Annually Managed Expenditure definition

Annually Managed Expenditure or “AME” means spending included in departmental budgets, which is difficult to predict, manage or forecast, so, unlike the Departmental Expenditure Limit (see below), is not subject to multi-year spending limits set in Spending Reviews. Main categories of AME include demand led funding such as social security benefits, pensions and tax credits for individuals, and difficult to forecast items such as impairments in asset value, and provisions for liabilities. There are separate Resource and Capital AME budgets;