214      2,709      4,440        6,288
                                         Objective 3

                                           Resource       2,052      2,109      3,305        3,330
Appeals Service
                                              Admin        640        442       2,134        2,134


Economic Downturn                       PSA 7             4,245      3,870      3,665        2,901
                                        Objective 1


Application of Benefit Conditionality   PSA 7            11,171     12,480     14,943       12,741
Regime                                  Objective 1


Welfare Reform                          PSA 7             4,466     23,933     47,916       44,540
                                        Objective 1


Child Maintenance Transition            PSA 7             1,876      3,819      3,870        1,294
                                        Objective 1


Women’s Centres Childcare Fund          PSA 12             900        900        900          900
                                        Objective 5

                                                 Res       800       1,800      2,750        4,750
Building Sustainable Communities        PSA 12
                                        Objective 5
                                              Admin        200        200        250          250




                                                                                        4
1. Summary of Spending Proposal

 Title:                            Pay increases, Equal Pay & pension increases


 Responsible Officer:              Will Haire


 Spending Area & UoB:              Departmental              PSA/Objective              All Objectives


 Link to other bids:               N/A

 Date EQIA/HLIA assessment
                                   July 2010
 completed:

 Bid Consultees:                   Ongoing process


 Set out short summary of the main details of the spending proposal including alignment with
 Ministerial Priorities


 This spending proposal covers the increased pay, Equal Pay & pension costs for the whole Department
 over the 4 years of the Budget 2010 exercise. In the foreword to the current Departmental Business Plan,
 the Minister for Social Development has highlighted the need for continuing the work of all 4 business
 areas of the Department, namely Housing, Urban Regeneration, the Child Maintenance & Enforcement
 Division and the Social Security Agency.




 2.   Resource Requirements (£000’s)
                        Baseline                        Budget 2010 Resource Requirements
                                                                 (additional amount)
                           2010-11          2011-12           2012-13          2013-14           2014-15
 Resource                   145,742            15,306          19,195            24,966           30,942
 Admin                       22,444             1,317           1,842             2,690            3,571
 Supporting evidence that level of resource requirement is the minimum necessary – include if
 includes depreciation and impairment

 This bid covers the pressures created by pay increases (at 2%/2%/3.5%/3.5% over the 4 years
 together with £250 per annum in Years 1 & 2 for staff earning less than £21k per year). In addition
 the bid covers the increase in pension contributions of 1.5% from 1/04/10 and the ongoing impact of
 the equal pay settlement over the Budget period. This bid does not include depreciation and
 impairment charges.




 Could reduced scale of bid be delivered?                                              Yes/No




                                                                                                           5
3.   Public Service Impact on PSA Key Performance Indicators (KPI’s)
                         Baseline                                     Projected Value
PSA
                         2010-11                   2011-12         2012-13         2013-14          2014-15
                                     No bid
PSA KPI 1
                                     Bid

PSA KPI 2                            No bid
                                     Bid

PSA KPI 3                            No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?

In view of the Departmental nature of these bids, it is not possible to specify those Key Performance
Indicators that would be affected should the bids fail or succeed. As indicated by the text in Box 1, the
failure of bids (either in part or in full) could be expected to impact adversely on all Business Areas of the
Department, but particularly in the Social Security Agency and Child Maintenance & Enforcement
Division, ie. those areas with the greatest concentration of lower grade staff delivering frontline services
to the NI citizen.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No         Details of why pressure cannot be avoided and or
                                                funded from within existing baselines?
Executive Pre-commitment
                                    No


Legal/Statutory Obligation                      The payment of salary on the basis of staff‟s terms &
                                    Yes         conditions of employment and the prevailing rates for each
                                                grade is a legal requirement.
Price Inflation                                 Rates of pay are subject to negotiated settlement with civil
                                    No          service unions, taking account of aspects such as general
                                                inflation, prices & other comparators.
Maintain parity of provision                    Whilst the NICS sets its own pay rates by negotiated
with rest of UK                     Yes         settlement, this is usually within the constraints of wider
                                                UK public sector pay limits.

Other 1-

Other 2-




                                                                                                          6
5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                           Detail
                                              Failure to meet this bid will have adverse impact on
                                     Yes      those in the community dependent on our services,
Equality                                      eg. those on benefits, those seeking to secure child
                                              maintenance and those in need of social housing.

                                                This spending proposal will impact positively on the
                                     Yes        morale of staff in the Department, particularly those
Good Relations                                  in the SSA & CMED working with those customers
                                                who are most disadvantaged in our society.


                                     Yes        As above for Equality considerations.
Poverty/Social Inclusion

                                                The regeneration of towns and cities is a key plank
                                     Yes        of the services provided by/through the
                                                Department‟s urban regeneration group. Services
Sustainable Development                         will be adversely affected if sufficient funding to
                                                pay staff is not secured.




                                                                                                      7
1. Summary of Spending Proposal

     Title:                            Price Inflation


     Responsible Officer:              Will Haire


     Spending Area & UoB:              Departmental                PSA/Objective               All Objectives


     Link to other bids:               N/A

     Date EQIA/HLIA assessment
                                       July 2010
     completed:

     Bid Consultees:                   Ongoing process


     Set out short summary of the main details of the spending proposal including alignment with
     Ministerial Priorities


     This spending proposal covers the anticipated impact of price increases over the next 4 years on the
     Department‟s non-pay related expenditure. In the Department for Social Development, salary costs
     accounts for between 65 & 70% of all costs. However, the extent of non-pay costs (excluding funding to
     the NI Housing Executive), estimated at around £139m in total in 2010-11, is considerable.

     In the foreword to the current Departmental Business Plan, the Minister for Social Development has
     highlighted the need for continuing the work of all 4 business areas of the Department, namely Housing,
     Urban Regeneration, Child Maintenance & Enforcement Division and the Social Security Agency.




2.     Resource Requirements (£000’s)
                           Baseline                           Budget 2010 Resource Requirements
                                                                       (additional amount)
                               2010-11          2011-12             2012-13          2013-14            2014-15
     Resource                   134,330             2,552             5,695             9,336            13,218
     Admin                        4,418                  84             188                  307            435
     Supporting evidence that level of resource requirement is the minimum necessary – include if
     includes depreciation and impairment

     The bids have been formulated on the basis of GDP factors (issued by Central Expenditure Division
     on 22 June 2010) ie. 1.9% (2011-12); 2.3% (2012-13); 2.6% (2013-14); & 2.7% (2014-15), applied to
     the Department‟s 2010-11 non-pay baseline. Figures do not include depreciation or impairments.

     The bids have been compiled using the 2010-11 non-pay baselines existing across the Department.




     Could reduced scale of bid be delivered?                                                Yes/No



                                                                                                                  8
3.   Public Service Impact on PSA Key Performance Indicators (KPI’s)
                        Baseline                                      Projected Value
PSA
                         2010-11                   2011-12         2012-13         2013-14         2014-15
                                     No bid
PSA KPI 1
                                     Bid

PSA KPI 2                            No bid
                                     Bid

PSA KPI 3                            No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?

In view of the Departmental nature of these bids, it is not possible to specify those Key Performance
Indicators that would be affected should the bids fail or succeed. As indicated by the text in Box 1, the
failure of bids (either in part or in full) could be expected to impact adversely on all Business Areas of the
Department, not least the Social Security Agency and Child Maintenance & Enforcement Division, where
services are dependent on IT systems delivered by sister organisations in GB.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No         Details of why pressure cannot be avoided and or
                                                funded from within existing baselines?
Executive Pre-commitment
                                    No



Legal/Statutory Obligation                      Those costs relating to contractual commitments have a
                                    Yes         legal basis and are therefore unavoidable.


Price Inflation                                 Those costs relating to contractual commitments have a
                                    Yes         legal basis and are therefore unavoidable.


Maintain parity of provision                    Insofar as the bids relate to payments to GB on the foot of
with rest of UK                     Yes         contractual obligations, costs are unavoidable in order for
                                                NI to maintain parity with GB in the delivery of standard
                                                benefit systems.
Other 1-

Other 2-




                                                                                                          9
5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                              Failure to meet this bid will have an adverse impact
                                     Yes      on those in the community dependent on our
Equality                                      services, eg. those on benefits, those seeking to
                                              secure child maintenance and those in need of social
                                              housing.
                                              If met, this spending proposal will impact positively
                                     Yes      on those customers of the Department, particularly
Good Relations                                those in the Social Security Agency and Child
                                              Maintenance and Enforcement Division, who are
                                              most disadvantaged in our society.

                                     Yes        As above for Equality considerations.
Poverty/Social Inclusion


                                                The regeneration of towns and cities is a key plank
                                     Yes        of the services provided by/through the
                                                Department‟s urban regeneration group. Services
Sustainable Development
                                                will be adversely affected if sufficient general
                                                administrative funding is not secured.




                                                                                                  10
1. Summary of Spending Proposal
                               NI Housing Executive Revenue Programme – inflation and pay
Title:
                               increases

Responsible Officer:           Heather Cousins

                               UOS B01                                          PSA 12
Spending Area & UoB:                                   PSA/Objective
                               UOB B0103                                        Objective 1

Link to other bids:

Date EQIA/HLIA
                               July 2010
assessment completed:

Bid Consultees:                Ongoing process

Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities
Pressures shown include inflationary pressures and payroll related pressures listed below.
      Incremental drift @ 1% p.a.
      Additional employer‟s superannuation costs under Northern Ireland Local Government
          Officers Superannuation Committee @ 1% p.a.
      Increase in employer‟s National Insurance Contributions of 1.0% (2011/12 only)
Non payroll administration costs are subject to the price index deflators outlined in the Department of
Finance and Personnel guidance. Inflationary pressures assumed at 2011/12 (1.9%), 12/13 (2.3%),
13/14 (2.6%), 14/15 (2.7%)A number of key public service functions may be impacted by the potential
shortfall in funding, eg Housing Benefit Administration (Public Service Agreement 12 Objective 3).
Maintenance programme pressures are based on building cost indices forecast in line with contractual
arrangements. The inflationary pressures are calculated on the resultant net expenditure after offset
from rental income. It has been assumed that rental income will increase by the rates on inflation noted
in the Department of Finance and Personnel correspondence. With the exception of Egan Planned
Maintenance programmes the remainder of maintenance spend is of a mandatory nature.


2. Resource Requirements (£000’s)
                      Baseline                        Budget 2010 Resource Requirements
                                                                (additional amount)
                           2010-11          2011-12          2012-13          2013-14          2014-15
Resource                   141,333            3,580            6,678            10,047          13,564
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

Resource requirements are agreed annually in advance with many service providers, subject to current
inflationary pressures. Existing contractual agreements may require uplift because of reference to the
Retail Price Index or specific cost index.
Administration requirements are agreed annually in advance with the Department of Social Services
(GB equivalent of Department of Health Social Services and Public Safety) including salary
incremental drift and increase in employer contributions as required.




Could reduced scale of bid be delivered?                                              Yes/No




                                                                                                     11
3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                       Baseline                                          Projected Value
PSA
                       2010-11                  2011-12        2012-13         2013-14              2014-15

PSA KPI 1                          No bid
                                   Bid

PSA KPI 2                          No bid
                                   Bid

PSA KPI 3                          No bid
                                   Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to the public?
The additional costs are inescapable for 3 main reasons;
1. External drivers – National Joint Council bargaining and Northern Ireland Local Government Officers
    Superannuation Committee funding requirements
2. Protection and maintenance of frontline services associated with Housing Benefit administration claims with the
    socially and economically disadvantaged members of society.
3. The overhead costs are essentially fixed costs associated with the level of office accommodation and customer
    interface accommodation. The NI Housing Executive would need to take action to dispose of publically owned
    buildings to meet overhead saving requirements.
As outlined in the NI Housing Executive budget submission the majority of the revenue budget, with the exception of the
planned EGAN schemes, is covered by either a prior year commitment or mandatory requirement. Whilst the EGAN
schemes may be non mandatory their impact on the local economy building sector is significant.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No      Details of why pressure cannot be avoided and or funded from
                                             within existing baselines?
Executive Pre-commitment          No


Legal/Statutory Obligation                   The NI Housing Executive has a statutory duty to undertake the
                                             following duties from the Deficit Grant funding:
                                                   Special Purchase of Evacuated Dwellings applications –
                                                     currently £6,500k per annum
                                                   Response maintenance for tenants – currently £50,000k
                                                   Disabled Adaptations revenue schemes as requested – currently
                                                     £8,000k
                                                   Heat service contracts – currently £6,000k
                                                   Other planned maintenance – currently £10,000k
                                                   Other obligations inc homeless – currently £17,000k
Price Inflation                   Yes        2011/12 – 1.9%
                                             2012/13 – 2.3%
                                             2013/14 – 2.6%
                                             2014/15 – 2.7%
Maintain parity of provision      Yes        The NI Housing Executive services benchmarked against other UK
with rest of UK                              landlords.


Other 1-




                                                                                                   12
Other 2-




5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                      Detail
                                     No

Equality


                                   No

Good Relations


                                   Yes       Proposals include a range of maintenance measures
                                             for NI Housing Executive tenants of whom 80% are
Poverty/Social Inclusion                     in receipt of Housing Benefit


                                   Yes       Improved energy management in NI Housing
                                             Executive properties.
Sustainable Development




                                                                                            13
1. Summary of Spending Proposal
Title:                         Supporting People inflation

Responsible Officer:           Heather Cousins

                               UOS B01                                           PSA 7
Spending Area & UoB:                                     PSA/Objective
                               UOB B0103                                         Objective 3

Link to other bids:

Date EQIA/HLIA
                               July 2010
assessment completed:

Bid Consultees:                Ongoing process

Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities

The above pressure reflects the impact of price inflation on existing Supporting People Schemes during
the Budget 2010 period.

These schemes will provide a range of services for the most disadvantaged in society and are in line
with Programme for Government targets.




2. Resource Requirements (£000’s)
                      Baseline                          Budget 2010 Resource Requirements
                                                                 (additional amount)
                           2010-11            2011-12         2012-13          2013-14          2014-15
Resource                    63,884              1,214           2,709             4,440           6,288
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

The bids have been formulated on the basis of GDP factors (issued by Central Expenditure Division
on 22 June 2010) ie. 1.9% (2011-12); 2.3% (2012-13); 2.6% (2013-14); & 2.7% (2014-15) applied to
the 2010-11 baseline. Figures do not include depreciation or impairments.




Could reduced scale of bid be delivered?                                               Yes/No


3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                        Baseline                                        Projected Value
PSA
                        2010-11                   2011-12        2012-13           2013-14        2014-15

PSA KPI 1                            No bid
                                     Bid
PSA KPI 2                            No bid



                                                                                                       14
                                    Bid

PSA KPI 3                           No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?

The current contractual commitment pressures are classified as inescapable because of the contractual nature
of the service provision with registered Supporting People providers. Consequently there is limited scope to
reduce spending on this budget other than by withdrawing the level of support to Service Providers and the
consequential impact on the most socially and economically disadvantaged.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No       Details of why pressure cannot be avoided and or funded
                                              from within existing baselines?
Executive Pre-commitment          No



Legal/Statutory Obligation        Yes         Contracts are in place with Supporting People Service
                                              Providers.


Price Inflation                   Yes         Price Inflation bid



Maintain parity of provision      Yes
with rest of UK


Other 1-



Other 2-




5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                              This programme is aimed at mainly the elderly and
                                     Yes      persons with a disability.
Equality


                                        Yes       The NI Housing Executive in connection with Rural
                                                  Development Council is introducing a PEACE III
Good Relations                                    project aimed at ensuring Key Institutional
                                                  Capacities are developed for a shared Society




                                                                                                      15
                           Yes   Proposals include a range of measures maintaining
                                 services for the most disadvantaged in society to
Poverty/Social Inclusion         sustain independent living.


                           Yes   Conforms with Independent Living initiatives

Sustainable Development




                                                                                 16
1. Summary of Spending Proposal
Title:                           The Appeals Service

Responsible Officer:             Stephen McMurray

                                 UOS A01                                               PSA 7
Spending Area & UoB:                                      PSA/Objective
                                 UOB A0101                                             Objective 1
                                 This bid is linked to the Social Security Agency‟s Application of
Link to other bids:
                                 Benefit Conditionality Regime and Welfare Reform bids.
Date EQIA/HLIA
                                 July 2010
assessment completed:

Bid Consultees:                  NI Court and Tribunal Service

Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities
The introduction of the Employment and Support Allowance in 2008 has, for new claimants to
Incapacity Benefit, resulted in an increased volume of appeals received by the Appeals Service. The
Government has also committed to moving people currently claiming Incapacity Benefit to
Employment and Support Allowance and this migration will result in a further increase in workload.
The emergency Budget 2010 stated that a compulsory medical assessment for all new and existing
Disability Living Allowance claims would be introduced from 2013. This will have a substantial
impact in Northern Ireland given the number of Disability Living Allowance claimants. The
proportion of the working age population in Northern Ireland in receipt of Disability Living Allowance
is twice the rate for GB. Statistics from the Department show that Disability Living Allowance is paid
to 10.2% of the Northern Ireland population and the biggest disabling condition is mental health causes
(Disability Living Allowance Summary of Statistics, November 2009, Department for Social
Development). The fallout of this will be an even greater level of appeals coming into the Appeals
Service. Disability Living Allowance appeals are the most costly appeals to administer given the
constitution of the tribunal panel. It is also likely that there will initially be a high adjournment rate
until panel members assure themselves of the quality of the medical reports which at that stage will be
supplied by the new medical provider.

Subject to the necessary legislation going through in 2010-11, funding for the Appeals Service will
transfer to the Department of Justice from April 2011. This spending proposal is tabled by this
Department in the mean time, to ensure funding bids for this key area, over and above productivity
gains, are not overlooked.




2. Resource Requirements (£000’s)
                     Baseline                       Budget 2010 Resource Requirements
                                                                (additional amount)
                           2010-11           2011-12          2012-13           2013-14              2014-15
Resource                      2,100            2,052            2,109                 3,305            3,330
Admin                         3,107              640               442                2,134            2,134
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment




                                                                                                          17
Calculations of amounts required and assumptions are set out below. The bids exclude depreciation
and impairment costs.

