Source · Select Committees · Public Accounts Committee
Recommendation 6
6
Government efficiency drives tend to be one-off events rather than being embedded as a continuous...
Conclusion
Government efficiency drives tend to be one-off events rather than being embedded as a continuous priority. The Treasury believes that well-defined, tight budgets provide departments with enough of a financial incentive to strive for efficiency continuously. But its emphasis on driving efficiency from departments primarily in the run up to Spending Reviews risks departments losing focus in between fiscal events and there is little evidence of a continuous improvement culture in government. Leadership behaviour that promotes a long-term view and encourages continuous improvement through a culture of openness and transparency that allows everyone to contribute must be properly incentivised. Recommendation: HM Treasury and the Cabinet Office should work jointly from the centre of government to consider how best to instil a culture of continuous improvement across government that lasts beyond this Spending Review process. 8 Efficiency in government 1 Planning efficiency savings
Government Response
Accepted
HM Government
Accepted
The government agrees with the Committee’s recommendation. closely with the Government Functions and other parts of the centre of government to drive the identification of further efficiencies. HM Treasury intends to do this through closer collaboration with the functions within decision making on programmes and ensuring functions are engaged to enable delivery. HM Treasury is also looking to regularise the links between functional experts and Treasury teams to improve scrutiny of all business cases. HM Treasury plans to go further in this space and will write to the Committee with plans to oversee the Efficiency Agenda at the beginning of the SR period in summer 2022. The Declaration on Government Reform signed by the Prime Minister and Cabinet Secretary in June 2021 laid out a vision for reform and kickstarted its implementation across government via 30 initial actions. The Cabinet Office is capitalising on the momentum generated to mainstream reform across government, through reform Champions in each department (there are now more than 2,000), through the A Modern Civil Service vision, and through leadership from both Ministers and senior officials - both as sponsors of actions and in their day-to-day work. In this way, the Declaration will instil a culture of continuous improvement across government that will deliver greater efficiency and value for money across coming years.