there was a slight increase in the number waiting over 3 months for an outpatient week in June
2004 the Government do look to be on track to meet their PSA target.
Transport
Historically a lot less has been spent on transport compared with the Governments two other key
areas education and health. The Transport Ten Year Plan 2000: Delivering Better Transport –
Progress Report, provided an unprecedented commitment to deliver improved transport through
a programme of sustained, long-term funding. Since 2000-01 spending on transport has
increased by over 80 per cent in real terms, at an annual average of over 13 per cent. Spending
Review 2004 provides average annual growth of 4.5 per cent in real terms over the three year
period covered by the review, and so by 2007-08 expenditure on transport will be over 60 per
cent higher in real terms than the equivalent amount spent a decade earlier.
This increased expenditure, together with key reforms, have started to correct decades of under-
investment in transport infrastructure. Now more passenger trains are in use than have been for
the past 40 years, an increase in passenger journeys of over 25 per cent since 1996-97. Train
performance has been increased by 2 per cent with train punctuality increased since 2002-03.
Maintenance is also increasing with Network Rail replacing over 800 miles of track in 2003-04
compared to less than 300 a decade earlier.
4. Assessment and conclusion
The Government’s fiscal and public spending framework has been designed specifically to avoid the
mistakes of the past.
- The new macroeconomic framework is delivering a platform of low inflation and economic
stability. The clear fiscal rules are delivering sound public finances and set out a transparent
framework for the long term against which policy can be judged. - The new macroeconomic framework is delivering a platform of low inflation and economic
stability. The clear fiscal rules are delivering sound public finances and set out a transparent
framework for the long term against which policy can be judged. - Incremental annual spending rounds have been abolished; departments are now set firm multi-year
spending limits, allowing them to plan ahead. - Estimates of cyclically adjusted fiscal balances and trend growth are published regularly, allowing
proper scrutiny of policy decisions. Key assumptions are audited by the National Audit Office. - The public finances forecasts are underpinned by deliberately asymmetric, prudent and cautious
assumptions. - Capital is now planned and managed separately from current spending in the control framework,
protecting vital investment against short term pressures and ensuring that the fiscal rules are met. - Through the Public Service Agreements, planning is now firmly focused on the real-life outcomes
of Government activity. Joint budgets and targets are unlocking effective co-ordination across
departments and ensuring that solutions are designed around what public service users need.