2011/12
Calculations are based on the assumption that all benefit areas retain a similar level of appeal volumes
as those projected for 2010/11 i.e. 14,266 appeals which equates to 6,253 sessions.
The assumption is that no additional funding is made available during the 2010/11 financial year so
there is therefore a potential shortfall of 3,145 sessions from 2010/11 to be carried forward.
Incapacity Benefit Migration Project anticipates that the Appeals Service will receive an additional
3,032 appeals which equates to 1,347 sessions.
To deliver a service that functions at a steady level and does not have huge fluctuations of staff and
costs, a recovery programme where the backlogged appeals from 2010/11 are spread over a two year
period would need to be introduced during the 2011/12 and 2012/13 financial years. This means that
the 3,145 backlogged sessions would be divided in half i.e. 2011/12 = 1,573 backlog + 6,253 normal
workflow + 1,347 Incapacity Benefit migration = 9,173 sessions (28,620 hearings) required.

2012/13
Calculations are based on the assumption that all benefit areas retain a similar level of appeal volumes
as those projected for 2010/11. i.e. 14,266 appeals which equates to 6,253 sessions.
The assumption is that no funding is made available during the 2010/11 financial year so 3,145
sessions were carried forward. These are then spread across a two year period as part of a recovery
plan. Backlogged sessions carried forward to 2012/13 = 1,572.
On this basis the session requirement for 2012/13 would be = 1,572 backlog + 6,253 normal
workflow + 1,418 Incapacity Benefit migration = 9,244 sessions.


2013/14
Calculations are based on Incapacity Benefit migration figures of 3,058 appeals which translate into
1,360 sessions. The assumption is that all benefit types volumes will remain steady at 2010/11 level.
The assumption is that IB appeals types will be negligible as this is the final year of migration.
This year sees the commencement of changes to the Disability Living Allowance examination
process. This is a legislative change. It is planned that the Department will run this exercise over a
three year period. The Department has projected the number of cases disallowed based on the
assumption that an additional 25% of cases over and above the current rate will be disallowed, with
different rates applied to fresh claims and the current caseload. The projected number of appeals is
based on an assumption that 75% of all disallowed cases will appeal.
These projections suggest that the Appeals Service will receive 20,869 appeals each year in 2013/14,
2014/15 & 2015/16. Volumes will reduce to 7,866 by 2016/17.
The projection of 20,869 appeals in 2013/14 financial year translates into 9,455 sessions for this area
alone.
The total anticipated number of appeals over all appeal types handled by the Appeals Service
(including Disability Living Allowance & Incapacity Benefit migration appeals figures above)
translates into 11,871 sessions.


2014/15
Appeal volumes based on assumption that all Incapacity Benefit cases have migrated and all appeals
have cleared through the system.
Assumption made that remaining benefit types remain at 2010/11 levels.
Second year of Disability Living Allowance examination changes appeals levels are estimated to be




                                                                                                          18
at 20,869 in this area.

All calculations are based on average costs during 09/10. Whilst we have indicated that a reduced
scale of bid could be delivered this would have a serious impact on Appellants and decision making
branches as this would require sessions to be capped at a lower level

The Office of the President of Appeals Tribunals - Resource Requirements.

                          2011-12          2012-13         2013-14           2014-15

 Resource                 £25,400          £50,800         £76,200          £101,600




Could reduced scale of bid be delivered?                                           Yes/No

3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                          Baseline                                   Projected Value
PSA
                          2010-11                2011-12         2012-13         2013-14         2014-15

PSA KPI 1                            No bid
                                     Bid

PSA KPI 2                            No bid
                                     Bid

PSA KPI 3                            No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?

Administration - There are no Public Service Agreement Key Performance Indicators currently reported
on by the Department for Social Development‟s Corporate Planning & Governance Unit for the
administrative portion of The Appeals Service.

The Office of the President of Appeals Tribunals – Public Service Agreement 7(1)

The wider benefit to the public is that appeals will be dealt with promptly and the correct amount of
benefit will be paid to individual claimants without delay.




4. Extent to which costs are unavoidable




                                                                                                        19
Unavoidable due to:              Yes/No      Details of why pressure cannot be avoided and or
                                             funded from within existing baselines?
Executive Pre-commitment         No



Legal/Statutory Obligation       Yes         Under Social Security Legislation customers have a
                                             statutory right of appeal against benefit and other decisions.
                                             In turn the Department is obliged to provide this appeal
                                             function through the Appeals Service.

Price Inflation                  No          Price inflation on existing baseline has been included in
                                             separate Departmental bids.


Maintain parity of provision                 Section 87 of the NI Act 1998 provides for a single system
with rest of UK                  Yes         of social security, child support and pensions for the United
                                             Kingdom. This spending proposal will maintain the long-
                                             standing policy of parity between Great Britain and
                                             Northern Ireland in social security matters. This will also
                                             ensure that NI maintains parity in the application of a
                                             benefits regime which controls benefit spend, recognises
                                             the important role of work in delivering long term fiscal
                                             stability and social benefits, ultimately contributing to
                                             addressing the wider fiscal deficit.

Other 1-



Other 2-




5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                     Yes      Having sufficient funding to process appeals quickly
                                              to hearing stage enables (in some cases) the
                                              reinstatement of benefit. This would impact
Equality
                                              positively on those customers with a disability e.g
                                              those in receipt of Disability Living Allowance and
                                              Incapacity Benefit.

                                       No
Good Relations


                                       Yes       Having sufficient funding to process appeals quickly
                                                 to hearing stage enables (in some cases) the
                                                 reinstatement of benefit. The majority of appellants
                                                 come from borderline poverty areas and rely on the
Poverty/Social Inclusion                         appeal as an attempt to maintain the standard of
                                                 living they had when receiving a particular benefit.
                                                 Increasing the delay in the time taken for an appeal
                                                 to be heard puts increasing pressure on the most
                                                 vulnerable areas of society.




                                                                                                     20
                          No
Sustainable Development




                               21
1. Summary of Spending Proposal

Title:                             Economic Downturn


Responsible Officer:               Will Haire

                                   UOS A01                                             PSA 7
Spending Area & UoB:                                         PSA/Objective
                                   UOB A0102                                           Objective 1

Link to other bids:

Date EQIA/HLIA assessment
                                   July 2010
completed:

Bid Consultees:                    Ongoing process


Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities

Payment of benefits including Job Seekers Allowance is a statutory requirement which is demand led,
those customers who meet the criteria must be paid. The costs of delivery are therefore inescapable.
Benefit registers have increased significantly from the start of the 2007 spending review period when the
economy was performing well and registers were below the 25,000 mark. The Agency performs a vital
role in addressing the effects of the downturn by ensuring that those affected receive the financial
assistance to which they are entitled. This financial support is critical to Agency customers until they are
able to move back into the workforce. Traditionally unemployment lags behind economic progress and
whilst the economy may have turned the corner, the claimant count is still rising. Some forecasters have
indicated that it will take years (estimates of 2 – 5 have been given) for employment to return to pre
economic downturn levels. Due to the complex factors at play both nationally and internationally, the
impact on employment will only be known with certainty as recovery progresses. However, it is clear that
the economic downturn will continue to be a significant feature of the Agency‟s business for the coming
Budget 2010 period.




2. Resource Requirements (£000’s)
                      Baseline                          Budget 2010 Resource Requirements
                                                                 (additional amount)
                           2010-11          2011-12           2012-13          2013-14          2014-15
Resource                          0             4,245           3,870             3,665              2,901
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment




                                                                                                        22
The Jobseekers Allowance register increased from 25,100 in April 2008 to 55,500 in May 2010
which represents an increase of 121%. The additional pressure which has arisen as a
result of the downturn is approximately £4.5m for 2010/11. The Agency continues to monitor
forecast assumptions across a broad range of public and private sector organisations, these forecasts
currently suggest that registers will continue to rise in 2010 and may increase beyond this period
depending on the out workings of the impact of reductions in public spending at a national and
international level. Assuming that economic recovery and employment levels broadly mirror the
timescales following the 1993 unemployment peak, the additional pressure to the Agency would be
£4.2m, £3.9m, £3.7m and £2.9m across the four years.


There are no non-cash costs relevant to this bid.


Could reduced scale of bid be delivered?                                           Yes/No


3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                        Baseline                                     Projected Value
PSA
                        2010-11                     2011-12      2012-13         2013-14         2014-15

PSA KPI 1                            No bid
                                     Bid

PSA KPI 2                            No bid
                                     Bid

PSA KPI 3                            No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?

Some of the most vulnerable members of our society are dependent on the payment of benefit on a timely
and accurate basis. This spending proposal will enable the Agency to deliver its statutory requirement of
benefit services in line with increased customer demand on a timely and accurate basis and will ensure
that those affected by the recession receive the financial assistance to which they are entitled whilst the
economy moves firmly into recovery and delivers the associated increases in employment, and longer
term fiscal stability arising from employment.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No        Details of why pressure cannot be avoided and or
                                               funded from within existing baselines?
Executive Pre-commitment
                                   No


Legal/Statutory Obligation
                                   Yes         Payment of benefit is a statutory requirement and is demand
                                               led.




                                                                                                        23
Price Inflation
                                No


Maintain parity of provision
with rest of UK                 Yes         HM Treasury has made additional funding available to the
                                            Department for Work and Pensions to address the impact of
                                            the downturn.
Other 1-



Other 2-




5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                         Detail
                                              This spending proposal will ensure that NI
                                     Yes      customers receive the same services as those in GB
                                              where HM Treasury has made additional funding
Equality
                                              available to the Department for Work and Pensions
                                              to address the impact of the downturn under
                                              previous budget settlements.

                                      Yes       This spending proposal will ensure continued
Good Relations                                  benefit service delivery to customers.


                                                Some of the most vulnerable members of our society
                                      Yes       are dependent on the payment of benefit on a timely
Poverty/Social Inclusion                        and accurate basis thereby contributing to combating
                                                poverty.


                                      Yes       This spending proposal will ensure continued
Sustainable Development                         benefit service delivery to customers and the wider
                                                fiscal benefit arising from employment.




                                                                                                  24
1. Summary of Spending Proposal

Title:                         Application of Benefit Conditionality Regime



Responsible Officer:           Will Haire


                               UOS A01                                        PSA 7
Spending Area & UoB:                                   PSA/Objective
                               UOB A0102                                      Objective 1


                               This bid is linked to the Agency‟s Medical Support Services and
                               Welfare Reform bids, Department for Employment & Learning‟s
Link to other bids:
                               Income Support/Incapacity Benefit Migration and Steps to Work bids
                               and the Appeals Service bid.


Date EQIA/HLIA
                               July 2010
assessment completed:


Bid Consultees:                Department for Employment & Learning



Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities




                                                                                              25
Following the introduction of the new Employment and Support Allowance benefit in October 2008, the
Welfare Reform White Paper “Raising Expectations and Increasing Support: Reforming Welfare for the
Future” published in December 2008 set out the arrangements for the migration of existing Income
Support (paid on the grounds of incapacity) and Incapacity Benefit customers to Employment and
Support Allowance. Employment and Support Allowance is aimed at helping people stay in/return to
work, focusing on what customers can do as opposed to what they can‟t, removing the barriers to work
and thereby increasing the level of economic activity in NI and securing the well–being of the working
age population. Migration of existing Income Support/Incapacity Benefit customers is the next step in
this process commencing in April 2011 and completing over a three year period. Payment of benefit is a
statutory requirement and is therefore inescapable. As a result of Employment and Support Allowance,
the Agency has experienced a significant increase in its workloads to administer this complex benefit and
in the new mandated medical assessment. Workloads will be exacerbated further with the migration of
existing Income Support/Incapacity Benefit customers (approx 76k customers) from April 2011.

Moving customers to the Employment and Support Allowance will provide them with additional support
and help to address their barriers to employment and independent living for some of the most vulnerable
and disadvantaged elements of society which is a key priority of the Programme for Government and will
have wider positive impacts on the economy. Within the context of Budget 2010 the new Coalition
Government have recognised the impact of benefit spend on the wider public finances and fiscal stability;
Annually Managed Expenditure spend is being included within the SR 2010 evaluation. A high level of
employment is one of the key contributors to long term stability. Further to this the Chief Secretary to the
Treasury, Danny Alexander has stated that welfare reform savings „will free up headroom for DEL‟. This
suggests that reductions in Annually Managed Expenditure will reduce the level of Departmental
Expenditure Limit budget savings required to be achieved in the Treasury‟s fiscal mandate for the
Spending Review period. Within the Spending Review 2010 planning assumptions to date £11billion of
Annually Managed Expenditure savings have been included in the Departmental Expenditure Limit
savings estimates required from Departments within GB. Whilst it is recognised that further Welfare
reform plans may give rise to additional savings these have not been factored into Departmental
Expenditure Limit estimates or requirements at this time.

The initiative is expected to generate significant Annually Managed Expenditure savings through
alignment of benefit rates i.e. for those customers migrated to Employment and Support Allowance who
currently receive a higher Income Support/Incapacity Benefit payment than what they would be entitled to
under an Employment and Support Allowance claim, their existing rate of benefit will be frozen until the
Employment and Support Allowance rates come into line with their level of benefit payment and off-flows
to other benefits or away from benefits entirely. It is anticipated that the majority of the Annually
Managed Expenditure savings anticipated will be delivered by the alignment of benefit rates. Early
estimates indicate that in the region of £190-£220million of Annually Managed Expenditure savings could
be delivered over a ten year period directly contributing to achieving fiscal stability at the wider
Exchequer level.

As a key outcome of the initiative is to contribute to a rise in the level of economic activity through
increasing the number of customers actively seeking work, the proposals will deliver against the top
priority of NI Executive‟s Programme for Government “to grow a dynamic, innovative economy” and will
contribute to the Programme for Government priority area “to promote tolerance, inclusion, health and
well-being”. The proposal will also contribute to delivery against Public Service Agreement 7.
The proposal is consistent with achieving the wider social and economic benefits which can be derived
from a system where income from work is financially advantageous to income from benefits; ensuring that
assistance is available to those entitled, controlling benefit spend in accordance with the parameters within
the legislation, whilst ensuring that constrained resources are targeted at those in need.




2. Resource Requirements (£000’s)


                                                                                                       26
                         Baseline                        Budget 2010 Resource Requirements
                                                                  (additional amount)
                          2010-11            2011-12           2012-13          2013-14            2014-15
Resource                           0            11,171          12,480            14,943            12,741
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

This spending proposal is based on the most recent information available and is in line with the
approved Employment and Support Allowance and Income Support/Incapacity Benefit Migration
Outline Business cases and the Medical Support Services Outline Business case currently under
review by the Department of Finance and Personnel. The Agency is continuing to monitor any
changes to the implementation profiles which will impact on the quantum and duration of the funding
needed.

The spending proposal includes depreciation costs associated with the Agency‟s Medical Support
Services Capital Expenditure bid. (£179k, £299k, £299k and £299k)




Could reduced scale of bid be delivered?                                                Yes/No


3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                        Baseline                                          Projected Value
PSA
                        2010-11                      2011-12          2012-13            2013-14        2014-15

                                       No bid
PSA KPI 1
                                       Bid

                                       No bid
PSA KPI 2
                                       Bid

                                       No bid
PSA KPI 3
                                       Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to the
public?




                                                                                                        27
Moving customers to the Employment and Support Allowance will provide them with help and support to
address their barriers to employment and independent living. This is a key priority of the Programme for
Government and will have wider positive impacts on the economy. The proposal will increase the economic
activity rate, reduce benefit dependency and help combat poverty and social exclusion.

The public will benefit by improved general health and well being of people at work, and reduce the numbers
of work related illnesses, better access to those who have been off work or unemployed through ill health,
decreased sickness absence rates –with increased productivity and reduced costs to businesses through not
having to meet sick pay and substitution costs alongside benefits to Treasury through reduced payments of
sickness or invalidity benefit. The proposal will also contribute to a reduction in economic inactivity leading
to an increase in Northern Ireland employment rate.

This bid is linked to Programme for Government top priority of Growing a dynamic, innovative economy” and
Priority 2: Promote Tolerance, Inclusion and Health and Well-Being and Public Service Agreement 7: Making
Peoples Lives Better, Objective 1.

The proposals are consistent with the wider aims of the Exchequer by supporting work as a key driver of long
term fiscal stability, ensuring that scarce resources are targeted appropriately and at those most in need and
delivering the conditionality regime as consistent with benefit criteria. The wider public finances will be
positively impacted by these measures contributing to the reduction of the UK wider deficit, on a consistent
manner to GB.




4. Extent to which costs are unavoidable
Unavoidable due to:                 Yes/No         Details of why pressure cannot be avoided and or
                                                   funded from within existing baselines?


Executive Pre-commitment               No



Legal/Statutory Obligation                         The Welfare Reform Act (Northern Ireland) 2007 provided
                                       Yes         for the introduction of the Employment and Support
                                                   Allowance to replace existing claimants from incapacity
                                                   benefits (Incapacity Benefit, Severe Disablement
                                                   Allowance and Income Support paid on the grounds of
                                                   incapacity/disability). The Act also made provision to
                                                   allow for the migration of existing claimants to the
                                                   Employment and Support Allowance.

                                                   The Employment and Support Allowance (Transitional
                                                   Provisions and Housing Benefit) (existing awards)
                                                   Regulations (Northern Ireland) 2010 provide for migration
                                                   from existing incapacity benefits to Employment and
                                                   Support Allowance and are scheduled to receive Royal
                                                   Assent by Aug 2010.

                                                   The legislation allows for N. Ireland to maintain social
                                                   security parity with Great Britain (Welfare Reform Act
                                                   2007) and contribute to Government targets of reducing by
                                                   1 million the number of people claiming incapacity benefits
                                                   in the United Kingdom and increase the proportion of the
                                                   working age population in employment from 74.7% to 80%
                                                   over a ten year period.




                                                                                                      28
Price Inflation
                                     No




Maintain parity of provision with               Section 87 of the NI Act 1998 provides for a single system
rest of UK                           Yes        of social security, child support and pensions for the United
                                                Kingdom. This spending proposal will maintain the long-
                                                standing policy of parity between Great Britain and
                                                Northern Ireland in social security matters. This will also
                                                ensure that NI maintains parity in the application of a
                                                benefits regime which controls benefit spend, recognises
                                                the important role of work in delivering long term fiscal
                                                stability and social benefits, ultimately contributing to
                                                addressing the wider fiscal deficit.

