Expenditure Growth

Appendix A-Contd.

18 Diagram 4 indicates the pattern of expenditure growth allowed for in these forecasts compared with results since 1975-76. The following points are of note:

-Recurrent expenditure growth has been successfully stabilized since 1983-84 at around 5%-6%. The

forecasts assume a continuation of firm control over recurrent expenditure.

-Capital expenditure growth is inevitably much more volatile and, indeed, was negative in 1984–85. The

forecasts assume a return to growth albeit controlled to a narrower range.

-Total real expenditure growth has fallen considerably since the late 1970's and early 1980's and is forecast

to be controlled at just over 5% p.a.

%

*

Real Growth Rates in Consolidated Account Expenditure

Diagram 4

60

50

50

40

30

20

20

10

R

0

T

-10

20

-20

C

Forecast

R Recurrent

C Capital

T Total

-30

75-76 76-77 73-78 78-79 79-80 80-81 81-82 82-83 83-34 84-85 85-86 86-57 87-88 88-89 89-90 90-91 91-92

Year

19 The projected trend in staff growth implied in these forecasts is indicated in Diagram 5 as follows:

Percentage Growth in the Establishment of the Civil Service

Growth

%

10

9

8

7

6

5

3

2

1

0

75-76 76-77 77-78-78-79 79-80 80-81 81-82 82-83 83-84 84-25 25-86 86-57 87-88 88-89 89-90 90-91 91-92

-

11

Forecast

Year

Diagram 5

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