Select committee: Public Accounts Committee
Conclusion 15
7th Report - Asylum accommodation: Home Office acquisition of former HMP Northeye
Published 5 Feb 2025
Addressed to HM Treasury
Public Accounts Committee Asylum accommodation: Home Office acquisition of former HMP Northeye All items in this report Report on parliament.uk ↗ Inquiry on parliament.uk ↗
Conclusion (the committee's words)
The Small Ministerial Group, established around November 2022, implemented concessions to the process of acquiring sites, including dispensing with the requirement for a full business case before approving acquisitions. The Home Office began drafting an outline business case for the acquisition of the Northeye site, dated 1 March 2023, but never completed it.42 When asked why a full business case was not developed for the Northeye site, despite is being a condition for HM Treasury approval, the Home Office explained that it could not complete a full business case in time due to the lack of final cost information for operationalising the site. 35 Q 31 36 C&AG’s Report, para 1.19–1.20 37 Q 26 38 Q 26 39 Q 24 40 C&AG’s Report, para 11, Figure 4 41 Q 17 42 C&AG’s Report, para 1.12, Figure 2 14 Instead, it opted to complete an outline business case.43 The Home Office also stated it was now resetting its asylum accommodation programme and will revise the programme business case, with a formal accounting officer assessment expected in the first quarter of 2025.44 When asked if the Home Office would develop a specific business case for the Northeye site, given it plans to either transfer or sell it, the Home Office explained it would develop a “disposal strategy”.45 It said this strategy would assess the cost, value and interest in the site, which the Home Office believes will help ensure the “best value-for-money solution” for the taxpayer.46 Appropriate skills and capabilities
From: Public Accounts Committee, 7th Report - Asylum accommodation: Home Office acquisition of former HMP Northeye (HC 361), 5 February 2025
Government response
The government responded to the whole report on 6 May 2025.