Recommendation 3

There are signs of improved cross-government working but government still struggles to establish effective governance and accountability arrangements on the most complex projects where multiple departments are involved. In our February 2024 report on cross-government working in general we concluded that “effective cross-government working is fundamental to delivering government’s 6 Delivering value from government investment in major projects priorities but there is a lot of work to do”. This is particularly so for complex major projects, which often contribute to the objectives of multiple government departments and involve a number of organisation in delivery. There are examples of good practice, such as the East-West Rail project’s growth board that brings together local and central government, and the No 10 Delivery Unit can also be effective in bringing departments together to deliver cross-cutting priorities. For some projects it may be more effective to have an organisation outside of the project delivery team accountable for delivering value. Development corporations such as those established to deliver regeneration benefits at Ebbsfleet for High Speed 1 and the Queen Elizabeth Olympic Park for the London 2012 Games have been effective. But bringing together the right stakeholders to deliver value does not come naturally to government departments and this remains a challenge. Ensuring that appropriate individuals sit on project boards is also important to provide challenge to project teams, support delivery and ensure that value is delivered. Recommendation 3: HM Treasury and the Infrastructure Projects Authority should: a) analyse what governance structures and incentives work well to encourage cross-government working; and b) issue guidance on how government departments can apply the right approaches that reflect the objectives and complexity of their projects including for delivering value once a project is complete.