Other 1-




Other 2-




5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                              This spending proposal ensures equality of
                                     Yes      opportunity and addresses inequality in the benefit
                                              regimes by ensuring that claimants not included in
                                              previous phases of welfare reform benefit from
                                              positive intervention and an enhanced level of
                                              support to assist them to return to work. This is in
Equality
                                              line with the Programme for Government objective
                                              “To promote tolerance, inclusion, health and well-
                                              being” and PSA 7: Making people‟s lives better by
                                              driving a programme across government to reduce
                                              poverty and address inequality and disadvantage.

                                                Moving customers to ESA will address gaps in
                                     Yes        service so that people will get a service tailored to
Good Relations                                  meet their particular need and not a fit for all
                                                service.
                                                Evidence has indicated that there are a significant
                                     Yes        number of people trapped on benefits and living at
                                                the margins of society and that the only way to
                                                break the cycle of intergenerational poverty is to
                                                support families back to work. This spending
Poverty/Social Inclusion                        proposal will put in place structures to:
                                                    assess the capability for work of individuals to
                                                     ensure that they get the right help and support
                                                     to find work; and
                                                    provide additional support to protect the most


                                                                                                        29
                                      vulnerable and disabled people in society.
                                assisting the Agency to deliver against PSA 7:
                                Making people‟s lives better by driving a
                                programme across government to reduce poverty
                                and address inequality and disadvantage. This will
                                ensure that NI is best placed to deliver the parity
                                regime which is aimed at wider social inclusion and
                                the economic benefits of a system where work is
                                ultimately more advantageous than benefits.

                                This spending proposal will put in place structures
                          Yes   to assess the capability for work of individuals
                                putting in place the necessary help and support to
                                enable those capable of work to find work or move
Sustainable Development         closer to the labour market, thereby supplying an
                                additional pool of labour, sustaining the economy
                                and reducing benefit dependency and contributing to
                                the wider fiscal stability and sound public finances
                                at the Exchequer level.




                                                                                 30
1. Summary of Spending Proposal

Title:                         Welfare Reform




Responsible Officer:           Will Haire




                               UOS A01                                         PSA 7
Spending Area & UoB:                                   PSA/Objective
                               UOB A0102                                       Objective 1



                               This bid is linked to the Agency‟s Welfare Reform (Capital), Jobs &
                               Benefits and Application of Benefit Conditionality Regime bids, the
Link to other bids:
                               Appeals Service Bid and the Department for Employment & Learning‟s
                               Steps to Work bid



Date EQIA/HLIA assessment
                               July 2010
completed:




Bid Consultees:                Ongoing process




Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities




                                                                                              31
The Social Security Agency is required to maintain parity of benefit legislation and IT systems with the
Department for Work and Pensions, GB. This ensures that the NI customer receives the same benefits
regime and rates as customers within the rest of the UK. Under the auspice of parity, benefits are funded
directly from HM Treasury. The Agency uses the Department for Work and Pensions designed procured
and developed systems for the delivery of services to its customers, this is cost effective for the tax payer as
a whole as NI only pay its share of the day to day running costs and is exempted from the significant
investment and ongoing maintenance and running costs which would be required to deliver and maintain a
separate NI benefits system and regime. The Department for Work and Pensions are taking forward an
extensive programme of reform including those arising from the Welfare Reforms White Paper “Raising
Expectations and Increasing Support: Reforming Welfare for the Future” which contains some 60 measures,
encompassing the migration of Income Support (paid on the grounds of incapacity) and Incapacity Benefit
customers on to the Employment and Support Allowance. More recently, the Coalition Government have
announced plans for further reforms including simplification of the welfare system, including acceleration of
movement of Lone Parents with children from Income Support to Jobseekers Allowance, acceleration of the
State Pension Age to 66, the introduction of a new medical assessment for existing and new Disability
Living Allowance customers. In addition to announced plans, the Department for Work and Pensions has
confirmed that a White Paper on Welfare Reform will be published at the end of July 10 which will propose
fundamental and significant changes to the welfare system including the introduction of a Dynamic Benefit
System and the Universal Credits scheme, a single benefit made up of two components: Universal Work
Credit, which would combine Job Seekers Allowance, Income Support, Incapacity Benefit/Employment and
Support Allowance and Universal Life Credit, which will impact a range of working age benefits. Whilst
detailed information on Budget 2010 initiatives and the content of the White Paper is not yet available, it is
clear that the changes will place a significant burden on Agency resources as it must ensure that the systems
implemented meet the needs of the NI customer over this Budget period and into the next.
The new Secretary of State for Work and Pensions, Iain Duncan Smith, indicates that the changes will be
extensive and fundamental within his paper for the Centre for Social Justice. This paper focuses on the need
to secure the wider social benefits of work for the citizen by ensuring that a life in work is more financially
advantageous than a life on benefit and. the importance of employment for those who can work as a pillar of
long term fiscal stability, with appropriate support for those who cannot. This is consistent with the new
coalition government‟s focus on the wider fiscal position, and the impact of Annually Managed Expenditure
and Departmental Expenditure Limit expenditure measures in reducing the deficit within the Budget 2010.
The Chief Secretary to the Treasury, Danny Alexander has stated that Welfare Reform savings „will free up
headroom for DEL‟. This suggests that reductions in Annually Managed Expenditure will reduce the level
of Departmental Expenditure Limit budget savings required to be achieved in the Treasury‟s fiscal mandate
for the Spending Review period. Within the Spending Review 2010 planning assumptions to date £11billion
of Annually Managed Expenditure savings have been included in the Departmental Expenditure Limit
budget savings estimates required from Departments within GB. Whilst it is recognised that further Welfare
reform plans may give rise to additional savings these have not been factored into Departmental Expenditure
Limit estimates or requirements at this time.
Within the Northern Ireland context early estimates of the Annually Managed Expenditure savings arising
from the Income Support/Incapacity Benefit migration onto Employment and Support Allowance have been
estimated at £190m-£220m over a ten year period, outstripping the additional Departmental Expenditure
Limit budget costs of delivery which have been estimated at £30m ( approx) over this period. Very early
estimates of the new Disability Living Allowance assessment, indicates that Annually Managed Expenditure
savings of approximately £98m will be delivered over the Budget period, providing a significant return on
Departmental Expenditure Limit budget costs of delivery
As a key outcome of these initiatives is to contribute to a rise in the level of economic activity through
increasing the number of customers actively seeking work, the proposals will deliver against the top priority
of NI Executive‟s Programme for Government “to grow a dynamic, innovative economy” and will
contribute to the Programme for Government priority area “to promote tolerance, inclusion, health and well-
being”. The proposals will also contribute to delivery against Public Service Agreement 7.
This proposal also includes requirements for the Central Payments System which are unavoidable in
delivering the benefit regime and ensuring that customers get paid under the NI banking arrangements.
Requirements for the Department of Employment & Learning are unknown at this time and are therefore not
included in this bid.




                                                                                                       32
2. Resource Requirements (£000’s)
                      Baseline                           Budget 2010 Resource Requirements
                                                                  (additional amount)
                           2010-11            2011-12          2012-13          2013-14           2014-15
Resource                            0            4,466          23,933            47,916           44,540
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

This spending proposal is based on the very limited information available at this time and has been
constructed using a number of assumptions. Predominantly it has been assumed that the new
Disability Living Allowance medical assessment will be broadly comparable to costs associated with
Income Support/Incapacity Benefit Migration. For the introduction of the Universal Credits/Dynamic
Benefits scheme which is a significant change impacting an extensive a range of benefits and is a
fundamental change to the benefit system, we have used the costs associated with the introduction of
Employment and Support Allowance and migration of Incapacity Benefit customers as the best
estimate at this time. We will continue to impact further information as it becomes available.

It should be noted that the changes proposed may be extensive resulting in an amalgamation of
current benefits into a work and living benefit and could require related IT changes across most if not
all of the current benefit systems. Whilst under parity the Department for Work and Pensions will be
in the lead, this will require extensive work and associated costs to implement within Northern
Ireland to ensure that the new system will be delivered to meet the needs of the NI customer.

Depreciation costs in line with the Agency‟s Welfare Reform and Jobs & Benefits Capital bids have
been included. (£307k, £713k, £1,129k and £1,359k)

Could reduced scale of bid be delivered?                                                Yes/No


3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                         Baseline                                        Projected Value
PSA
                         2010-11                    2011-12         2012-13             2013-14      2014-15

                                        No bid
PSA KPI 1
                                        Bid

                                        No bid
PSA KPI 2
                                        Bid

                                        No bid
PSA KPI 3
                                        Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?




                                                                                                       33
This spending proposal will ensure that the Agency maintains parity of benefit legislation, benefit rates, and
IT systems with the Department for Work and Pensions, GB. The Coalition Government is committed to
fighting poverty, supporting the most vulnerable, helping people break the cycle of benefit dependency and
simplifying the back to work system. The Universal Credit/Dynamic Benefits is a key enabler to achieving
the Government‟s agenda through the introduction of a simplified benefit system that provides greater
rewards for work, maximises the number of working-age households with at least one member in work,
thereby directly tackling severe poverty and increasing the life chances of adults and children, The
proposals will also increase the economic activity rate through increased employment, reduced benefit
dependency and help combat poverty and are consistent with the new coalition government„s focus on work
and employment as a pillar of long term fiscal stability.

Failure to maintain parity within the benefits regime could have potential negative impacts on NI block
Departmental Expenditure Limit budget allocations and the wider public finances. The customer could be
further impacted if NI does not implement the new work benefit regime, which seeks to ensure that income
from work is more advantageous both socially and financially than income from benefits for the individual.

This bid is linked to Programme for Government top priority of Growing a dynamic, innovative economy
and Priority 2: Promote Tolerance, Inclusion and Health and Well-Being and Public Service Agreement 7:
Making Peoples Lives Better.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No        Details of why pressure cannot be avoided and or
                                               funded from within existing baselines?
Executive Pre-commitment           No




Legal/Statutory Obligation
                                   Yes         The Agency is required to maintain legislative parity with
                                               the Department for Work and Pensions in accordance with
                                               the Welfare Reform Act (Northern Ireland) 2007

                                               In it anticipated that any future legislation required to
                                               deliver the wider Welfare Reform agenda will be replicated
                                               in Northern Ireland providing the legislative basis and
                                               obligation to bring forward the proposed changes to the
                                               benefit system.
Price Inflation
                                   No
Maintain parity of provision                   Section 87 of the NI Act 1998 provides for a single system
with rest of UK                    Yes         of social security, child support and pensions for the United
                                               Kingdom. This spending proposal will maintain the long-
                                               standing policy of parity between Great Britain and
                                               Northern Ireland in social security matters.

Other 1-


Other 2-




                                                                                                      34
5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                              This spending proposal will ensure equality of
                                     Yes      opportunity and address inequality in the benefit
                                              regimes by ensuring that claimants not included in
                                              previous phases of welfare reform benefit from
                                              positive intervention and an enhanced level of
                                              support to assist them to return to work. This is in
Equality                                      line with the Programme for Government objective
                                              “To promote tolerance, inclusion, health and well-
                                              being” and Public Service Agreement 7: Making
                                              people‟s lives better by driving a programme across
                                              government to reduce poverty and address
                                              inequality and disadvantage.


                                     Yes        The reforms within this spending proposal will
Good Relations                                  enable people to get a service tailored to meet their
                                                particular need and not a one size fits all service.

                                                Evidence has indicated that there are a significant
                                                number of people trapped on benefits and living at
                                     Yes        the margins of society and that the only way to
                                                break the cycle of intergenerational poverty is to
                                                support families back to work. This spending
                                                proposal will put in place structures to assess the
                                                capability for work of individuals to ensure that they
                                                get the right help and support to find work assisting
Poverty/Social Inclusion                        the Agency to deliver against Public Service
                                                Agreement 7: Making people‟s lives better by
                                                driving a programme across government to reduce
                                                poverty and address inequality and disadvantage.
                                                This will also ensure that NI is best placed to deliver
                                                the parity regime which is aimed at ensuring the
                                                wider social and economic benefits of a system
                                                where work is more financially advantageous to
                                                benefit.
                                                This spending proposal seek to reduce benefit
                                     Yes        dependency and put in place structures and systems
                                                that provide the necessary help and support to
                                                enable those capable of work to find work or move
Sustainable Development                         closer to the labour market, thereby supplying an
                                                additional pool of labour, sustaining the economy
                                                and reducing benefit dependency contributing to
                                                fiscal stability at the wider Exchequer level.




                                                                                                    35
1. Summary of Spending Proposal
Title:                          Child Maintenance

Responsible Officer:            Andrea Orr

                                UOS A02                                              PSA 7
Spending Area & UoB:                                     PSA/Objective
                                UOB A0202                                            Objective 1

Link to other bids:

Date EQIA/HLIA
                                July 2010
assessment completed:

Bid Consultees:                 Ongoing process

Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities

As part of the overall redesign of child maintenance arrangements, a new statutory child maintenance
scheme is due to be introduced in 2011 (current planning assumption November 2011). There will be a
period of transition during which the Child Maintenance and Enforcement Division will be required to
administer 3 statutory child maintenance schemes on 3 child support computer systems.

Delivery of redesigned arrangements, including the new Statutory Scheme, contributes to Public Service
Agreement Objective 1 of Public Service Agreement 7 ‘to take forward action to provide for
reasonable reductions in the levels of poverty and particularly child poverty’.

Introduction of the new scheme and the managed arrangements for the withdrawal of existing schemes
is needed to maintain parity with Great Britain on child maintenance matters.




2. Resource Requirements (£000’s)
                      Baseline                        Budget 2010 Resource Requirements
                                                               (additional amount)
                          2010-11           2011-12         2012-13          2013-14               2014-15
Resource                        nil           1,876           3,819             3,870                1,294
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

The level of resource requirement is based on best available information and current assumptions,
including the planned implementation timescale.

Detailed regulations for Transition arrangements will be required which may impact the bid.




Could reduced scale of bid be delivered?                                             Yes/No




                                                                                                        36
3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                        Baseline                                     Projected Value
PSA
                        2010-11                  2011-12         2012-13         2013-14         2014-15

PSA KPI 1                           No bid
                                    Bid              1,876k          3,819k          3,870k          1,294k

PSA KPI 2                           No bid
                                    Bid

PSA KPI 3                           No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits
to the public?

A new statutory child maintenance scheme is due to be introduced in Q3 2011 (current planning
assumption November 2011).

This is part of the overall redesign of child maintenance arrangements. Delivery of redesigned
arrangements, including the new Statutory Scheme, contributes to Public Service Agreement Objective 1
of Public Service Agreement 7 ‘to take forward action to provide for reasonable reductions in the
levels of poverty and particularly child poverty’

On current plans, from November 2011 and throughout the 2012/13 and 2013/14 financial years the Child
Maintenance and Enforcement Division will be required to administer 3 statutory child maintenance
schemes on 3 child support computer systems – the future scheme (from November 2011) the „current‟
scheme, relating to cases received on or after 3 March 2003, and the „old‟ scheme, relating to cases
received prior to 3 March 2003.

The future scheme is due to open to new clients from November 2011. Existing clients will also be given
the opportunity to move onto the new scheme. This is expected to be managed in tranches to minimise the
impact on the new scheme and safeguard existing payment arrangements. In addition there will be
significant work required on existing cases in bringing maintenance assessments up to date, auctioning all
outstanding actions, calculating any final balance, closing the case and offering information and support to
enable clients to make informed choices on their future child maintenance arrangements. The requirement
to run three schemes will be for the period of transition only.




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No        Details of why pressure cannot be avoided and or
                                               funded from within existing baselines?
Executive Pre-commitment           No
Legal/Statutory Obligation         Yes         The administration of child maintenance is a legal/statutory
                                               obligation under the Child Support (Northern Ireland)
                                               Order 1991 (as amended by the 1995 and 2000 Orders) and
                                               the Child Maintenance Act (Northern Ireland) 2008.


Price Inflation                    No




                                                                                                      37
Maintain parity of provision   Yes   Northern Ireland seeks to maintain parity with Great Britain
with rest of UK                      on all child maintenance matters.

                                     Failure of this bid would mean that Northern Ireland would
                                     not be in a position to introduce the new statutory scheme
                                     as planned. As a result, parents in Northern Ireland would
                                     have differing child maintenance arrangements to parents in
                                     the rest of the UK.

                                     Northern Ireland currently shares its Child Maintenance IT
                                     systems with the Great Britain Child Maintenance and
                                     Enforcement Commission. When the Commission
                                     withdraws current systems, Northern Ireland will not be in a
                                     position to administer current arrangements. The cost for
                                     Northern Ireland to retain current IT systems in this
                                     scenario would by far exceed the value of this bid.



Other 1-



Other 2-




                                                                                           38
5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                              The Child Maintenance and Enforcement Division
                                     Yes      promotes and secures effective child maintenance
                                              arrangements for children whose parents live apart.
                                              As the majority of separated parents who have care
                                              of children are female, child maintenance
                                              arrangements have a positive impact on females.
Equality                                      This is not expected to change with the introduction
                                              of the new Statutory Scheme.

                                                Introduction of the new scheme will also impact
                                                positively on families with dependents in the same
                                                way as current schemes.

                                     No

Good Relations


                                                The child maintenance system is used by some of
                                                the most disadvantaged in society. Redesigned
                                                arrangements, including the introduction of the new
                                     Yes        statutory scheme should have a positive impact on
Poverty/Social Inclusion
                                                poverty/social inclusion. Arrangements for the
                                                promotion of financial responsibility will be part of
                                                the redesigned scheme.

                                     No

Sustainable Development




                                                                                                   39
1. Summary of Spending Proposal
Title:                            Women‟s Centres Childcare Fund

Responsible Officer:              Maeve Walls

                                  UOS C01                                               PSA 12
Spending Area & UoB:                                      PSA/Objective
                                  UOB C0105                                             Objective 5

Link to other bids:

Date EQIA/HLIA
                                  None – continuation of emergency fund
assessment completed:
                                  Women‟s Centres Regional Partnership; OFMDFM Gender Equality
Bid Consultees:
                                  Unit
Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities
This spending proposal will maintain 2,900X2 hour childcare places per week vital to support the wide
range of services, including education, training, family support, offered by 13 women‟s centres across
disadvantaged areas in Northern Ireland. These services fit with building sustainable community
principles and the Programme for Government aim to drive a programme across Government to reduce
poverty (particularly child poverty) and address inequality and disadvantage.




