Source · Select Committees · Public Accounts Committee
Recommendation 6
6
Accepted
Update Committee on Industrial Strategy adaptation and metrics for measuring its success.
Conclusion
It is essential that the government’s forthcoming Industrial Strategy has clear measures of success and effective processes for monitoring and evaluation. The government’s forthcoming Industrial Strategy is central to its economic growth mission. The Department is placing great emphasis on the Strategy and sees it as an opportunity to set a clear strategic direction for the UK economy over the next decade. The Department is less clear however on the practical implications of the Strategy and how it will change the nature of its support for industry, noting at the time we took evidence that it was in the middle of a spending review process. The Department acknowledges that its monitoring and evaluation has been inconsistent and, moving forward, wishes to embed evaluation from the start of its interventions. The Strategy provides the Department, HM Treasury and wider government an opportunity to address these shortcomings and set clear measures of success. While the government has yet to specify objectives for its Industrial Strategy, the Department’s Permanent Secretary is clear that it would be a failure if, in two to three years, the UK’s growth rate had not improved to at least the G7 average from 1.6% to 1.8%. recommendation The Department should update the Committee in six months on how it is adapting to the Industrial Strategy and the metrics it will use to measure success. 6 1 Support for industry Introduction
Government Response Summary
The government has committed to regularly reviewing progress against the Industrial Strategy, supported by the ISAC, and has implemented a public monitoring and evaluation approach underpinned by an impact pathway outlined in the technical annex. All government departments will carry out monitoring and evaluation for their individual policies and Sector Plans.
Government Response
Accepted
HM Government
Accepted
The government agrees with the Committee’s recommendation. Recommendation implemented The government has committed to regularly reviewing progress against the Industrial Strategy. As above, implementation is a government-wide effort, underpinned by shared objectives and metrics. This will be supported by the ISAC through its expertise on monitoring and evaluation and continued advice on policy development and delivery, helping ensure the Industrial Strategy remains fit for purpose. In addition, all fiscal events will set out the government’s continued support for the Industrial Strategy and the IS-8 growth-driving sectors. The department has opted for a public approach to monitoring and evaluation, supported by the ISAC (set out above). This is underpinned by an impact pathway, as outlined in the technical annex published alongside the Industrial Strategy, which sets out the underlying logic tracking individual policies to real world outcomes to achieve the Industrial Strategy’s goal of long-term, sustainable, regionally balanced, and resilient growth. Government departments and public bodies will carry out monitoring and evaluation for their individual policies and Sector Plans.