Source · Select Committees · Public Accounts Committee
Recommendation 1
1
On the basis of a report by the Comptroller and Auditor General, we took evidence...
Conclusion
On the basis of a report by the Comptroller and Auditor General, we took evidence from the Cabinet Office, the Department for Environment, Food and Rural Affairs (Defra), the Department for Transport (DfT), and HM Revenue & Customs (HMRC).1 We also took evidence from the British Ports Association, Dr Jerzewska of the Trade & Borders consultancy, and Logistics UK.
Government Response
Accepted
HM Government
Accepted
2. PAC conclusion: We are concerned that HM Treasury does not intend to adequately monitor and update the ongoing cost of COVID-19 to the taxpayer. 2. PAC recommendation: As part of its Treasury Minute response, HM Treasury should explain how, when, and which subsets of the data captured by the NAO in the COVID-19 cost tracker it will continue to update. This should also address how loan book commitments, including those made under the Culture Recovery Fund, and any associated liabilities, such as estimated write-off costs under the Bounce Back Loans Scheme, will be monitored. 2.1 The government agrees with the Committee’s recommendation. Target implementation date: Spring 2023 2.2 HM Treasury (the department) recognises the helpful role the cost tracker has played in improving transparency on the cost of COVID-19, providing timely updates on the nature and scale of spend. The Treasury has therefore committed to continue to conduct a routine review of these costs, where there have been material changes that can be reliably attributed to COVID-19, and to provide public updates. 2.3 These updates will be published annually for the next two years, after which the Treasury will review what is still required given, over time, it will become increasingly difficult to distinguish COVID-19 pandemic spend from business as usual spend. These annual publications will provide updates on, for example, the estimated lifetime cost of loans (including the Bounce Back Loan Scheme and loans through the Culture Recovery Fund). It will also provide updates on the costs of large COVID-19 pandemic specific public services measures, such as vaccines and balance sheet items such as personal protective equipment. 2.4 This annual document will supplement audited figures in departmental annual reports and accounts and other publications, providing a timely update with provisional (unaudited) data.