j237504-26.htm

12. Provisions for Liabilities and Charges

12a Provisions for liabilities and charges	Land and Property Acquisition	Major Projects	Other	Total
2011-12	£'000	£'000	£'000	£'000
Balance as at 1 April 2011	51,446	16,848	7,553	75,847
Provided in year	1,975	0	95	2,070
Provisions not required written back	0	(1,500)	(1,008)	(2,508)
Provisions utilised in year	(8,477)	(2,332)	(4,302)	(15,111)
Balance as at 31 March 2012	44,944	13,016	2,338	60,298
2010-11
Balance as at 1 April 2010	40,370	18,731	10,112	69,213
Provided in year	15,572	0	2,101	17,673
Provisions not required written back	145	0	(2,988)	(2,843)
Provisions utilised in year	(4,641)	(1,883)	(1,672)	(8,196)
Balance as at 31 March 2011	51,446	16,848	7,553	75,847
Balance as at 1 April 2010	40,370	18,731	10,112	69,213
12b Analysis of expected timing of discounted flows	Land and Property Acquisition	Major Projects	Other	Total
12b Analysis of expected timing of discounted flows	£'000	£'000	£'000	£'000
In the remainder of the period to 2013	19,396	8,292	896	28,584
Between 2014 and 2017	19,533	4,125	1,051	24,709
Between 2018 and 2022	6,015	599	391	7,005
Thereafter	0	0	0	0
Balance as at 31 March 2012	44,944	13,016	2,338	60,298
In the remainder of the period to 2012	20,220	10,371	1,434	32,025
Between 2013 and 2016	31,226	6,477	6,119	43,822
Between 2017 and 2021	0	0	0	0
Thereafter	0	0	0	0
Balance as at 31 March 2011	51,446	16,848	7,553	75,847

Land and Property Acquisition

Land and property acquisition provision relates primarily to the estimates made of the likely compensation payable in respect of planning blight, discretionary and compulsory acquisition of property for property owners arising from physical construction of a road or rail scheme. When land is acquired by compulsory purchase procedures, it is not known when compensation settlements will be made. A provision for the estimated total cost of land acquired is created when it is expected that a General Vesting Declaration (GVD) will be published in the near future. It may take several years from the announcement of a scheme to completion and final settlement of all liabilities. The estimates provided by the Valuation Office Agency (VOA) are reviewed bi-annually.

Major Projects

Major projects provision relates to compensation claims made in respect of work done under the projects that have not yet been fully settled.

Other

Transport Scotland is required to meet the additional agreed cost of benefits payable to those employees who retire early until they reach the age of 60 at which point the liability is assumed by the PCSPS. The cost of these benefits are provided in full when the employee retires.