Source · Select Committees · Public Administration and Constitutional Affairs Committee
Recommendation 5
5
Accepted
Publish analyses of economic losses from office closures and benefits in new Hub areas.
Recommendation
The Government is not only relocating posts from London to the regions and nations, but also relocating posts from local offices (often in economically deprived towns) to large regional Hubs (mostly in big cities). We are concerned that the Cabinet Office is not seeking to estimate the net economic impacts of its different relocation policies, once these local office closures are taken into account. The Cabinet Office should publish within six months analyses of economic losses in towns where government offices have been or are going to be shut down under the Government Hubs programme, as well as the expected benefits in areas where Hubs are opening. (Paragraph 49) Government Property Agency: Managing the office portfolio
Government Response Summary
The government states that the socio-economic impact of the Hubs Programme is considered for all recent and proposed regional Hubs, and the economic impact on regions as jobs are moved between them or new jobs created is analysed.
Government Response
Accepted
HM Government
Accepted
The Government Hubs Programme enables both the relocation of Civil Service roles from London to the nations and regions of the United Kingdom to support the Places for Growth Programme, and also the rationalisation of the government’s office portfolio in places. This approach releases costly London property, reduces the space required to meet the Civil Service workforce need, creates jobs in the regions, and brings staff from several departments together in a smaller number of high-quality, digitally connected buildings supporting collaboration and productivity. Hubs add value to the local economy and are active contributors to local communities. Typically, estate rationalisation into Hubs takes place within a city region and travel to work area with limited economic impact where local offices are closed. In Phase 1 Government Hubs, delivered by HMRC, a wider view of the travel to work area was taken leading to office closures in some smaller towns and cities. Whilst these closures will have some economic impact on those locations, HMRC’s expectation is that those taking up posts in, and travelling to, a Hub will continue their normal activities where they live. The socio-economic impact of the Hubs Programme is considered for all recent and proposed regional Hubs, and the economic impact on regions as jobs are moved between them or new jobs created is analysed.