The total Government funding for 2006 – 07 will remain at around £570 million per annum. Of this, £433 million will go to the Environment Agency to fund their flood management activities, including improvement projects, maintenance and operations, flood forecasting and other initiatives such as flood risk mapping.

Local Authorities and Internal Drainage Boards will share £85 million between them for their capital improvement projects.

“I would normally also announce indicative threshold priority scores for 2007-08 and 2008-09 at this time,” Mr Morley said, “but given the high level of existing commitment in the programme and our plans to introduce from April 2008 new Output and Performance Measures, which will guide prioritisation in future, I have decided not to make such an announcement but will review the situation this time next year.”

He did, however, announce indicative allocations for the Environment Agency’s national flood risk program so they can proceed with necessary planning.

Defra’s new output and performance measures will be used increasingly to guide investment decisions. The indicators will reflect policy aims and objectives as set out in the ‘Making Space for Water’ document.

David Hopkins

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