Recommendation 30

We also asked the Home Office about its approach to commercial incentives. The NAO had reported gaps in current contract performance information and the Home Affairs Committee found that providers faced few performance penalties and, in some cases, had incentives to prioritise higher-cost hotel accommodation. The Home Office said that it had strengthened monitoring of high-value subcontractors, supported by additional training for providers on supply-chain management.78 The Home Office told us it was “looking at all our contracts” and taking steps to improve contract oversight.79 It explained that the Department would not sign contracts that “do not offer the taxpayer value for money”.80