Select committee: Public Accounts Committee
Recommendation 20
44th Report - Governance and decision-making on major projects
Published 10 Sep 2025
Addressed to HM Treasury
Public Accounts Committee Governance and decision-making on major projects All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Recommendation (the committee's words)
We asked NISTA how the gateway and business case process will be strengthened to give better assurance on project affordability and value for money. NISTA told us there is now a distinction between mega projects and major projects with new governance arrangements being put in place for mega projects.39 The new arrangements for mega projects involve decisions at each stage gate being made by the Prime Minister, Chancellor and 36 C&AG’s Report, paras 1, 4.9, 4.11 37 Committee of Public Accounts, HS2: Update following the Northern leg cancellation, Tenth Report of Session 2024–25, HC 357, 28 February 2025 38 James Stewart, Stewart Review: Major Transport Projects Governance and Assurance Review, 18 June 2025 39 Q 55 14 relevant Secretary of State, advised by a new decision panel involving the Treasury, NISTA and Cabinet Office officials, itself informed by independent assurance.40
From: Public Accounts Committee, 44th Report - Governance and decision-making on major projects (HC 642), 10 September 2025
Government response
Latest Treasury Minutes progress report to the Committee of Public Accounts on the Forty-fourth Report of Session 2024-26
The government responded to the whole report on 4 June 2026 (deadline 10 November 2025).
Treasury minutes: Government response to the Committee of Public Accounts on the Forty-Fourth report from Session 2024-26
Published 19 January 2026.
Summary written by Accountability Index from the government's response. It is not the government's own words.The government states that it "agrees with the Committee's recommendation" in each of the responses set out, with some marked as implemented and others given target dates.
- On the Committee's request for a 12-month update on mega-project governance, the government agrees, with a target implementation date of September 2026; the Treasury "will write to the Committee".
- On the £10 billion mega-project threshold and on alignment with Mission and place-based governance, the government agrees and records both recommendations as implemented, stating the Treasury "has written to the Committee".
- On assurance, NISTA "will be reviewing and consulting on the assurance framework holistically"; the Treasury will tie higher Delegated Authority Limits to departments evidencing compliance with standards.
- On reporting, the government agrees; NISTA "will consider how" existing reporting can be integrated with reporting against the Strategy, and the infrastructure pipeline "will be updated at least every six months".