Source · Select Committees · Public Accounts Committee
Recommendation 20
20
Accepted
Cross-Whitehall collaboration essential for Industrial Strategy delivery despite misaligned objectives
Recommendation
We asked the Department to clarify its relationships with other departments and the influence it has in decision-making and trade-offs.40 The Department recognised it cannot deliver the forthcoming Industrial Strategy in isolation, and that other government departments have a role to play, although their objectives may not always be aligned. The Department provided examples of how it works across Whitehall to align interests effectively, such as the Growth Mission Board, chaired by the Chancellor, and a permanent secretaries’ business and growth group. The Department specifically highlighted the example of working with HM Treasury on electricity prices, which it said needed to be considered in the round and ultimately decided on by Cabinet.41 HM Treasury told us that it would consider the strategic case around each investment and would not just focus on a single number.42 Resourcing the forthcoming Industrial Strategy
Government Response Summary
The government developed a cross government digital customer relationship management system called the Strategic Company Insight Tool (SCIT) to improve the sharing of business intelligence.
Government Response
Accepted
HM Government
Accepted
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 The department developed the whole of the Industrial Strategy in partnership with other departments, with Sector Plans led by relevant departments. This ongoing programme of work involves sector councils and taskforces, chaired by leaders from the sectors and with representatives across relevant industries, working with lead departments and the Department for Business and Trade as appropriate. 40 2.3 Implementing the Industrial Strategy is a government-wide effort, underpinned by shared objectives and metrics. Governance has been established to coordinate the Industrial Strategy and Growth Mission at senior levels. Permanent Secretaries from economy-focused departments meet regularly to address strategic issues and engagement with priority businesses. The group is supported by a cross-government, Director-level Industrial Strategy Programme Board, co-chaired by the Department for Business and Trade and HM Treasury. 2.4 The Industrial Strategy Advisory Council (ISAC) provides advice, expertise on delivery, monitoring and impact evaluation, and will build on the evidence base to support future policy development for the Industrial Strategy. It will work closely with the department and HM Treasury, lead officials from across government and public bodies to support progress using a data-led approach. 2.5 The department consolidates intelligence sourced from business sectors, overseas, regional and analytical teams to produce monthly business intelligence reports. These are shared widely across government, reaching over 2,500 recipients, including ministers from the department and 16 Permanent Secretaries across government, to inform and shape policy. 2.6 The department continues to improve this reporting in response to user needs, including through digital platforms to enhance accessibility and readership. 2.7 The department has developed a new cross government digital customer relationship management system to improve the sharing of business intelligence. The Strategic Company Insight Tool (SCIT) enables departments to log business engagements, share company statistics, business insights and government priorities for engagement, making clear which department and officials are responsible for coordinating the strategic relationship. Several departments, with lead responsibilities, currently use the tool and the department is expanding usage. Built in-house through a partnership between business-facing policy teams and digital functions, the SCIT has removed the need for a potentially costly external procurement. Groundbreaking elements include voice transcription and the ability to securely share commercially sensitive information across departmental boundaries.