Grant Aided Expenditure (GAE)
Grant Aided Expenditure or GAE is not actual funding but represents a provision to spend. It is the figure that the Executive uses as an estimate for the cost of providing a particular service and it is used as the basis for calculating the amount of Revenue Support Grant that the Executive provides to Local Authorities. 
GAE lines are agreed by the Executive in consultation with the Convention of Scottish Local Authorities (COSLA) and are set using a number of indicators. These indicators can vary in number and type but could include data such as: population, pupil numbers, or deprivation.
Further information about GAE including the 2005-2008 base calculations and the 2006-7 and 2007-08 calculations using projected data can be found in the "green books" which are available on the Grant Aided Expenditure Statistic page. These GAE figures are however subject to the changes which were provisionally notified to local authorities in the local government finance statement in November 2005. Circular 8 of 2005 which details these changes can be found in our recent circulars section.