Source · Select Committees · Home Affairs Committee
Recommendation 16
16
Deferred
Conclude recouping excess profits from past years and establish annual audit process.
Conclusion
The Home Office should conclude the process of recouping excess profits for past years as quickly as possible and set out the amounts that have been returned to the department by contract providers. The Home Office should put in place an annual process for auditing profit share data submitted by contract providers and recouping any excess profits due. The department should report to Parliament on the outcome of this annual process. (Recommendation, Paragraph 71)
Government Response Summary
The government's response deflects the recommendation to recoup excess profits and implement an annual audit process for profit share, instead focusing on its current and future procurement strategies for dispersed asylum accommodation and engagement with local authorities.
Government Response
Deferred
HM Government
Deferred
The Home Office works with local authorities and Strategic Migration Partnerships to address barriers to procurement, and takes an evidence based and pragmatic approach. Local authorities can provide feedback and local intelligence including issues with community cohesion on every single dispersed property before it is procured. The Asylum Accommodation Plans (AAPs) mean that procurement of Dispersed Accommodation is undertaken in a fair and equitable manner that is reflective of a number of social factors such as homelessness, availability of GPs and dentists etc. Regular regional governance meetings, offer valuable forums for the Home Office, Strategic Migration Partnerships, Local authorities and Accommodation providers to collaborate and jointly monitor procurement activity and progress against the AAPs. We anticipate that future contracts will be designed to provide stronger levers to direct providers and ensure compliance with distribution targets, but all actions will be strictly aligned with available funding and agreed priorities. Activity is currently underway to inform the future procurement, including a delivery model assessment, local authority engagement to test and refine the selected delivery model, market engagement and submission of a programme business case.