asked the Minister for Social Welfare the amount of moneys due from local authorities to each health board for supplementary welfare allowance payments; the methods being used to obtain these payments from local authorities, and if he is satisfied with this method of funding.

The amounts due by local authorities on 31 July 1985 to each health board in respect of contributions to expenditure on supplementary welfare allowances are set out in the following table:

The method of financing the supplementary welfare allowances scheme, whereby expenditure was shared by the Exchequer and the local authorities, proved unsatisfactory in practice and the Government have accordingly decided that from 1 January 1986 the scheme will be paid for entirely by the Exchequer, with rates support grants by the Exchequer to local authorities being adjusted accordingly. The arrears due by local authorities at 31 December 1985, after allowing for contributions made by the authorities in 1985 and for certain adjustments agreed by the Government, will have to be paid off by the authorities, and a period of five years is being allowed for the discharge of the balance due. Discussions will be held between the health boards, local authorities and the Departments concerned to work out the arrangements for paying off the arrears.

I am glad the Minister has taken the advice from this side of the House that the system of payments should be changed and transferred to the Exchequer rather than being left with local authorities. Since there is more than £20 million due by local authorities, and since they do not have any part in the implementation of the scheme and determining the eligibility for supplementary welfare payments, will the Minister concede that at this stage the amount due by local authorities should not be taken up by the Exchequer because it will prove to be a very expensive imposition on the resources of local authorities over the next five years?

Discussions are to take place between health boards, local authorities and the Departments concerned to work out the arrangements for paying off the arrears. The main point is that from 1 January 1986 the scheme will be paid for entirely by the Exchequer.

10.