Chapter 7
FINANCIAL IMPLICATIONS
7.1 The implementation of the proposals described in this Paper will involve heavy additional capital and recurrent expenditure, though only a broad estimate of the total expenditure and its phasing is possible at this stage.
7.2 The capital expenditure during the decade, which includes construction of addi- tional medical rehabilitation centres, modifications to school buildings, furniture and equipment, capital subventions and grants, would be about $126 million, at mid-1977 prices. (This estimate does not include the capital cost involved of additional beds and clinic facilities for psychiatric patients, the cost of which (estimated at $163 million) has been included in the 1974 White Paper on Medical and Health Services). The estimate is made up as follows:-
Year
1977-78
1978-79
$ m.
$ m.
1979-80
$ m.
1980-81
1981-82 1982-83
1983-84
1984-85
1985-86
Total
$ m.
$ m.
$ m.
$ m.
$ m.
$ m.
5 m.
Identification and
assessment services
0.29
0.47
-
0.13
0.01
0.01
0.06
0.05
1.02
Educational services
2.51
4.74
16.16
13.54
3.81
3.53
4.42
3.9
4.4
57.01
Medical services
Social welfare services
5.0
.7.5
2.5
0.6
8.0
6.0
8.15
0.15
www.
37.9
5.59
6.74
6.14
3.31
1.94
1.34
1.89
1.4
1.75
30.06
Total
13.39
19.45
24.80
17.58
13.76
10.88
14.52
5.45
6.20
125.99
7.3
It is estimated that, on completion of the capital projects and on the introduction of the new services recommended in the preceding chapters, recurrent expenditure from public funds would increase from about $121 million in 1977-78 to about $232 million in 1985-86. The build-up of recurrent expenditure is expected to be:-
1977-78
1978-79
1979-80 1980-81
Year
1981-82
1982-83
1983-84
$ m.
$ m.
$ m.
Sm.
$ m.
$ m.
$ m.
1984-85
$ m.
1985-86
$ m.
Identification and assessment
services
7.88
8.7
8.85
9.14
9.43
9.9
10.25
10.88
11.15
Educational services
37.56
46.75
58.4
68.22
75.73
82.99
90.47
98.57
106.67
Medical services
49.29
49.3
49.3
49.3
49.3
52.7
54.8
57.3
57.3
Social welfare services
26.55
35.58
Total
121.28
Say
121
41.77
140.33 158.32
140
158
46.14
49.57
51.63
53.53
55.48
56.73
172.80 184.03 197.22 209.05 222.23 231.85
172
184
197
209
222
232
7.4
The expenditure listed above will be to a limited extent offset by income such as fees, public donations and funds raised by voluntary organisations for capital or recurrent projects. There may also be a small saving in the educational field, since the provision of places in special schools or special classes would lead to a corresponding reduction in the number of places in ordinary schools and classes. The exact figure, however, is difficult to forecast.
19
No comments yet.
Private notes are available after approval.