Commons Sense

House of Commons · Written Ministerial Statement

Contingencies Fund Advance

19 October 2022 · Treasury

Proposed by Andrew Griffith Con Arundel and South Downs

Economy

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • The statement concerns the need for parliamentary approval to cover unexpected expenses related to the unwinding of the Bank of England's Quantitative Easing programme.
  • The proposed action involves an immediate expenditure of 828,267,000 to be met by repayable cash advances from the Contingencies Fund.
  • Parliamentary approval for the expenditure will be sought in a future Supply Estimate for HM Treasury.

Issue summary

The statement addresses the need for parliamentary approval of additional capital to cover unexpected expenditures related to unwinding the Bank of England's Quantitative Easing programme.

Action requested

Immediate expenditure of £828,267,000 will be met by repayable cash advances from the Contingencies Fund until parliamentary approval is granted in a future Supply Estimate for HM Treasury.

Key facts

  • The APF has transferred circa £120 billion to HMT from interest payments on purchased gilts.
  • MPC decisions mean that the reversal of cash flows will begin in October 2022, requiring an immediate payment to the APF.
  • Parliamentary approval for additional capital of £828,267,000 is sought in a future Supply Estimate.
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