Source · Select Committees · Public Accounts Committee
Recommendation 19
19
Not Addressed
Annual budgets challenging for long-term asset management, but Treasury plans multi-year strategies
Conclusion
We challenged the Cabinet Office as to whether this is a good way for government to operate, or whether a longer–term funding settlement would encourage better practice. The Cabinet Office replied that annual budgets are common. It also noted that the Spending Review 2025 will be multi–year. The DIO agreed that managing a building that is expected to last 60 years with yearly spending settlements is very challenging, and that management of infrastructure needs to be long–term. We asked further on whether HM Treasury plans to give greater certainty to departments on maintenance funding, to which Cabinet Office replied that HM Treasury intends to create a 10–year infrastructure strategy, and provide five–year capital funding cycles.35
Government Response Summary
The response refers to short-term funding for property maintenance hindering longer-term planning, but doesn't address whether a longer-term funding settlement would encourage better practice.
Government Response
Not Addressed
HM Government
Not Addressed
4. PAC conclusion: Short–term funding for property maintenance is hindering longer–term planning.