2. Resource Requirements (£000’s)
                      Baseline                       Budget 2010 Resource Requirements
                                                                  (additional amount)
                        2010-11          2011-12          2012-13            2013-14             2014-15
Resource                   900             900              900                 900               900
Admin
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

Economic Appraisals carried out on current expenditure. Funding levels not increased year on year
since inception of Women‟s Centres Childcare Fund in 2008 in support of Voluntary and Community
Unit‟s effort for efficiency savings. This bid seeks to sustain the same levels of childcare provision.

Reduced bid would decrease number of childcare places and in some cases threaten the viability of
the centres with further loss of services to disadvantaged areas.




Could reduced scale of bid be delivered?                                                Yes/No




                                                                                                           40
3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                       Baseline                                    Projected Value
PSA
                        2010-11                 2011-12         2012-13        2013-14         2014-15

PSA KPI 1                           No bid
                                    Bid

PSA KPI 2                           No bid
                                    Bid

PSA KPI 3                           No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?

Public Service Agreement 3 INCREASING EMPLOYMENT - This childcare provision supports
women‟s access to training and education increasing employment prospects. It provides local childcare
jobs.
Public Service Agreement 6 CHILDREN AND FAMILY - This childcare provision compliments pre-
school and formal education
Public Service Agreement 10 HELPING OUR CHILDREN AND YOUNG PEOPLE TO ACHIEVE
THROUGH
EDUCATION - Women in disadvantaged areas are better equipped to assist their children‟s learning and
development. Women‟s confidence and capacity to contribute as partners with formal education providers
is raised and this enables holistic support for children to achieve higher levels of attainment and better
academic qualifications.
Public Service Agreement 12 HOUSING, URBAN REGENERATION AND COMMUNITY
DEVELOPMENT - Women‟s centres are a proven resource to community development in particular
engaging marginalised and excluded women. The skills developed through activities at the women‟s
centres can be transferred to their families and extended communities.


4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No       Details of why pressure cannot be avoided and or
                                              funded from within existing baselines?
Executive Pre-commitment          Yes         Ministerial Sub-Committee for Children & Young People
                                              requested that all Departments continue childcare funding
                                              while a childcare strategy was developed. The Department
                                              did so in 2009/10 and again in 2010/11. No baseline
                                              available.
Legal/Statutory Obligation        No


Price Inflation                   No


Maintain parity of provision      No
with rest of UK

Other 1-



Other 2-




                                                                                                    41
5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                     Yes      Subsidised or affordable childcare (accessible to the
                                              unemployed and women on low income)
Equality                                      Equality of opportunity for women to access
                                              education and training opportunities while their
                                              children are looked after in a safe environment.
                                     Yes      Women‟s centres have a proven record in working
                                              across the community divide and supporting ethnic
Good Relations                                minority women and families.


                                      Yes       All projects are targeted at areas of greatest social
                                                deprivation, including Neighbourhood Renewal
Poverty/Social Inclusion                        Areas.


                                      yes       Creating local jobs and trainee positions for
                                                childcare. Women‟s centres also hold a unique
Sustainable Development                         position in communities and help improve quality of
                                                life and job prospects generally.




                                                                                                        42
1. Summary of Spending Proposal
Title:                           Building Sustainable Communities

Responsible Officer:             Henry Johnston

                                 UOS C01                                               PSA 12
Spending Area & UoB:                                      PSA/Objective
                                 UOB C0102                                             Objective 5
                                 Linked to Physical Development capital bid which includes £10
Link to other bids:
                                 million for Building Sustainable Communities
Date EQIA/HLIA
                                 July 2010
assessment completed:

Bid Consultees:                  Ongoing process

Set out short summary of the main details of the spending proposal including alignment with
Ministerial Priorities

The Building Sustainable Communities programme delivers integrated housing and urban regeneration
initiatives as part of the Executive‟s Shared Future framework.
The programme will develop activities across four areas: (1) shared services, to establish „one stop
shop‟ facilities for accessing public services that are accessible to all and incorporate cross-community
representation in governance structures; (2) an exemplar project for integrating shared services across
an interface area; (3) a programme of activities through the Department‟s Shared Neighbourhood
Programme; and (4) development of training programmes to develop and share learning on shared
future practices.




2. Resource Requirements (£000’s)
                      Baseline                         Budget 2010 Resource Requirements
                                                                 (additional amount)
                           2010-11           2011-12         2012-13           2013-14               2014-15
Resource                           -             800            1,800             2,750                4,750
Admin                              -             200              200                  250              250
Supporting evidence that level of resource requirement is the minimum necessary – include if
includes depreciation and impairment

The level of requested resources is in line with similar programmes delivered by the Urban
Regeneration and Community Development Group and represent the minimum required to deliver a
shared service.




Could reduced scale of bid be delivered?                                               Yes/No




                                                                                                          43
3. Public Service Impact on PSA Key Performance Indicators (KPI’s)
                      Baseline                                 Projected Value
PSA
                      2010-11                2011-12       2012-13        2013-14       2014-15

PSA KPI 1                        No bid
                                 Bid

PSA KPI 2                        No bid
                                 Bid

PSA KPI 3                        No bid
                                Bid
How will spending proposal impact on PSA Key Performance Indicators and bring wider benefits to
the public?




4. Extent to which costs are unavoidable
Unavoidable due to:              Yes/No    Details of why pressure cannot be avoided and or
                                           funded from within existing baselines?
Executive Pre-commitment         No



Legal/Statutory Obligation       No



Price Inflation                  No



Maintain parity of provision     No
with rest of UK


Other 1-



Other 2-




                                                                                              44
5. Positive Equality and Sustainable Development Impact
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                     Yes      Proposal will target communities of different
                                              religious belief and racial group and therefore
Equality                                      contributes to the Department‟s statutory equality
                                              duty.

                                     Yes        Proposal is focused around the priority to improve
                                                and strengthen relationships between and within
Good Relations                                  communities, and contributes to the Department‟s
                                                statutory duty to promote good relations.

                                     Yes        Proposal targets the most segregated
                                                neighbourhoods, which research has shown tend to
Poverty/Social Inclusion                        be those which are also most likely to experience
                                                multiple deprivation.

                                     Yes        Proposal forms a key contributor to the
                                                Department‟s Public Service Agreement 12(5) in
Sustainable Development                         respect of building sustainable communities and
                                                strengthening community cohesion.




                                                                                                   45
               Appendix 2




CAPITAL BIDS




                      46
Table A2- Summary of Capital Investment Departmental Spending
Proposals, including Associated Resource Requirements.

                                                                Capital (£000’s)
                                   ISNI      Sub-
Spending Proposal
                                   Pillar
                                                    2011-12   2012-13    2013-14        2014-15


Jobs and Benefits project          Welfare            7,159    13,764      14,406             2,002
                                   Reform            R1,684    R2,168      R3,008            R3,173


Medical Support Services           Welfare            1,250       725              0             0
                                   Reform


Welfare Reform                     Welfare            1,000     1,000       1,000             1,000
                                   Reform


Social Housing Development         Housing          164,500   169,700     176,400           183,400
Programme – 2000 unit starts


Housing Urban Regeneration Areas   Housing           17,076    13,913      10,173             4,577



Decent Homes                       Housing           29,300    30,200      31,400            32,700



Disabled Adaptations               Housing            9,252     9,548       9,925            10,317



Private Sector Grants              Housing           31,350    33,700      38,800            39,000



Warm Homes/Fuel Poverty            Housing           20,500    20,500      20,500            20,500



Capital grants to NIHE             Housing            3,500     3,500       3,500             3,500



NI Co-ownership Housing Assoc      Housing           15,000    15,000      15,000            15,000



Mortgage Rescue Scheme             Housing            5,000     5,000       5,000             5,000



Supporting People – Bamford        Housing           27,300    55,380      45,850            11,630
Review                                               R1,345    R4,547     R11,692           R16,730




                                                                                       47
Community Based Capital Projects   Regeneration   19,848   11,572     8,956         8,000



Physical Development               Regeneration   49,853   68,626    67,415        65,300



Fort George                        Regeneration    9,000    8,252     9,000         6,100



Royal Exchange                     Regeneration       0        0    110,000            0
                                                   R650     R230      R100          R100




                                                                              48
1. Summary of Capital Spending Proposal
Title:                           Jobs & Benefits

Responsible Officer:             Will Haire

                                 UOS A01
Spending Area & UoB:                                       ISNI Sub-Pillar        Welfare Reform
                                 UOB A0102
                                 This bid is linked to the Agency‟s Application of Benefit
Link to other bids:              Conditionality Regime and Welfare reform bids and the Department
                                 for Employment and Learning‟s Steps to Work bid.
Date EQIA/HLIA
                                 July 2010
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The Jobs & Benefits project is a key part of the programme of reform and modernisation of the welfare
system in Northern Ireland supporting delivery of the Government‟s objective of „work for those who
can and support for those who can‟t‟. It is pivotal to the coalition Government‟s focus of moving
people back into work and making work pay through creating a “Return to Work Programme” that will
deliver wider social benefits and recognising that work is one of the key pillars in ensuring long term
fiscal stability. The Jobs & Benefit project is a joint initiative between the Social Security Agency and
the Department for Employment and Learning. The policy co-locates the previously separate benefit
delivery and job assistance services in a single „Jobs & Benefits Office‟ providing an integrated work-
focused service to people of working age putting the emphasis on getting people into work and tackling
barriers to employment. 27 Jobs & Benefits Offices have opened and the Agency is working to
complete the final 8 offices (Downpatrick, North Belfast, Newtownards, Ballynahinch, Bangor,
Cookstown, Newcastle & Strabane). The formal independent evaluation of the first 25 offices
confirmed on average a 13% reduction in the Jobseekers Allowance register within 3 months of go-live
realising benefit savings of around £11m p.a. when fully implemented. However in the prevailing
economic conditions it is difficult to predict and isolate the positive impacts on benefit spend which the
implementation of the remaining offices will have in the short term.
This proposal is linked to Public Service Agreements 3 and 7 and also addresses the Northern Ireland
Assembly‟s priority area of “Growing as a Community” and in particular tackling poverty and social
disadvantage.




2. Capital Requirements (£000’s)
                                           Budget 2010 Capital Funding Requirements
                                   2011-12              2012-13              2013-14               2014-15
Capital                              7,159                13,764               14,406                2,002
Assoc Resource                       1,684                 2,168                3,008                3,173
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.




                                                                                                       49
The Agency is working very closely with Properties Division in the Department of Finance and
Personnel and their consultants WH Stephens to regularly update costs taking account of the fall in
construction prices. The actual cost of each site will ultimately be determined through a competitive
Central Procurement Division procurement to obtain an appropriate cost within the prevailing
environment.
There is a requirement to complete the rollout of the final 8 Jobs & Benefits Offices to ensure equality of
opportunity across Northern Ireland for benefit customers and to provide a platform for further Welfare
to Work initiatives. The cost of completion of all 8 Jobs & Benefits Offices is detailed above, however
the Agency and the Department for Employment and Learning have prioritised a number of offices.

Could the project be deferred until after 2014-15?                                              Yes/No
Could reduced scale of bid be delivered?                                                        Yes/No


3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                           Yes/No
Budget period?

If yes, what has been the level of expenditure
                                                               2009-10                               2010-11
(£000’s)
                                                                 8,726                                   482
Provide details of the implications of the project not being funded as part of Budget 2010.
The Agency and the Department for Employment and Learning have considered the delivery of the Jobs
& Benefits service using the existing network of Jobcentres and Social Security Offices. However there
is insufficient space available to accommodate the new frontline service delivery model. The splitting
of the process across two locations results in a dilution of the underlying policy objective with increased
handoffs and a disjoint between the jobs and benefits elements of the service for the customer, reducing
the effectiveness of this process. It also increases the overall cost of service delivery by failing to put in
place streamlined and efficient business processes, leading to a less effective service for the customer.
Inability to secure funding would result in the ongoing delivery of a two tiered customer service across
Northern Ireland, with 27 out of 35 offices capable of delivering the joined up approach to jobs and
benefits with a strong focus on the work focused aspect. Funding to ensure equality of service is
particularly critical at this time with the Agency and the Department for Employment and Learning at
the forefront of dealing with the consequences of the recession. It will also present real challenges to
the ability of both organisations to deliver future Welfare Reform initiatives such as Incapacity
Benefit/Income Support Migration and other initiatives which focus on ensuring that work as opposed
to income from benefits is financially advantageous where appropriate leading to an improved outcome
for the citizen and longer term fiscal stability.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12             Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                        2011-12              2012-13              2013-14              2014-15

Provide details the reasons for any changes to expenditure profile.

The Jobs & Benefits project is included in the Social Pillar of ISNI. At the time of competing ISNI
2008 – 2018 the Agency envisaged that the Jobs & Benefits roll-out would be completed by March
2011. However, the final 10 offices required purpose built premises and thus involved a significant
procurement programme and individual economic appraisals. Despite repeated advertisements for a
number of locations, it was not possible to find cost-effective solutions to deliver all the required
offices and the project has therefore been forced to develop contingency options leading to delays in
the roll-out of the remaining offices.



                                                                                                          50
5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-              Yes/No
11 period?
If yes, what amount of expenditure is expected to move to the Budget              37,331
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.
There has been significant slippage in the project with 2 out of 10 offices completed during the
Budget 2008-2011 period. A procurement programme, supported by Central Procurement
Directorate, was initiated and sites were identified for Andersonstown and Ballymena. However
despite repeated advertisements, it was not possible to identify cost effective solutions for other sites
in given locations, where sites were identified, commercial negotiations were extensive due to market
conditions. As a result the project has adopted a contingency position of redeveloping existing Social
Security Office sites, however this constrains the nature of the office which can be delivered and will
result in a number of front office only sites. It is envisaged that the remaining 8 offices will be
completed during the Budget 2010 period with priority being given to a number of offices.



6. Contractual Commitments

Is a contractual commitment in place for the project?                                       Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


     2011-12               2012-13                2013-14              2014-15               2011-15




Date contract signed:


Date Final Business Case approved by DFP


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                         Yes/No                             Detail

                                                    The spending proposal will result in 8 individual
Short-term benefit to the local
                                        Yes         procurement exercises dispersed across Northern
construction sector.
                                                    Ireland resulting in the award of construction
                                                    contracts.
                                                    The Jobs & Benefits project provides a joined up
                                                    approach to jobs and benefits with a strong emphasis
                                        Yes         on the work focused aspects leading to longer term
Longer term economic growth
                                                    economic growth as customer move off benefit and
                                                    into sustainable employment and the attendant wider
                                                    social and fiscal advantages
                                                    The spending proposal will address the current
                                                    inequality in benefit service delivery ensuring that
                                        Yes         all customers have access to the work focussed
Equality
                                                    service and can benefit from the enhanced support
                                                    provided by this service. This will remove the
                                                    existing two-tiered service whereby customers



                                                                                                        51
                                 serviced by the remaining 8 offices do not have
                                 access to the enhanced service provision delivered
                                 through a Jobs & Benefits office. The spending
                                 proposal covers offices which provide services to
                                 customers irrespective of religion, gender, political
                                 opinion, disability, race, etc and completion on all 8
                                 remaining offices will ensure that all groups have
                                 equality of service delivery.
                                 The spending proposal will deliver an enhanced
                                 work focused service to customers, in line with the
                           Yes   auspice of increased employment and longer term
Good Relations
                                 fiscal stability and at the same time ensure positive
                                 relations on both sides of the political/religious
                                 divide.
                                 The proposal will put in place a delivery model with
                                 enhanced support and help for customers to move
Poverty/Social Inclusion   Yes   closer to or find sustainable employment thus
                                 helping to reduce poverty and address inequality and
                                 disadvantage.
                                 The proposal will put in place a work-focused
                                 service which will provide enhanced support and
                           Yes   help for customers to find sustainable employment,
Sustainable Development
                                 contributing to longer term economic growth in NI
                                 and wider fiscal stability.




                                                                                    52
     1. Summary of Capital Spending Proposal

Title:                                Medical Support Services


Responsible Officer:                  Will Haire


                                      UOS A01
Spending Area & UoB:                                  ISNI Sub-Pillar     Welfare Reform
                                      UOB A0102

                                      This bid is linked to the Agency‟s Application of Benefit Conditionality
                                      Regime and Welfare Reform Resource bids, the Appeals Service Resource bid
Link to other bids:
                                      and DEL‟s Income Support/Incapacity Benefit Migration and Steps to Work
                                      bids

Date EQIA/HLIA completed:             July 2010


Procurement Method:                   Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment with
Ministerial Priorities as well as the rationale for its relative ranking against the other capital projects
submitted by department.

The primary purpose of Medical Support Services is to provide the Agency with medical expertise
to facilitate the assessment of benefit eligibility in Northern Ireland, ensuring that customers receive the assistance
to which they are entitled. This service is a critical element of benefit delivery and will enable the Social Security
Agency to maintain parity of benefit delivery with the Department for Work and Pensions and enable it to continue
to deliver its statutory function of delivering frontline benefit services to customers. This spending proposal,
through outsourcing, will enable changes to the service delivery model for the Agency‟s Medical Support Services,
address inherent weaknesses and risks in the current service delivery model and ensure that the Agency has the
ability to meet the governments changing Welfare Reform agenda including the increased demand for medical
expertise resulting from the introduction of Employment and Support allowance in 2008, Incapacity Benefit/Income
Support Migration and the new Disability Living Allowance medical assessment announced on 22 nd June 2010
which is to be implemented from 2013. By having appropriate medical services in place the Agency will be able to
ensure that wider fiscal savings are delivered by putting in place support for those who can work. Early estimates
for Incapacity Benefit/Income Support migration indicate this will contribute a reduction of approximately £190-
220million in benefit spend over 10 years and assist in delivering wider fiscal stability at the Exchequer level
Within the context of Budget 2010 the Coalition Government have recognised that impact of benefit spend on the
wider public finances and fiscal stability. An assessment of Annually Managed Expenditure will be included within
this Spending Review; the Chief Secretary to the Treasury Danny Alexander has stated that Welfare Reform savings
„will free up headroom for Departmental Expenditure Limit budgets‟ this suggests that reduction in Annually
Managed Expenditure will reduce the level of Departmental Expenditure Limit budget savings required to achieve
the Treasury‟s fiscal mandate for the Spending Review period. Within the Spending Review 2010 planning
assumptions to date £11billion of Annually Managed Expenditure savings based on plans announced to date have
been included in the Departmental Expenditure Limit budget savings estimates required from Departments within
GB. Whilst it is recognised that further Welfare reform plans may give rise to additional savings these have not
been factored into Departmental Expenditure Limit estimates or requirements at this time.

