Source · Select Committees · Public Accounts Committee
Recommendation 14
14
Accepted
Government introduces annual performance reviews and 3:1 return on investment target for counter-fraud
Conclusion
In 2021, HM Treasury commissioned GCFF to undertake a Workforce and Performance Review (WPR) to map the counter-fraud resources and delivery outcomes of 70 central government organisations.42 HM Treasury and Cabinet Office said that the WPR exercise will now be an annual undertaking to enable government to focus on areas, particularly outside the tax and welfare systems, most in need of improvements.43 HM Treasury explained that in return for its investment in government’s counter-fraud capability, and to encourage a culture change in public bodies’ attitudes towards tackling fraud and corruption, it will ask for organisations to achieve, or work towards, a return of £3 for every £1 they spend on counter-fraud activities.44 PSFA told us that a 3 to 1 return on investment is a “reasonable place to start” but expectations will have to be tailored to reflect the risk profile of organisations.45 37 Qq 17, 34–36 38 Q 17; C&AG’s Report, Figure 10 39 Q 38 40 Q 49; C&AG’s Report, para 3.8 41 Q 50 42 C&AG’s Report, para 2.11 43 Qq 39, 48 44 Q 65 45 Qq 66–67 14 Tackling fraud and corruption against government 2 Government’s response Designing out fraud and corruption
Government Response Summary
The government agrees and commits that the PSFA will update the committee in 12 months on the outcome of the next Workforce and Performance Review, confirming it will be an annual undertaking.
Government Response
Accepted
HM Government
Accepted
The government agrees with the Committee’s recommendation. Target implementation date: September 2024 The previous Workforce and Performance Review (WPR) was the first time that a systematic review had been undertaken across government on the understanding of fraud risk, the level of resourcing and the outcomes that were being delivered. It focused on the largest 70 public bodies. The methodology was inherently novel. The PSFA will update the committee in 12 months on the outcome of the next WPR.