Overview

The Contingencies Fund (No.2) Bill temporarily raises the maximum amount of money held in the UK's Contingencies Fund, allowing the government to access more funds for unforeseen emergencies.

Description

This bill amends the Contingencies Fund Act 1974. Specifically, it temporarily increases the maximum capital of the Contingencies Fund from 2% to 12% of the authorized supply expenditure for the financial year ending 31 March 2021. This increased limit applies only between 31 March 2021 and 1 April 2022.

Government Spending

The bill itself doesn't directly increase government spending. Instead, it increases the amount of money available to the government to respond to unexpected events without needing immediate parliamentary approval. The increase is from a maximum of 2% to 12% of the authorized supply expenditure for the year ending 31 March 2021. The exact financial impact will depend on how much of the increased allowance is actually used.

Groups Affected

The bill primarily affects the UK government, giving it greater financial flexibility in handling unexpected crises or emergencies. The public may indirectly benefit from the increased capacity to respond effectively to unforeseen circumstances requiring urgent government intervention.

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