Moving to the outsourced service will enable the Agency to adopt cost effective methods for the implementation of
future benefit reforms and conditionality requirements. A procurement exercise is well progressed and subject to
Department of Finance and Personnel approval it is envisaged that the Medical Support Services contract will be
awarded in August 2010. Capital investment is required in relation to IT Hardware and accommodation. This
spending proposal is linked to Public Service Agreement 7 and will contribute to the delivery of the top priority of
NI Executive‟s Programme for Government “to grow a dynamic, innovative economy”.




                                                                                                            53
2. Capital Requirements (£000’s)
                                           Budget 2010 Capital Funding Requirements
                                   2011-12               2012-13              2013-14               2014-15
Capital                               1,250                  725                      0                      0
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.
Throughout the procurement for this contract, a number of mock bids have been submitted and
vigorously challenged by both the Agency and Central Procurement Directorate in order to ensure that
all costs are robust and that the contract will deliver value for money. The Agency has also used the
Department for Work and Pensions financial model to compare costs and challenge cost variations and
to ensure that robust processes are in place securing a competitive outcome. The Department for Work
and Pensions‟ delivery model is based on a similar outsourced delivery model to that proposed for N.I.

The associated Resource costs detailed above are included in the Agency‟s Application of Benefit
Conditionality Regime bid. This initiative is not fully dependent on capital funding and the capital bid is
driven by the Resource requirement.



Could the project be deferred until after 2014-15?                                             Yes/No
Could reduced scale of bid be delivered?                                                       Yes/No


3. Linkage with Budget 2008-11Period

Has expenditure been incurred on the project in the current
                                                                        Yes/No
Budget period?


If yes, what has been the level of expenditure

                                                2009-10                              2010-11
(£000’s)


Provide details of the implications of the project not being funded as part of Budget 2010.

The project has not incurred any capital expenditure to date, however there have been associated
Resource costs. If the project is not funded as part of Budget 2010, this will severely impact the
Agency‟s ability to assess and pay benefit to NI Customers and to provide the necessary regime to
ensure that assistance is targeted and benefit spend is controlled in line with the benefits criteria. The
Agency conducted a review of its Medical Support Services and concluded that an out-sourced model
would remove many of the risks to which the Agency is currently exposed, including availability of
medical practitioners, poor IT provision, inadequate estate, impacts of Welfare Reform initiatives, etc.
In addition, the Agency currently does not have sufficient medical resources to complete medical
assessments for all benefits. Whilst a short term contingency is in place it is not sustainable once
Incapacity Benefit/Income Support Migration commences in April 2011. It is not capable of
delivering the requirement to maintain parity of benefit systems for current and future welfare reform
initiatives, including ensuring that assistance is available to those entitled, and that benefit spend is
controlled as consistent with the parameters of the legislation. Failure to deliver the medical workload
requirements will result in wider costs to the Exchequer.




                                                                                                        54
4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12          Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                       2011-12             2012-13             2013-14             2014-15

Provide details the reasons for any changes to expenditure profile.
At the time of completing ISNI 2008 -2018, the Agency envisaged that the revised Medical Support
Services structure would have been in place by the end of the 2008 - 2011budget period.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.

The contract negotiations have taken longer than anticipated due to the necessary resolution of issues
around the accreditation of the ICT systems which are used to support delivery of the services and the
timescales needed to achieve accreditation. In addition, the project has also been impacted by the need
to future proof and reflect changes to the benefit systems, ensuring these are captured within the
procurement in an appropriately cost effective and Value For Money manner and changes to budgetary
and accounting rules as a result of the introduction of International Financial Reporting Standards,
however there was no capital expenditure anticipated at the time of the Budget 2008-2011settlement.




6. Contractual Commitments

Is a contractual commitment in place for the project?                                     Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


     2011-12              2012-13               2013-14              2014-15               2011-15




Date contract signed:


Date Final Business Case approved by DFP




                                                                                                     55
7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                    Yes/No                           Detail

                                             This spending proposal requires accommodation
Short-term benefit to the local
                                    Yes      work to the Medical Support Services estate.
construction sector.

                                             The proposal puts in place a contract with a major
                                             multi national company and will result in additional
                                             administrative and medical job opportunities
                                             contributing to economic growth. In addition, this
                                             spending proposal will put in place structures to
                                             assess the health & well being of individuals and
Longer term economic growth                  enable those with illnesses / disabilities to return to
                                             work thereby supplying an additional pool of labour,
                                             sustaining the economy and reducing benefit
                                             dependency. This will ensure that assistance is
                                             provided and benefit spend appropriately controlled,
                                             whilst contributing positively to longer term fiscal
                                             stability.
                                             This spending proposal will ensure equality of
                                    Yes      opportunity and address inequality in the benefit
                                             regimes by ensuring that claimants not included in
                                             previous phases of welfare reform benefit from
                                             positive intervention and an enhanced level of
                                             support to assist them to return to work. An equality
                                             screening has been completed and the spending
Equality                                     proposal will improve the quality of services to
                                             customers with a disability. This is in line with the
                                             Programme for Government objective “To promote
                                             tolerance, inclusion, health and well-being” and
                                             Public Service Agreement 7: Making people‟s lives
                                             better by driving a programme across government to
                                             reduce poverty and address inequality and
                                             disadvantage.

                                    No
Good Relations


                                             Evidence has indicated that there are a significant
                                    Yes      number of people trapped on benefits and living at
                                             the margins of society and that the only way to
                                             break the cycle of intergenerational poverty is to
                                             support families back to work. This spending
                                             proposal will put in place structures to assess the
Poverty/Social Inclusion
                                             capability for work of individuals to ensure that they
                                             get the right help and support to find work assisting
                                             the Agency to deliver against Public Service
                                             Agreement 7: Making people‟s lives better by
                                             driving a programme across government to reduce
                                             poverty and address inequality and disadvantage.
                                             This spending proposal will put in place structures
                                    Yes      to assess the capability for work of individuals
                                             putting in place the necessary help and support to
Sustainable Development
                                             enable those capable of work to find work or move
                                             closer to the labour market, thereby supplying an
                                             additional pool of labour, sustaining the economy



                                                                                                 56
and reducing benefit dependency. The new coalition
government is focused on ensuring that the wider
social and financial advantages of a life in work as
opposed to a life on benefit and the longer term
fiscal stability which will accrue, whilst recognising
that support is in place for those who cannot.




                                                   57
1. Summary of Capital Spending Proposal

Title:                           Welfare Reform



Responsible Officer:             Will Haire


                                 UOS A01
Spending Area & UoB:                                       ISNI Sub-Pillar          Welfare Reform
                                 UOB A0102


                                 This bid is linked to the Agency‟s Welfare Reform (Current) &
                                 Application of Benefit Conditionality Regime bids, Department for
Link to other bids:
                                 Employment & Learning‟s Steps to Work bid and the Appeals Service
                                 bid.


Date EQIA/HLIA completed:        July 2010



Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet


Set out short summary of the main details of the capital investment proposal including alignment with
Ministerial Priorities as well as the rationale for its relative ranking against the other capital projects
submitted by department.




                                                                                                   58
The Social Security Agency is required to maintain parity of benefit legislation and IT systems with
the Department for Work and Pensions, GB. The Department for Work and Pensions is taking forward an
extensive programme of reform including those arising from the Welfare Reforms White Paper “Raising
Expectations and Increasing Support: Reforming Welfare for the Future” which contains some 60 measures,
including the migration of Income Support (paid on the grounds of incapacity) and Incapacity Benefit
customers onto Employment and Support Allowance. More recently, the Coalition Government announced
in Budget 10 plans for further reforms including acceleration of the movement of Lone Parents with children
from Income Support to Jobseekers Allowance, acceleration of the State Pension Age to 66, and the
introduction of a new medical assessment for existing and new Disability Living Allowance customers. In
addition to announced plans, the Department for Work and Pensions has confirmed that a White Paper on
Welfare Reform will be published at the end of July which will propose significant changes to the welfare
system including the introduction of a Dynamic Benefit System which will impact the range of working age
and living related benefits. Detailed information on Budget 10 initiatives and the content of the White Paper
is not yet available, however it is clear that the changes are extensive and will place a significant and
unavoidable burden on Agency resources over this Budget period and into the next. Within the context of
Budget 2010 the Coalition Government have recognised that impact of benefit spend on the wider public
finances and fiscal stability. An assessment of Annually Managed Expenditure will be included within this
Spending Review. The Chief Secretary to the Treasury Danny Alexander has stated that Welfare Reform
savings „will free
up headroom for Departmental Expenditure Limit budgets‟, (i.e. lead to a reduced cut in Departmental
Expenditure Limit budget spending over the Budget period).

This suggests that reductions in Annually Managed Expenditure will reduce the level of Departmental
Expenditure Limit budget savings required to be achieved in the Treasury‟s fiscal mandate for the Spending
Review period. Within the Spending Review 2010 planning assumptions to date £11billion of Annually
Managed Expenditure savings have been included in the Departmental Expenditure Limit budget savings
estimates required from Departments within GB. Whilst it is recognised that further Welfare reform plans
may give rise to additional savings these have not been factored into Departmental Expenditure Limit
estimates or requirements at this time. Within the Northern Ireland context early estimates of the Annually
Managed Expenditure savings arising from the Income Support/Incapacity Benefit migration onto
Employment and Support Allowance have been estimated at £190m-£220m over a ten year period,
outstripping the additional Departmental Expenditure Limit costs of delivery which have been estimated at
£30m (approx) over this period. Very early estimates of the new Disability Living Allowance assessment,
indicates that Annually Managed Expenditure savings of approximately £98m will be delivered over the
Spending Review period, providing a significant return on Departmental Expenditure Limit costs of delivery

A key outcome of these initiatives is to contribute to a rise in the level of economic activity through
increasing the number of customers actively seeking work, the proposals will deliver against the top priority
of NI Executive‟s Programme for Government “to grow a dynamic, innovative economy” and will
contribute to the Programme for Government priority area “to promote tolerance, inclusion, health and well-
being”. The proposals will also contribute to delivery of Public Service Agreement 7 aimed at tackling
poverty and addressing inequality and disadvantage.




2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13              2013-14              2014-15
Capital                              1,000                1,000                1,000               1,000
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.




                                                                                                     59
This spending proposal is based on the very limited information available at this time and has been
constructed using a number of assumptions. Predominantly it has been assumed that the new Disability
Living Allowance medical assessment will be broadly comparable to costs associated with Income
Support/Incapacity Benefit Migration.

It should be noted that the changes proposed may be extensive resulting in an amalgamation of current
benefits into a work and living benefit. This could require related IT changes across most if not all of the
current benefit systems. Whilst under parity the Department for Work and Pensions will be in the lead,
this will require extensive work and associated costs to implement within Northern Ireland and to ensure
that the needs of the NI customer are delivered appropriately.

At this time, the Agency has assumed that the majority of costs will be Resource Expenditure, however
as outlined in the Comptroller and Auditor General‟s report on the Agency‟s 2009/10 Accounts, there
are a number of issues outstanding in relation to International Financial Reporting Standards which
could lead to potential re-classification of assumed Resource costs to Capital. Given the limited
information available at this time, this bid represents an early estimate of potential Capital requirements.

The associated Resource costs detailed above are included in the Agency‟s Welfare Reform Resource
bid.
Could the project be deferred until after 2014-15?                                      Yes/No
Could reduced scale of bid be delivered?                                                      Yes/No


3. Linkage with Budget 2008-11Period

Has expenditure been incurred on the project in the current
                                                                           Yes/No
Budget period?


If yes, what has been the level of expenditure

                                                   2009-10                              2010-11
(£000’s)


Provide details of the implications of the project not being funded as part of Budget 2010.

If these bids are not met, the Agency will no longer be able to maintain parity with the Department for
Work and Pensions putting at risk the delivery of social security benefits in N. Ireland and will potentially
place the N. Ireland citizen on a different regime to GB customers increasing the threat of regionalisation
of benefit rates with the potential negative impacts on NI block Departmental Expenditure Limit budget
allocations and the wider public finances. The customer could be further impacted if NI does not
implement the new work benefit regime, which seeks to ensure that income from work is more
advantageous both socially and financially than income from benefits for the individual.

Failure to maintain parity will also lead to additional costs within the NI block for ongoing maintenance
and upkeep of systems which are extremely complex and outmoded. The Agency will have to take a
greater share of upgrade, maintenance and running costs which will increase as systems become older, and
may face additional significant costs to achieve acceptable standards for IT systems which hold substantial
amounts of personal information as the Department for Work and Pensions will have moved to new ICT.




                                                                                                        60
4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12         Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                      2011-12            2012-13              2013-14             2014-15

Provide details the reasons for any changes to expenditure profile.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




6. Contractual Commitments

Is a contractual commitment in place for the project?                                    Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


     2011-12             2012-13              2013-14              2014-15                2011-15




Date contract signed:


Date Final Business Case approved by DFP




                                                                                                    61
7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                    Yes/No                          Detail

Short-term benefit to the local     Yes      This spending proposal may require accommodation
construction sector.                         work to the NI Civil Service estate.


                                    Yes      Moving people off benefit and into employment will
                                             increase the level of economic activity and
Longer term economic growth                  contribute to longer term economic growth in NI
                                             contributing to fiscal stability at the wider
                                             Exchequer level.

                                             This spending proposal will ensure equality of
                                    Yes      opportunity and address inequality in the benefit
                                             regimes by ensuring that claimants not included in
                                             previous phases of welfare reform benefit from
                                             positive intervention and an enhanced level of
                                             support to assist them to return to work. The
                                             proposed reforms will cover customers currently in
                                             receipt of Income Support, Job Seekers Allowance,
                                             Incapacity Benefit, Employment Support Allowance
Equality                                     and Disability Living Allowance and will therefore
                                             have a positive impact on those customers with a
                                             disability and lone parents. This is in line with the
                                             Programme for Government objective “To promote
                                             tolerance, inclusion, health and well-being” and
                                             Public Service Agreement 7: Making people‟s lives
                                             better by driving a programme across government to
                                             reduce poverty and address inequality and
                                             disadvantage.


Good Relations                      No

                                             Evidence has indicated that there are a significant
                                             number of people trapped on benefits and living at
                                             the margins of society and that the only way to
                                    Yes      break the cycle of intergenerational poverty is to
                                             support families back to work. This spending
                                             proposal will put in place structures to:
                                                 assess the capability for work of individuals to
                                                   ensure that they get the right help and support
                                                   to find work; and
Poverty/Social Inclusion                         provide additional support to protect the most
                                                   vulnerable and disabled people in society
                                             assisting the Agency to deliver against Public
                                             Service Agreement 7: Making people‟s lives better
                                             by driving a programme across government to
                                             reduce poverty and address inequality and
                                             disadvantage. This will also ensure that NI is best
                                             placed to deliver the parity regime which is aimed at
                                             ensuring the wider social and economic benefits of a
                                             system where work is more financially
                                             advantageous to benefit.




                                                                                               62
                                This spending proposal will put in place structures
                                to assess the capability for work of individuals
                          Yes   putting in place the necessary help and support to
                                enable those capable of work to find work or move
Sustainable Development
                                closer to the labour market, thereby supplying an
                                additional pool of labour, sustaining the economy
                                and reducing benefit dependency, and contributing
                                to wider fiscal stability at the Exchequer level.




                                                                                  63
1. Summary of Capital Spending Proposal
Title:                           Social Housing Development Programme

Responsible Officer:             Heather Cousins

                                 UOS B02
Spending Area & UoB:                                      ISNI Sub-Pillar          Housing
                                 UOS B0206

Link to other bids:

Date EQIA/HLIA
                                 July 2010
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The Social Housing Development Programme is assumed to continue on an annual starts programme of
2,000 * dwellings, in line with the current Public Service Agreement target.
With the current increase in level of Housing Benefit applications and claimants over the recent period
it is predicted that demand for Social Housing will increase in the short term. This level of New Build
programme will help to sustain both the local construction industry and shelter the more disadvantaged
groups in society against economic hardship.

*While the Spending Review bid is based on 2,000 new starts each year, projected levels of demand
indicate a new build requirement over this period of 2,500 new starts each year.


2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13               2013-14             2014-15
Capital                            164,500              169,700              176,400             183,400
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.
The Estimates above take account of Grant rates and Total Cost Indicator at current levels (2010-11).
Should these be reduced over the life of the submission, output levels could be increased accordingly.
However should Total Cost Indicator rates increase, funding requirements will also have to be increase
to meet the target.

Prices have been adjusted for construction cost indices over the 4 year period as follows:
2011/12 - 2.8%
2012/13 - 3.2%
2013/14 - 3.95%
2014/15 - 3.95%



Could the project be deferred until after 2014-15?                                           Yes/No
Could reduced scale of bid be delivered?                                                     Yes/No




                                                                                                      64
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                        Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                               2009-10                            2010-11
(£000’s)
                                                               157,250                        160,000(est)
Provide details of the implications of the project not being funded as part of Budget 2010.
If the Social Development programme is not funded it will not be possible to meet the agreed target of
2,000 new starts each year and this will have a significant impact on the supply of suitable
accommodation for those on the already large waiting list for social housing. In particular the level of
homelessness will continue to rise. There will also be a significant adverse economic impact with
further reduction in the level of activity in the Construction Sector and likely redundancies predicted.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12          Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                  2013-14             2014-15
                                        X                 X                        X                   X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




                                                                                                      65
6. Contractual Commitments

Is a contractual commitment in place for the project?                                  Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15                2011-15


            58,600                60,500           62,900                 65,300               247,300


Date contract signed:                                                                  On-going


Date Final Business Case approved by DFP                                               On-going


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                       Yes/No                           Detail
                                       Yes      Will help safeguard jobs in the local construction
                                                industry, through the retention and promotion of
Short-term benefit to the local
                                                skills.
construction sector.

                                       Yes      On-going commitment to social new build aimed at
                                                reducing overall homelessness (circa 40,000)
Longer term economic growth                     providing long term employment in construction
                                                industry and related multiplier effect on other related
                                                industry sectors
                                       Yes      Will have a positive impact on all Section 75
                                                groups.
Equality


                                       Yes      The NI Housing Executive in connection with Rural
                                                Development Council are introducing a PEACE III
Good Relations                                  project aimed at ensuring Key Institutional
                                                Capacities are developed for a shared Society

                                       Yes      Proposal is focused on assisting the more
                                                disadvantaged members of society prioritised on
Poverty/Social Inclusion                        basis of need


                                       Yes      Environmental gains through the use of improved
                                                building products and processes – leading to reduced
Sustainable Development                         carbon footprint.




