Source · Select Committees · Public Accounts Committee

Recommendation 30

30 Accepted

The Department accepted that it had used single point estimates for its Programme Business Case...

Recommendation
The Department accepted that it had used single point estimates for its Programme Business Case cost estimate rather than ranges. The National Audit Office highlighted that the IPA considers the use of ranges as best practice. The Department confirmed that it intends to use ranges going forward for both its cost and schedule estimates.56 52 Qq 35, 37–38 53 Qq 38, 48 54 Q 39 55 Qq 39–42 56 Q 59; C&AG’s report, paragraph 3.12 Redevelopment of Defra’s animal health infrastructure 17 3 Managing the Weybridge redevelopment programme risks Programme risk
Government Response Summary
The government agrees to continue developing its cost estimate for the Weybridge redevelopment programme, clarifying uncertainties and using cost ranges, with a target implementation date of Summer 2024.
Government Response Accepted
HM Government Accepted
5. PAC conclusion: There remains substantial uncertainty over the costs of the Weybridge redevelopment programme. 5. PAC recommendation: The Department needs to continue to develop its cost estimate and be clear where, and how much, uncertainty remains. This should include the use of cost ranges to illustrate the level of uncertainty. 5.1 The government agrees with the Committee’s recommendation. Target implementation date: Summer 2024 5.2 The cost estimate will continue to be developed over the current tranche, through to the main investment decision in 2024, including how uncertainty is reflected in those costings. It is the intention of the department to introduce cost ranges.