National Assembly for Wales

Finance Committee

Guidance on information to support a proposed Assembly Measure

1. Standing order 23.18 states in the section "Documentation to Accompany a Proposed Measure”

23.18 At the same time as a Member introduces a proposed Measure, he or she must also lay an Explanatory Memorandum which must:  …..

(vi) set out the best estimates of:

(a) any administrative, compliance and other costs to which the provisions of the proposed Measure would give rise;

(b) the timescales over which such costs would be expected to arise; and

(c) where the costs would fall;    

2. The Finance Committee needs to be able to assess whether the potential financial implications of the proposed measure, and the assumptions on which they are based, are reasonable and realistic.  In order to do this, the Committee needs to be able to understand the basis on which the Government or Member responsible for the proposed Measure has assessed the potential financial implications of the proposed Measure.

3. The Committee accepts that in some cases it will not be possible to provide detailed figures but, in all cases, it should be possible to present the fullest information available to provide transparency and clarity to the process of costing the potential financial implications of the proposed Measure.    

4. This information should include clear statements of the estimated potential financial impact of the Measure, for at least the next 3 years; and set out in detail;

  • the sources and dates of the data used;
  • the calculations or financial models used;
  • the estimates and/or assumptions that have been made; and
  • an indication of the accuracy and robustness of the figures, estimates and assumptions that have been used in the calculations and of the final costings.

5. If it is not possible to give an accurate estimate, a range of costs (minimum and maximum) might be given.

6. In order to smooth the process of legislation the Committee Clerk is always available to discuss with officials the information that might be made available to the Committee.

Angela Burns
Chair, Finance Committee

January 2009