                                                                                                     66
1. Summary of Capital Spending Proposal
Title:                          Housing Urban Regeneration Areas

Responsible Officer:            Heather Cousins

                                UOS B01
Spending Area & UoB:                                     ISNI Sub-Pillar         Housing
                                UOB B0103

Link to other bids:

Date EQIA/HLIA
                                July 2010
completed:

Procurement Method:             Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The Urban Renewal programme is aimed at meeting the on-going commitments for Advance Purchases
and Vesting attaching to declared Urban Regeneration Area sites. The following sites have been
declared and are included in the above:

Parkside
Glandore
Lawnbrook
Woodvale Avenue
Village
Upper New Lodge

No new Urban Regeneration Areas have been included.




2. Capital Requirements (£000’s)
                                         Budget 2010 Capital Funding Requirements
                                  2011-12             2012-13              2013-14              2014-15
Capital                            17,076               13,913               10,173                 4,577
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

This is not a construction based programme. Advance Purchases are agreed using market values as at
the date of Application and Vesting Prices are agreed from the Operative Date of Vesting, uplifted by an
interest payment to compensate for time delays. Market values are independently determined.
Consequently the NI Housing Executive is committed to future years expenditure based on the number
of dwellings to be vested from the operative vesting date.




Could the project be deferred until after 2014-15?                                         Yes/No
Could reduced scale of bid be delivered?                                                   Yes/No




                                                                                                     67
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                       Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                             2009-10                            2010-11
(£000’s)
                                                              22,216                         22,950(est)
Provide details of the implications of the project not being funded as part of Budget 2010.
If the Urban Regeneration programme is not funded the NI Housing Executive will be unable to meet
its statutory commitments for the current schemes in place and would therefore be in breach of its legal
obligations. As a result there would likely be a number of legal challenges from affected property
owners and possible adverse publicity from political and social representatives.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12         Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                2013-14             2014-15
                                        X                 X                      X                   X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget       Circa £4,000k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.

The Village scheme in Belfast has slipped currently by circa 3 months due to on-going judicial review
process. Scheme may slip further depending on the outcome of the review – expected by 31st August
2010.




                                                                                                     68
6. Contractual Commitments

Is a contractual commitment in place for the project?                                  Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15                 2011-15


            17,076                13,913           10,173                  4,577                 45,739

                                                                                   Various vesting
Date contract signed:
                                                                                   dates declared

Date Final Business Case approved by DFP                                               Various


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                       Yes/No                          Detail
                                       No
Short-term benefit to the local
construction sector.

                                       Yes      Regeneration of these areas will create new social
                                                housing aimed at reducing overall homelessness
                                                (circa 40,000), providing long term employment in
                                                construction industry and related multiplier affect on
                                                other related industry sectors
Longer term economic growth




                                       Yes      Will have a positive impact on all Section 75
                                                groups.
Equality


                                       Yes      The NI Housing Executive in connection with Rural
                                                Development Council are introducing a PEACE III
Good Relations                                  project aimed at ensuring Key Institutional
                                                Capacities are developed for a shared Society.

                                       Yes      Proposal is focussed on renewing run-down and
                                                disadvantaged inner city areas, thereby improving
Poverty/Social Inclusion                        social and economic conditions for all residents.


                                       Yes      Environmental gains through the use of improved
                                                building products and processes – leading to reduced
Sustainable Development                         carbon footprint.




                                                                                                    69
1. Summary of Capital Spending Proposal
Title:                           Decent Homes

Responsible Officer:             Heather Cousins

                                 UOS B01
Spending Area & UoB:                                      ISNI Sub-Pillar          Housing
                                 UOB B0103

Link to other bids:

Date EQIA/HLIA
                                 July 2010
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The Decent Homes programme is aimed at ensuring NI Housing Executive dwellings meet nationally
accepted standards, as confirmed in the recent Savills report. The general improvements cover the
following categories; Environmental Improvement (Neighbourhood Renewal); Health & Safety;
Capital Kitchens; and Estate Infrastructure schemes. The proposed bid would allow an annual starts
programme of approximately 800 dwellings.




2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13               2013-14             2014-15
Capital                             29,300               30,200               31,400               32,700
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

Capital funding has been estimated from the Savills‟ independent report into the NI Housing Executive
Stock Condition Survey. This report was published in May 2009. Savills published a 30 year elemental
cost report showing the breakdown of major works costs over the period. Whilst the programme can be
deferred it should be noted that it would place a greater cost pressure onto later years with tenants in
homes in need of urgent improvement suffering disproportionately.
Deferral of the programme would also lead to an increase in the level of response maintenance costs
during the deferral period.

Prices have been adjusted for construction cost indices over the 4 year period as follows:
2011/12 - 2.8%
2012/13 - 3.2%
2013/14 - 3.95%
2014/15 - 3.95%
Could the project be deferred until after 2014-15?                                           Yes/No
Could reduced scale of bid be delivered?                                                     Yes/No




                                                                                                      70
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                       Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                           2009-10                          2010-11
(£000’s)
                                                            19,174                      13,009(est)
Provide details of the implications of the project not being funded as part of Budget 2010.

If the Decent Homes programme is not funded the level of homes failing to meet the Decent Homes
standard will increase over the period. The NI Housing Executive would therefore fail to meet a key
element of its landlord responsibilities. There would likely be an increase in the level of short term
repairs in order to compensate for any long term reduction in capital improvements.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12         Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                 2013-14             2014-15
                                        X                 X                       X                   X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget       £1,000k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.

Slippage on major scheme in North-East Area (Glencoole) due to delays in receiving Asbestos survey
clearance.




                                                                                                         71
6. Contractual Commitments

Is a contractual commitment in place for the project?                                  Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15               2011-15


             6,700                6,900              7,200                 7,400                 28,200


Date contract signed:                                                                 On-going


Date Final Business Case approved by DFP                                              On-going


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                            Detail
                                      Yes       Will help safeguard jobs in the local construction
                                                industry, through the retention and promotion of
Short-term benefit to the local
                                                skills.
construction sector.

                                      Yes       This programme will support and retain local
                                                construction jobs through the use of main and sub-
                                                contractors and related multiplier effect on other
Longer term economic growth                     related industry sectors. Improving social housing
                                                will bring significant personal and environmental
                                                benefits with strong positive advantages for health,
                                                education and local communities.
                                      Yes       Will have a positive impact on all Section 75
                                                groups.
Equality


                                      Yes       Investment in NI Housing Executive stock should
                                                support community cohesion and stability.
Good Relations


                                      Yes       Proposal is focused on assisting the more
                                                disadvantaged members of society prioritised on
Poverty/Social Inclusion                        basis of need


                                      Yes       Some elements of the programme will deliver
                                                significant environmental gains through better
Sustainable Development                         energy management and improved „thermal
                                                comfort‟.




                                                                                                     72
1. Summary of Capital Spending Proposal
Title:                          Disabled Adaptations

Responsible Officer:            Heather Cousins

                                UOS B01
Spending Area & UoB:                                     ISNI Sub-Pillar         Housing
                                UOB B0103

Link to other bids:

Date EQIA/HLIA
                                July 2010
completed:

Procurement Method:             Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The level of demand to meet the annual level of Occupational Therapist recommendations is circa 200
per annum. At 31 March 2010 there was a backlog of almost 200 Occupational Therapist requests
awaiting starts. The level of new year programme will enable the backlog and prior year commitments
to be cleared.




2. Capital Requirements (£000’s)
                                         Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13             2013-14              2014-15
Capital                             9,252                9,548                9,925              10,317
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

Disabled Adaptation extension contracts are awarded only to contractors who successfully meet the NI
Housing Executive tender requirements. This process is currently moving to an EGAN style contract to
be in place during 2010-11. Contracts are awarded on the basis of price and quality, with fixed prices
agreed for specific tasks.
Prices have been adjusted for construction cost indices over the 4 year period as follows:

2011/12 - 2.8%
2012/13 - 3.2%
2013/14 - 3.95%
2014/15 - 3.95%
Fees are included.


Could the project be deferred until after 2014-15?                                         Yes/No
Could reduced scale of bid be delivered?                                                   Yes/No




                                                                                                    73
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                      Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                           2009-10                          2010-11
(£000’s)
                                                             7,609                      10,000(est)
Provide details of the implications of the project not being funded as part of Budget 2010.

As noted above, the following consequences will arise if funding is not received;-
     Substantially increased waiting time for improvement work (measured in years) and
        consequential adverse publicity surrounding lack of provision of disabled adaptations for the
        most disadvantaged and vulnerable members of society.
     Impact on smaller construction companies – redundancies and lay-offs would result.
     Growing level of backlog of Occupational Therapist requests. Only the most urgent schemes
        identified by an Occupational Therapist will be met. Requests may have to be declined to
        reduce the backlog.
     Potential increase in level of hospitalisation and increase in delayed discharges thereby
        increasing costs for health and social care sector.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12        Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13               2013-14             2014-15
                                        X                 X                     X                   X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget       £2,000k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.

Slippage on Disabled Adaptation extension starts programme due to delays in securing funding.
Additional funding to meet the programme was awarded in September 2009 Monitoring Round, thereby
delaying a number of starts until the last quarter.




                                                                                                   74
6. Contractual Commitments

Is a contractual commitment in place for the project?                                 Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14              2014-15               2011-15


             3,600                3,700              3,850                4,000                15,150


Date contract signed:                                                                On-going


Date Final Business Case approved by DFP                                             On-going


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                          Detail
                                      Yes       Additional house renovation / improvement
                                                requirement.
Short-term benefit to the local
construction sector.

                                      Yes       On-going commitment to improve existing social
                                                housing providing long term construction
Longer term economic growth                     employment and associated service sector benefits


                                      Yes       Proposals support the Independent Living initiative.

Equality


                                      Yes       The NI Housing Executive in connection with Rural
                                                Development Council are introducing a PEACE III
Good Relations                                  project aimed at ensuring Key Institutional
                                                Capacities are developed for a shared Society

                                      Yes       Supported by the Independent Living initiative

Poverty/Social Inclusion


                                      Yes       Environmental gains through the use of improved
                                                building products and processes – leading to reduced
Sustainable Development                         carbon footprint.
                                                Sustains existing communities




                                                                                                  75
1. Summary of Capital Spending Proposal
Title:                           Private Sector Grants

Responsible Officer:             Heather Cousins

                                 UOS B01
Spending Area & UoB:                                      ISNI Sub-Pillar         Housing
                                 UOB B0108
                                 Partial Link to Urban Renewal bid in respect of Village Urban
Link to other bids:
                                 Regeneration Area scheme
Date EQIA/HLIA
                                 July 2010
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The NI Housing Executive has a mandatory obligation to fund Disabled Facilities Grant and Repair
Grant applications providing the applicants meet the „Test of Resources‟ .Demand level for mandatory
grants is circa 2,600 approvals pa requiring an annual budget of £25m to fund this unavoidable
expenditure. Additional funding is also required to meet:
     Approval of discretionary grants for remaining Category 1 grants (to be released during 2010-
          11) and a number of exceptional cases where there are immediate health and safety needs to
          residents. Historical evidence has shown the annual level of exceptional discretionary grant
          expenditure is circa £2m
     Approval of Category 2 Grants, to be released during 2011/12 onwards.
     Renovation grants due on Village Urban Regeneration Areas scheme - £1m p.a. for 3 years
     Residual commitment on existing Group Repair schemes of £4m spread over a 3 year period.




2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12                2012-13            2013-14              2014-15
Capital                             31,350                33,700             38,800               39,000
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

The level of funding requested is required to meet NI Housing Executive statutory responsibilities in the
case of Mandatory grants, and limited release of discretionary grants. Applicants are required to obtain
competitive quotations which are independently scrutinised by NI Housing Executive professional staff.
The prices obtained should reflect the local market rates.
Prices have been adjusted for construction cost indices over the 4 year period as follows:

2011/12   - 2.8%
2012/13   - 3.2%
2013/14   - 3.95%
2014/15   - 3.95%

Could the project be deferred until after 2014-15?                                          Yes/No
Could reduced scale of bid be delivered?                                                    Yes/No



                                                                                                     76
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                         Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                           2009-10                          2010-11
(£000’s)
                                                            44,948                      34,250 (est)
Provide details of the implications of the project not being funded as part of Budget 2010.

As noted above, the following consequences will arise if funding is not received;-
     Statutory responsibilities will not be met
     Adverse publicity will undoubtedly arise from potential grant recipients and their public
        representatives.
     Impact on local business undertaking grant work




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12            Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                   2013-14             2014-15
                                        X                 X                         X                   X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget       19,400k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.

Funding restrictions necessitated deferment of the discretionary grants schemes as follows:

          Some category I schemes released in 2009/10 and 2010/11
          Category II grants release has been factored into this proposal. This will require approval from
           the Department.




                                                                                                        77
6. Contractual Commitments

Is a contractual commitment in place for the project?                                   Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15                2011-15


            19,000                17,500            18,900                21,800                 77,200


Date contract signed:                                                                  On-going


Date Final Business Case approved by DFP                                               On-going


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                       Yes/No                           Detail
                                       Yes      Grants are applied to fund house renovation /
                                                improvement work. Providing valuable business,
Short-term benefit to the local
                                                particularly for smaller local construction firms.
construction sector.

                                       Yes      On-going commitment to improve existing private
                                                sector housing, providing long term construction
Longer term economic growth                     employment and associated service sector benefits.


                                       Yes      Provides financial support to persons with a
                                                disability, allowing the applicant to remain in his/her
Equality                                        home.


                                       Yes      The NI Housing Executive in connection with Rural
                                                Development Council are introducing a PEACE III
Good Relations                                  project aimed at ensuring Key Institutional
                                                Capacities are developed for a shared Society.

                                       Yes      Persons with a disability and / or those on low
                                                earnings will be adversely affected if funding does
Poverty/Social Inclusion                        not become available.


                                       Yes      Environmental gains through the use of improved
                                                building products and processes – leading to reduced
Sustainable Development                         carbon footprint.
                                                Sustains existing communities.




                                                                                                     78
1. Summary of Capital Spending Proposal
Title:                          Warm Homes / Fuel Poverty

Responsible Officer:            Heather Cousins

                                UOS B01
Spending Area & UoB:                                     ISNI Sub-Pillar         Housing
                                UOB B0103

Link to other bids:

Date EQIA/HLIA
                                July 2010
completed:

Procurement Method:             Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The 2006 House Condition Survey highlighted the fact that 34% of households in NI were living in
Fuel Poverty, of which 81% were resident in the Private sector. The Warm Homes scheme is the main
government initiative for addressing this issue in the Private Sector.
In the public sector the independent Stock Condition Survey into NI Housing Executive properties,
carried out by Savills indicated that approximately 17% of the properties failed to meet the Decent
Homes standard. The main reason for this was the lack of an efficient heating system.




2. Capital Requirements (£000’s)
                                         Budget 2010 Capital Funding Requirements
                                  2011-12             2012-13              2013-14              2014-15
Capital                            20,500               20,500              20,500               20,500
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

The new Warm Homes scheme (introduced in 2009/10) was carried out on the basis of a competitive
tendering exercise. The tender was awarded on the basis of quality and price. Prices under the new
contract have delivered substantial savings (up to 20% in a number of heating measures) against prices
under the old EAGA partnership arrangement.




Could the project be deferred until after 2014-15?                                         Yes/No
Could reduced scale of bid be delivered?                                                   Yes/No




                                                                                                    79
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                      Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                            2009-10                          2010-11
(£000’s)
                                                             20,750                       20,500(est)
Provide details of the implications of the project not being funded as part of Budget 2010.
As noted above, the following consequences will arise if funding is not received;-
     Adverse publicity will undoubtedly arise from potential recipients and their public
        representatives.
     Impact on local business undertaking grant work
     NI Housing Executive will fail to meet the Decent Homes standard for tenants in terms of
        efficient heating and effective insulation.
     Public Service Agreement 7 targets will not be achieved and this will have a knock on effect
        on the achievement of Public Service Agreement 22.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12        Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13               2013-14           2014-15
                                        X                 X                     X                 X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




                                                                                                   80
6. Contractual Commitments

Is a contractual commitment in place for the project?                                   Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15                2011-15




Date contract signed:


Date Final Business Case approved by DFP


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                     Yes/No                            Detail
                                     Yes        Additional house renovation / improvement
                                                requirement. The two appointed Warm Homes
Short-term benefit to the local
                                                contractors make use of local social enterprise
construction sector.
                                                companies to carry out contract work.

                                     Yes        On-going commitment to reduce Fuel Poverty in the
                                                private sector and cut carbon emissions against the
Longer term economic growth                     Energy Efficiency target of 34% for NI.


                                     Yes        The categories within Section 75 to benefit are the
                                                Disabled / Elderly / Young Families and those on
Equality                                        low incomes.


                                     Yes        The NI Housing Executive in connection with Rural
                                                Development Council are introducing a PEACE III
Good Relations                                  project aimed at ensuring Key Institutional
                                                Capacities are developed for a shared Society.

                                     Yes        Persons on low earnings will be adversely affected if
                                                funding does not become available, particularly
Poverty/Social Inclusion                        given current high cost of energy in Northern
                                                Ireland.

                                     Yes        Increase in energy efficiency through use of more
                                                efficient and effective insulation materials leading to
Sustainable Development                         overall reduction in carbon footprint.




                                                                                                    81
1. Summary of Capital Spending Proposal
Title:                            Capital Grants to the NI Housing Executive

Responsible Officer:              Heather Cousins

                                  UOS B01
Spending Area & UoB:                                       ISNI Sub-Pillar         Housing
                                  UOB B0103

Link to other bids:

Date EQIA/HLIA
                                  July 2010
completed:

Procurement Method:               Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

         Application of International Financial Reporting Standards has necessitated the transfer of IT
          Costs of circa £2m from Revenue to Capital (International Financial Reporting Interpretation
          Committee 12 Service Concession Arrangements,) as the NI Housing Executive has
          contracted with BT for the management of IT hardware and software assets under a long term
          agreement.
         The NI Housing Executive‟s Direct Labour Organisation needs to replace a number of
          vehicles within its existing fleet, of which 40 are greater than 10 years old (26 being greater
          than 15 years old). This will require circa £0.5m p.a. to replace these items, as part of an
          annual replacement programme;
         Funding is required to service urgent on-going health and safety repair issues in a number of
          NI Housing Executive District offices which provide direct customer services.




2. Capital Requirements (£000’s)
                                           Budget 2010 Capital Funding Requirements
                                   2011-12              2012-13              2013-14              2014-15
Capital                               3,500                3,500                3,500                 3,500
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

All procurement contracts are awarded to contractors who successfully meet the NI Housing Executive
tender requirements. These contracts were awarded in 2009-10. Contracts are awarded on the basis of
price and quality, with fixed prices agreed for specific tasks and / or plant.




Could the project be deferred until after 2014-15?                                           Yes/No
Could reduced scale of bid be delivered?                                                     Yes/No




                                                                                                       82
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                       Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                            2009-10                            2010-11
(£000’s)
                                                              8,328                          3,500(est)
Provide details of the implications of the project not being funded as part of Budget 2010.
If funding is not provided, the NI Housing Executive will be unable to meet the urgent requirements of
Health & Safety schemes. The NI Housing Executive will also be unable to meet its existing
contractual commitments under its Modernising Services programme.

Maintaining „elderly‟ fleet vehicles and associated plant incurs disproportionate revenue costs and in
some cases the service may be severely disrupted because vehicles or plant cannot be used as they do
not meet legal safety standards.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12         Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                 2013-14             2014-15
                                        X                 X                       X                   X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




                                                                                                     83
6. Contractual Commitments

Is a contractual commitment in place for the project?                                    Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13               2013-14              2014-15               2011-15


             2,000                2,000               2,000                 2,000                  8,000


Date contract signed:                                                                   On-going


Date Final Business Case approved by DFP                                                On-going


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                           Detail
                                      Yes       Will provide employment to local firms, thereby
                                                supporting jobs and retaining skills.
Short-term benefit to the local
construction sector.

                                      Yes       Maintain efficiency of NI Housing Executive
                                                operations.
Longer term economic growth


                                      Yes            Disability Discrimination Act compliance.
                                                     Provision of suitable office accommodation
Equality                                              enables an equality of service to all tenants
                                                      using the facilities.

                                      No

Good Relations


                                      Yes       Replacement of grounds maintenance equipment
                                                enables amenity provisions to be maintained in areas
Poverty/Social Inclusion                        of greatest social housing need. This provides
                                                environmental and health benefits.

                                      N/a       N/a

Sustainable Development




                                                                                                      84
1. Summary of Capital Spending Proposal
Title:                           Northern Ireland Co-Ownership Housing Association

Responsible Officer:             Heather Cousins

                                 UOS B02 UOB
Spending Area & UoB:                                       ISNI Sub-Pillar          Housing
                                 B0202

Link to other bids:

Date EQIA/HLIA
                                 July 2010
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The NI Co-Ownership Housing Association negotiated a private finance arrangement which has given
them access to a £48 million facility. Access to this funding is available, subject to annual confirmation
from the Department of Grant funding of at least £15 million.

The Department currently provides the NI Co-Ownership Housing Association with grant of £15
million per annum. Together with private finance, this sum enables the NI Co-Ownership Housing
Association to meet the Department‟s target of assisting 500 first-time homebuyers to enter the
property ladder each year.




2. Capital Requirements (£000’s)
                                           Budget 2010 Capital Funding Requirements
                                   2011-12              2012-13               2013-14              2014-15
Capital                             15,000                15,000               15,000                15,000
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

The NI Co-Ownership Housing Association has limited cash reserves and without formal confirmation
of £15 million grant funding it will be unable to access funding from its current private finance facility.
This facility was difficult to secure in the current banking environment and without the capital grant the
Co-Ownership Scheme would not be viable and would have to close. The scheme assists first time
buyers and falling construction prices are factored into property prices.




Could the project be deferred until after 2014-15?                                            Yes/No
Could reduced scale of bid be delivered?                                                      Yes/No




                                                                                                        85
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                      Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                           2009-10                          2010-11
(£000’s)
                                                            15,000                           15,000
Provide details of the implications of the project not being funded as part of Budget 2010.

If the scheme is not funded in Budget 2010 the Department‟s target of assisting 500 first-time
homebuyers to enter the property ladder each year will not be met.
The Scheme enables more first-timers to purchase a home and creates a number of positive benefits on
the wider economy. Purchasing new build properties will help stimulate the construction industry
whilst purchasing second hand properties will create impacts up the property ladder. It is generally
accepted that home sales also benefits associated industries, such as estate agents, solicitors, the
financial services sector and others.



4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12        Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13               2013-14           2014-15
                                        X                 X                     X                 X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




                                                                                                   86
6. Contractual Commitments

Is a contractual commitment in place for the project?                                  Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15                2011-15


            15,000                15,000           15,000                 15,000                15,000


Date contract signed:                                                                 On-going


Date Final Business Case approved by DFP                                                 N/A


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                       Yes/No                           Detail
                                                Enabling more first-timers to purchase a home is
                                       Yes      expected to create a number of positive benefits on
                                                the wider economy. Purchasing new build properties
Short-term benefit to the local
                                                will help stimulate the construction industry whilst
construction sector.
                                                purchasing second hand properties will create
                                                impacts up the property ladder.

                                                It is generally accepted that home sales also benefits
                                       Yes      associated industries, such as estate agents,
Longer term economic growth                     solicitors, the financial services sector and others.


                                                Generally young people who wish to get on the
                                       Yes      property ladder will benefit.
Equality



                                       No
Good Relations



                                       No
Poverty/Social Inclusion


                                                Enabling more first time buyers to purchase a home
                                       Yes      is expected to create a number of positive benefits to
Sustainable Development                         the wider economy.




                                                                                                   87
1. Summary of Capital Spending Proposal
Title:                           Mortgage Rescue Scheme

Responsible Officer:             Stephen Johnston

                                 UOS B02
Spending Area & UoB:                                      ISNI Sub-Pillar          Housing
                                 UOB B0206

Link to other bids:

Date EQIA/HLIA
                                 Equality Screening Feb 2009
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.
The previous Minister for Social Development in her Housing Agenda action plan announced her
intention on 26 February 2008 to introduce a Mortgage Rescue Scheme. This Scheme has subsequently
been developed. In May 2009 the Department for Social Development provided funding to allow an
advice service (Mortgage Debt Advice Service) to operate but was unsuccessful in securing funding to
enable the full scheme to be launched. Due to the level of demand additional funding has been
provided to enable an expanded Mortgage Debt Advice service to operate which has been extended
until March 2011. The most recent figures published by Northern Ireland court Service indicate that
during the first quarter of 2010, 773 writs and originating summonses were issued relating to
repossessions.




2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13              2013-14               2014-15
Capital                              5,000                5,000                5,000                  5,000
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.
The Scottish Parliament has recently invested £20 million in a similar scheme because of that scheme‟s
success. The bid of £5m will enable a not-for-profit Mortgage Rescue Scheme to operate. It includes
scheme set up costs.

It is estimated that, based on the experience of our colleagues in Scotland, £5 million could help around
100 “rescues” to take place, roughly split between Mortgage to Rent and Mortgage to Shared Equity.




Could the project be deferred until after 2014-15?                                           Yes/No
Could reduced scale of bid be delivered?                                                     Yes/No




                                                                                                       88
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                        Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                 2009-10                             2010-11
(£000’s)
Provide details of the implications of the project not being funded as part of Budget 2010.
The Department will not be able to introduce a Mortgage Rescue Scheme in line with the remainder of
the UK.
It is anticipated that a fully developed scheme will have two elements; prevention and intervention. The
prevention element provides advice to people either facing, or actually in, arrears to explore the options
available to them. The intervention element, for which resources have not been made available, would
potentially help people facing repossession to sell their home either in full or in part to a Housing
Association and then rent it back.

Furthermore, introduction of the intervention element would support the Department‟s achievement of
Public Service Agreement 7 Objective 1 – Take forward action to provide for measurable reductions in
the levels of poverty, particularly child poverty. Preventing homelessness arising from mortgage debt
and repossession would contribute to the achievement of Public Service Agreement 7 targets by
preventing further families falling into poverty.



4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12           Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                       2011-12              2012-13             2013-14              2014-15

Provide details the reasons for any changes to expenditure profile.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




                                                                                                       89
6. Contractual Commitments

Is a contractual commitment in place for the project?                                  Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


    2011-12                2012-13             2013-14             2014-15              2011-15




Date contract signed:


Date Final Business Case approved by DFP


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                           Detail

Short-term benefit to the local
                                     No
construction sector.




Longer term economic growth          No




Equality                             No




Good Relations                       No


                                                 The intervention element, would provide the
                                                 resources to help people in mortgage debt and facing
                                     Yes         repossession to sell their home either in full or in
                                                 part to a Housing Association and then rent it back.
Poverty/Social Inclusion
                                                 Preventing homelessness arising from mortgage debt
                                                 and repossession would contribute to the
                                                 achievement of Public Service Agreement 7 targets
                                                 by preventing further families falling into poverty.

                                     Yes         As above
Sustainable Development




                                                                                                  90
1. Summary of Capital Spending Proposal
Title:                           Supporting People – Bamford Review

Responsible Officer:             Heather Cousins

                                 UOS B02
Spending Area & UoB:                                     ISNI Sub-Pillar          Housing
                                 UOB B0206

Link to other bids:              DHSSPS Bamford bid

Date EQIA/HLIA
                                 July 2010
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The total investment of £140.16 million is required to provide 1,168 new build units (325 in 2011-12,
520 in 2012 -13, and 323 in 2013 - 14) of specially adapted accommodation, at community level, for
people who are currently long term residents in Nursing or Residential units, both in Health & Personal
Social Services and private care sectors. The bid which is linked to a revenue requirement request is
essential to allow the transfer of vulnerable people from a health and care setting to allow independent
living.
If the bid is not approved, this will not be possible and higher costs will continue to be incurred in
Health & Personal Social Services, the Programme for Government target will not be met, and there
could be further public criticism.




2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13              2013-14              2014-15
Capital                            27,300               55,380               45,850               11,630
Assoc Resource                       1,345                4,547              11,692               16,730
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

Estimates above take account of Grant rates and Total Cost Indicator at current levels (2010-11). Should
these be reduced over the life of the submission, output levels could be increased accordingly. However
should Total Cost Indicator rates increase, funding requirements will also have to be increased to meet
the target.
Prices have been adjusted for construction cost indices over the 4 year period as follows:

2011/12   - 2.8%
2012/13   - 3.2%
2013/14   - 3.95%
2014/15   - 3.95%


Could the project be deferred until after 2014-15?                                          Yes/No
Could reduced scale of bid be delivered?                                                    Yes/No




                                                                                                     91
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                       Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                              2009-10                             2010-11
(£000’s)
                                              Not readily identifiable           Not readily identifiable
Provide details of the implications of the project not being funded as part of Budget 2010.
It would not be possible to relocate identified and vulnerable people who are currently in long term
residential or nursing (provided in Health & Personal Social Services or private units) to specifically
adapted community based, supported accommodation. This is in line with the government‟s
independent living policy, an area which attracts a high degree of public sector interest and attention
and has been recently criticised. In addition efficiency savings in Health & Personal Social Services
through significantly reduced care costs would not be achieved.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12         Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                       2011-12           2012-13            2013-14                 2014-15
                                        X                 X                       X                    X
Provide details the reasons for any changes to expenditure profile.

The Housing programme was allocated an indicative budget of £223.9m (2011/12), £196.1m
(2012/12), £190.2m (2013/14) and £182.0m (2014/15), however this total was not broken down by
project and failed to take account of House and Land sale receipts and Housing Association grant
receipts.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




                                                                                                      92
6. Contractual Commitments

Is a contractual commitment in place for the project?                                   Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15                2011-15


            15,500                10,000             5,000                      -                30,500


Date contract signed:                                                                  On-going


Date Final Business Case approved by DFP                                               On-going


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                       Yes/No                           Detail
                                       Yes      Will help safeguard jobs in the local construction
                                                industry, through the retention and promotion of
Short-term benefit to the local
                                                skills.
construction sector.

                                       Yes      On-going commitment to social new build aimed at
                                                reducing overall homelessness (circa 40,000)
Longer term economic growth                     providing long term employment in construction
                                                industry and related multiplier effect on other related
                                                industry sectors.
                                       Yes      This proposal is to support the elderly and disabled
                                                and the resettlement of long stay patients into the
Equality                                        community.


                                       Yes      The NI Housing Executive in connection with Rural
                                                Development Council are introducing a PEACE III
Good Relations                                  project aimed at ensuring Key Institutional
                                                Capacities are developed for a shared Society.

                                       Yes      Proposal is focused on assisting the more
                                                disadvantaged members of society prioritised on
Poverty/Social Inclusion                        basis of need.


                                       Yes      Environmental gains through the use of improved
                                                building products and processes – leading to reduced
Sustainable Development                         carbon footprint.




                                                                                                     93
1. Summary of Capital Spending Proposal
Title:                           Community Based Capital Projects

Responsible Officer:             Brian Doherty, Elaine Wilkinson, Ian Snowden, Meave Walls


                                 UOS C01
Spending Area & UoB:             UOB C0102 &              ISNI Sub-Pillar          Regeneration
                                 C0105


Link to other bids:              None

Date EQIA/HLIA
                                 TBC
completed:

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

Neighbourhood Renewal is the Minister‟s priority regeneration programme. This programme will
allow a tranche of projects to be delivered that are designed to improve the physical environment and
community facilities in some of the most deprived areas of Northern Ireland. The projects will achieve
measurable reductions in health, education and employment differentials. These projects include
developing and/or improving Playparks, Multi Usage Games Areas, Community Centres, Public Parks,
Greenways and housing estates. The schemes range from small projects, such as exercise trails costing
around £100k, up to more substantial projects that will target entire areas, costing over £1million, e.g.
Skainos and the Connswater Greenway.
This is linked to the Executive‟s over-arching aim which is to build a peaceful, fair and prosperous
society in Northern Ireland, where everyone can enjoy a better quality of life. To achieve this, the
Executive is pursuing a fair society that promotes social inclusion, sustainable communities and
personal health and well-being.
There are a number of already contracted projects which, if not funded to the level of the contract, will
attract negative publicity through media and a loss of confidence within the communities affected. The
contractual projects all link to Ministerial priorities and the Executive‟s top priority of growing the
economy in conjunction with, e.g. Belfast City Council. These projects are also reflected as key
priorities in Neighbourhood Action Plans in their respective communities and have the potential to act
as a catalyst for the wider ongoing development of Neighbourhood Renewal areas.

In addition a £15million Modernisation Fund Capital Programme was launched by the Department for
Social Development Minister in July 2007. This programme was aimed at transforming and
modernising the delivery of public services by voluntary and community sector organisations. Much of
the programme has been delivered, however a further £4.1 million is required to complete the
programme by March 2012.




                                                                                                      94
2. Capital Requirements (£000’s)
                                           Budget 2010 Capital Funding Requirements
                                   2011-12              2012-13               2013-14              2014-15
Capital                             19,848                11,572                  8,956                8,000
Assoc Resource                            0                     0                    0                        0
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.
In total this will allow significant projects to be delivered across the four year period and while the
majority are cost estimates at this stage, they are relatively small amounts per project and therefore the
minimum necessary. Throughout the development of the business cases, costs have been carefully
considered to ensure the best value for money was obtained. Central Procurement Directorate have been
involved and consulted during the assessment process and they have validated the levels of funding
required to meet the costs identified. In larger value projects, the Department of Finance and Personnel
has also been involved at economic appraisal level and, in the final analysis, to determine that funding at
the level identified was appropriate.




Could the project be deferred until after 2014-15?                                            Yes/No
Could reduced scale of bid be delivered?                                                      Yes/No

3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                         Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                                2009-10                            2010-11
(£000’s)
                                                                   6,584                              8,059
Provide details of the implications of the project not being funded as part of Budget 2010.
A failure to deliver a range of physical improvements across the most dilapidated areas of Northern
Ireland will result in these areas falling further into deprivation and the gap increasing between the
most deprived and the rest of society. It would send a negative message to residents of those areas
regarding Government‟s commitment to those worse off. Furthermore, there are some projects which
require funding to release funding from other sources –examples being Brooke Park (a multi million
pound regeneration project which requires £450,000 to release the other funding sources) and the
Skainos project ( a £14.5 million project to which the Department for Social Development is
contributing £5.4million). Finally, there is keen political interest and lobbying on behalf of a number
of the projects which is likely to intensify, and, if continuation funding is not provided, the Department
would be open to litigation by community groups and contractors.
In addition, contributions from other funders would be lost if these projects do not progress, e.g. the
Modernisation Fund.



4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12            Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                  2013-14              2014-15
                                     7,063             7,063                   7,063                7,063
Provide details the reasons for any changes to expenditure profile.




                                                                                                        95
N/A




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget              8,350k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.
The only major project which incurred slippage was Skainos which was profiled at £2.15 million for
2009-10. Costs have slipped into 2010-11 and beyond as the project did not progress as quickly as
originally planned. There are a number of significant, infrastructure projects which have taken some
considerable time to assess, appraise and approve.
 The Modernisation Fund programme has been extended to March 2012 and all project spend must be
completed by this date.
Although at an advanced stage and with levered funding in place, some of the projects have been
delayed by the Departmental moratorium on capital expenditure. These projects are ready to advance
when funding has been secured.



6. Contractual Commitments

Is a contractual commitment in place for the project?                                      Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


          2011-12              2012-13              2013-14               2014-15                 2011-15


            6,098                 3,114                1,066                   407                  10,685

                                                                                  Not all projects have
                                                                                  contracts in place but
                                                                                    are substantially
Date contract signed:
                                                                                   progressed towards
                                                                                      the issue of a
                                                                                  Contract For Funding
                                                                                     Not all projects have
Date Final Business Case approved by DFP
                                                                                       final approval.

7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                              Detail
                                      Yes         Jobs will be sustained and created within the
                                                  construction industry to deliver these capital
Short-term benefit to the local                   projects. Over a 4 year period, this will provide an
construction sector.                              opportunity for a number of organisations to keep
                                                  their businesses going through the worst of the
                                                  downturn.




                                                                                                       96
                              Yes   A number of projects will improve facilities that will
                                    allow organisations to develop an income stream
                                    that will help sustain their employees as well as
Longer term economic growth
                                    allowing them to deliver training and education
                                    programmes that will improve longer term
                                    employment prospects.
                              Yes   All these projects are targeting the most deprived in
                                    society so by their nature are improving equality
Equality                            among most, if not all of, the Section 75 groupings.


                              Yes   There are a number of cross community projects that
                                    aim to provide shared spaces and/or address
Good Relations                      interface issues that will contribute to the
                                    Department‟s Shared Future agenda.

                              Yes   All the projects aim to either reduce poverty or
                                    improve social inclusion by targeting the most
Poverty/Social Inclusion            deprived areas and therefore the most vulnerable in
                                    our society.

                              Yes   A number of projects improving facilities will
                                    improve the economic sustainability of
Sustainable Development             organisations. Furthermore, a significant amount of
                                    the environmental improvement schemes will have
                                    significant environmental sustainability.




                                                                                       97
1. Summary of Capital Spending Proposal
Title:                          Physical Development

                                Elaine Wilkinson, Brian Doherty, Ian Snowden, Henry Johnston,
Responsible Officer:
                                Jackie Johnston

                                Belfast Regeneration
                                Office, Northwest
                                Development Office,
Spending Area & UoB:            Rural Development        ISNI Sub-Pillar         Regeneration
                                Office, URSD,
                                Belfast City Centre
                                Directorate C0103

Link to other bids:

                                A draft EQIA in respect of 5 Physical Regeneration Concept
Date EQIA/HLIA
                                Masterplans was published for public consultation on 29 October
completed:
                                2009.

Procurement Method:             Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet


Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.




                                                                                                    98
Public realm schemes are proposed in 5 deprived areas of Belfast‟s middle core (Lower Falls, Lower
Shankill, Crumlin Road (including Lower Oldpark) , York Road/Shore Road and Inner East Belfast),
11 regional towns (including Downpatrick, Antrim, Dungannon, Enniskillen and Newry) and 11 areas
in Londonderry, Limavady and Strabane . Some of these areas have masterplans in place or due to
complete. The aim of the Masterplans is to remove dereliction, address under-utilisation of assets and
to attract investment and economic activity into these areas. Public realm schemes can have significant
impacts on local communities in terms of environmental improvement, access and movement,
community safety, promotion of shared space etc. The Department‟s public realm work is focussed on
areas of high deprivation, as defined by the Noble indices and address Public Service Agreement 12 by
promoting vital and viable town and city centres as well as creating urban centres which are
sustainable, welcoming and accessible to all to live, work and relax in peace.

The Building Sustainable Communities (capital) programme will deliver improved public realm in
town and city centres across Northern Ireland, facilitating the provision of shared space and making a
substantial contribution to growing the leisure economy.

Urban Development Grant is a discretionary grant with the objective of promoting job creation, inward
investment and environmental improvement by the stimulation of development of vacant, derelict or
underused land or buildings. It provides significant potential for developments which cannot go ahead
because of absolute or relative market failure, but can go ahead if grants at permissible levels are
provided. Private sector leverage of 4:1 is expected.
The Urban Development Grant scheme is focussed on areas of high deprivation, as defined by the latest
Northern Ireland Multiple Deprivation Measure data, and addresses Public Service Agreement 12. In
addition, Urban Development Grant contributes to the Executive‟s strategic priorities which relate to
growing the economy, protecting the environment and investing to build infrastructure.

Comprehensive development is a process of land acquisition and disposal to secure the better planning
and regeneration of selected areas of towns and cities. Comprehensive Development Schemes enable
the Department to unlock development opportunities by releasing underused or derelict land and
buildings for development. Positive impacts of development schemes include: jobs created through
construction; permanent jobs created; environmental improvement; housing; provision of commercial,
industrial and community facilities.

The identified comprehensive development schemes align with priorities set out in the 5 Physical
Regeneration Concept Masterplans for deprived areas of Belfast‟s middle core, the Andersonstown
Gateway Feasibility Study and the Lands at the Glen Road research. The proposal also involves the
purchase and redevelopment of derelict buildings in Londonderry City Centre and on key gateways
into the City. The Department‟s Comprehensive Development work is focussed on areas of high
deprivation, as defined by the Noble indices, and, as such, contributes to addressing Public Service
Agreement 12 and Public Service Agreement 11(2).

The redevelopment of Girdwood will regenerate a former military site to promote economic growth
and for the benefit of local communities.

Phase 2/3 of Belfast Streets Ahead Project, Laganside, Queens‟ Quay, North West/South West/South
East Quarter, Nomadic, Northside/Westside will all promote viable and vital towns and city centres,
helping to create shared spaces that are accessible to all and where people can live, work and socialise.




                                                                                                       99
 2. Capital Requirements (£000’s)
                                           Budget 2010 Capital Funding Requirements
                                   2011-12              2012-13               2013-14              2014-15
Capital                             49,853                68,626               67,415                65,300
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

Before a final contract for funding is issued on any project, the tender report and tendered costs are
examined by Construction Service to identify that costs presented are reasonable. In speculative
schemes, Land and Property Service provide an investment appraisal which determines the minimum
level of capital funding necessary to trigger development. Land and Property Service also provides
professional advice in respect of site acquisition values.

The capital funding is the minimum necessary and is based on current construction costs.




Could the project be deferred until after 2014-15?                                            Yes/No
Could reduced scale of bid be delivered?                                                      Yes/No


3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                         Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                             2009-10                             2010-11
(£000’s)
                                                                5,350                               6,344
Provide details of the implications of the project not being funded as part of Budget 2010.
Targets for Programme for Government, Public Service Agreement, the Department for Social
Development Heart of the City, Neighbourhood Renewal Strategy and Ministerial priorities, as set out
in relevant masterplans, will not be fully met.
The Department will not be able to contribute to the implementation of the forthcoming Ilex
Regeneration Plan or build on the City of Culture bid and private sector confidence built up during the
City of Culture bid will be lost.
Previous regeneration investment will not be maximised and the creation of a lasting legacy for
Laganside will be lost.
Public liability claims will increase as a consequence of poor quality streetscapes and public spaces.
Undesirable development may take place in these areas if the Department has no role in the process.
Existing contracts which are not honoured may result in litigation.



4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12           Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                  2013-14              2014-15
                                   45,100            33,004                   -15,627              43,000
Provide details the reasons for any changes to expenditure profile.

Changed to match indicative allocations and to reflect current enquiries about the availability of grants.




                                                                                                       100
5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget           3,111k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.
Delays incurred by applicant due to site contamination and tendering issues. The site contamination has
been resolved and tendering commenced. Sites affected were:
Peter Milford @ £81k
Sawel Trust @ £30k

The Downpatrick and Kilkeel projects were delayed due to issues with tendering and planning but have
been contractually committed since 2009-10. There would be significant penalties for withdrawal at this
stage.


6. Contractual Commitments

Is a contractual commitment in place for the project?                                   Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12             2012-13              2013-14              2014-15               2011-15


             4,479                    0                    0                    0                 4,479

                                                                                        Various
Date contract signed:


Date Final Business Case approved by DFP                                                Various


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                       Yes/No                         Detail
                                       Yes        Will provide employment in the construction sector.
Short-term benefit to the local
construction sector.

                                       Yes        Potential to encourage private sector investment.
                                                  More attractive public spaces will encourage further
Longer term economic growth                       investment, stimulate growth by the creation of new
                                                  jobs and the provision of new/improved commercial
                                                  floor space.
                                       Yes        Regeneration projects benefit those who live, work
                                                  and invest in deprived areas. The projects have the
Equality                                          potential to benefit all on an equal basis and fully
                                                  comply with Section 75.

                                       Yes        Regeneration schemes can be used to promote good
                                                  relations through the creation of shared space and
Good Relations                                    when undertaken in traditionally interface areas.




                                                                                                  101
                           Yes   Completion of these developments will improve the
                                 physical and economic regeneration within these
Poverty/Social Inclusion         socially deprived areas by job creation,
                                 environmental improvements and the levering in of
                                 private sector finance.
                           Yes   Sustainable development will be promoted through
                                 the use of appropriate clauses in contracts which sets
Sustainable Development          targets for recycling and the use of sustainable
                                 methods/materials.




                                                                                  102
1. Summary of Capital Spending Proposal
Title:                            Fort George (former military site)

Responsible Officer:             Chief Executive Officer (Ilex)

                                 UOS C01
Spending Area & UoB:                                      ISNI Sub-Pillar           Regeneration
                                 UOB Ilex C0103

Link to other bids:

Date EQIA/HLIA                   Equality Impact Assessment is currently progressing as part of
completed:                       Regeneration Plan Mark II.

Procurement Method:              Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

This investment aligns to Public Service Agreement 11(2) which refers to the regeneration of former
military sites to promote economic growth for the benefit of local communities.
The Department for Social Development‟s target is that significant regeneration will be carried out on
this site. It also aligns with Public Service Agreement 12 in that in the context of the Department‟s new
Strategic Objectives which will be fed into the Programme for Government it will contribute to the
creation of urban centres which are sustainable, welcoming and accessible to all to live, work and relax
in peace.

The draft Fort George Masterplan refers to a vision for Fort George to be a prestige knowledge
intensive park in which the Knowledge Building and Science Park will be vital to delivering an
innovative economy, and which will create new opportunities for higher value-added employment. The
infrastructure is a necessary element of this plan and will lever in private sector investment and help to
create the conditions in which enterprise can flourish.

A technical assessment of the pollution of the site has been carried out and the site found to be severely
contaminated by hydrocarbons and heavy metals. Decontamination is an essential pre-requisite to
regeneration and, therefore, this funding, of £6 million in 2011-12, is essential.

The regeneration of Fort George will also link to the achievement of the Department‟s Heart of the City
Strategy and the Neighbourhood Renewal Strategy.




                                                                                                      103
2. Capital Requirements (£000’s)
                                          Budget 2010 Capital Funding Requirements
                                  2011-12              2012-13              2013-14              2014-15
Capital                              9,000                 8,252                9,000                6,100
Assoc Resource
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.


The figures outlined above are the minimum necessary based upon recent cost estimates as provided
recently (in 2010) by technical advisors and on current construction costs. All projects will be
competitively tendered.




Could the project be deferred until after 2014-15?                                          Yes/No
Could reduced scale of bid be delivered?                                                    Yes/No


3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                       Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                 2009-10                            2010-11
(£000’s)
Provide details of the implications of the project not being funded as part of Budget 2010.

- Public Service Agreement 11 (2) (regeneration of the Fort George site) will not be met and this will
have serious consequences for the Department and the Programme for Government.
- The Department‟s Heart of the City and Neighbourhood Renewal Strategy targets will not be fully
met.
- The Department will not be able to implement the forthcoming Regeneration Plan or build upon the
City of Culture bid.
- Private sector confidence will be lost.
- Visitor numbers to Derry will not increase.


4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12          Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                          2011-12           2012-13                 2013-14             2014-15
                                     2,600             6,600                  4,600               4,000
Provide details the reasons for any changes to expenditure profile.




                                                                                                     104
Costs of decontamination were never included in the Investment Strategy for NI 2008-11 on the basis
that it was anticipated that indemnities would cover the cost. Whilst the Department is pursuing these
indemnities from previous owners in parallel, the Department for Social Development cannot guarantee
that recovery is possible, hence the inclusion of a bid in Budget 2010. The expenditure profile has
slipped into later years given the requirement for decontamination to take place in advance of
redevelopment work and it has been amended to reflect more up to date costing information which is
now available.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.




6. Contractual Commitments

Is a contractual commitment in place for the project?                                    Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


     2011-12              2012-13               2013-14             2014-15               2011-15




Date contract signed:


Date Final Business Case approved by DFP


7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:



                                       Yes/No                            Detail

Short-term benefit to the local
                                      Yes         Decontamination and construction works will
construction sector.
                                                  benefit the construction sector, providing and
                                                  maintaining jobs.




                                                                                                    105
Longer term economic growth   Yes   This work will make the Fort George site more
                                    attractive to the Private Sector in the long term.


                                    In the long term, implementation of this work will
Equality                      Yes   support Minister‟s shared space priority and help to
                                    redress the perceived imbalance of investment in the
                                    North West.

                                    In the long term, implementation of this work will
Good Relations                Yes   create neutral spaces where people can meet and
                                    socialise.


                                    In the long term, it will create and promote social
Poverty/Social Inclusion      Yes   inclusion through the establishment of shared space.



                                    Sustainable development will be promoted through
Sustainable Development       Yes   the use of appropriate clauses in contracts. For e.g.
                                    targets for recycling and the use of sustainable
                                    methods / materials.




                                                                                         106
1. Summary of Capital Spending Proposal
Title:                          Royal Exchange Development Scheme

Responsible Officer:            Jackie Johnston

                                Belfast City Centre
Spending Area & UoB:            Regeneration             ISNI Sub-Pillar         Regeneration
                                Directorate, C0103

Link to other bids:             Royal Exchange (Public Service Agreement 12 (3))

Date EQIA/HLIA
                                July 2010
completed:

Procurement Method:             Conventional/PFI On-Balance Sheet/ PFI Off-Balance Sheet

Set out short summary of the main details of the capital investment proposal including alignment
with Ministerial Priorities as well as the rationale for its relative ranking against the other capital
projects submitted by department.

The £360m, privately funded Royal Exchange Development Scheme will create 2,000 construction
jobs and 1,000 permanent jobs in retail and leisure when completed. This scheme will take regeneration
of Belfast City Centre to the next level, complementing the Victoria Square development. The
Department has signed a Development Agreement with the developer consortium for the project which
sets out the legal and contractual context for the Department promoting the project. The Department
has commenced the preparation of preliminary plans for the promotion of a statutory Development
Scheme which would determine the land uses for the proposed site and provide the basis for
compulsory acquisition should this be required in the public interest.
The capital cost related to compulsory acquisition is to be recouped from the developer together with
approximately 75% of associated consultancy costs.



2. Capital Requirements (£000’s)
                                         Budget 2010 Capital Funding Requirements
                                  2011-12             2012-13              2013-14              2014-15
Capital                                  0                   0              110,000                       0
                                                                            123,000
                                                                           -123,000
Assoc Resource                        650                  230                  100                  100
Supporting evidence that level of capital funding is the minimum necessary and reflects the fall in
construction prices.

The capital cost of £123m for the compulsory acquisition of land within the Royal Exchange
Development Scheme will be the minimum amount required, at 2007 prices, to acquire these properties
as advised by Land and Property Services in the Department of Finance and Personnel. The associated
resource costs relate to the consultancy costs in relation to Development Scheme; Vesting Order; Public
Inquiry; Site Clearance and Construction Monitoring.
The capital cost of £123m, related to compulsory acquisition, is to be recouped from the developer
together with approximately 75% of associated consultancy costs. The resulting capital debtor is 90% of
the capital outlay and requires £110m of capital funding.



Could the project be deferred until after 2014-15?                                         Yes/No
Could reduced scale of bid be delivered?                                                   Yes/No




                                                                                                    107
3. Linkage with Budget 2008-11Period
Has expenditure been incurred on the project in the current
                                                                       Yes/No
Budget period?
If yes, what has been the level of expenditure
                                                           2009-10                          2010-11
(£000’s)
                                                               110                              190
Provide details of the implications of the project not being funded as part of Budget 2010.

The Royal Exchange Development Scheme proposals have reached an advanced stage. A Development
Agreement has been signed with the developers and the planning application for the scheme is to be
lodged with the Department of the Environment‟s Planning Service by 31 October 2010. Failure to
fund this project would lead to failure to meet Public Service Agreement Target; Ministerial
commitments not realised and failure to complete inner city centre retail-led regeneration project that
would provide 2,000 construction jobs and 1,000 permanent jobs in retail and leisure when completed.




4. Linkage with ISNI 2008-18
Was the project included in the indicative plans for the period 2011-12          Yes/No
to 2014-15 as part of ISNI 2008-18?
If yes, what were the indicative levels of spend attributed to the project for 2011-15
(£000’s)                       2011-12             2012-13             2013-14             2014-15

Provide details the reasons for any changes to expenditure profile.




5. Slippage from Current Budget 2008-11 Period
Has expenditure on the project slipped from the current Budget 2008-11 Yes/No
period?
If yes, what amount of expenditure is expected to move to the Budget              110,000k
2010 period (£000’s)
Provide details of why project slipped and measures taken to ensure that there is no further
slippage.
Due to the global economic conditions in the banking sector the developers have experienced difficulty
in obtaining a guarantor for the £360m scheme; this has resulted in slippage in the proposed timetable
for the scheme.
The Department signed a Development Agreement with the developers in November 2009 which sets
out the legal and contractual context for the Department promoting the scheme. The Agreement
provides, amongst other matters, that the developer must submit a planning application, approved by the
Department, to the Department of the Environment‟s Planning Service by 31 October 2010.
Setting the timetable for submitting the planning application is an important stage in moving forward
the next major retail-led regeneration project for Belfast City Centre.
This will ensure that Belfast is ready to move forward with the development of its retail offer, when the
upturn in the market arrives, to maintain the city‟s competitive position.
Once the necessary planning approvals have been secured and other pre-conditions satisfied, the
Department and the developers will make a judgement on when the market will be ready to move
forward with the construction of the project.




                                                                                                     108
6. Contractual Commitments

Is a contractual commitment in place for the project?                                  Yes/No


    If yes, what is the level of the contractual commitment for the Budget 2010 period (£000’s)


           2011-12            2012-13             2013-14               2014-15               2011-15


                                                  110,000

                                                                                   Contractual once
Date contract signed:
                                                                                  conditions are met

                                                                                  Business case to be
Date Final Business Case approved by DFP
                                                                                     resubmitted

7. Wider Economic/Social Impacts
Will the spending proposal have a
positive impact in terms of:
                                      Yes/No                           Detail

                                                2,000 construction jobs will be created during
Short-term benefit to the local
                                     Yes        construction of scheme.
construction sector.



                                                The scheme will provide long term economic
Longer term economic growth          Yes        growth for Belfast by improving the retail offer
                                                available in Belfast City Centre.

                                     Yes        The scheme will create shared space in the City
                                                centre
Equality


                                     Yes        The scheme will create neutral space where people
                                                can work, meet and socialise.
Good Relations


                                     Yes        Completion of the development will improve the
                                                physical and economic regeneration by job creation,
Poverty/Social Inclusion                        environmental improvements and the levering in of
                                                private sector finance.

                                     Yes        Natural materials will be used to promote
                                                sustainable development.
Sustainable Development




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