Source · Select Committees · Public Accounts Committee
Fifty-Second Report - Restoration & Renewal of the Palace of Westminster – 2023 Recall
Public Accounts Committee
HC 1021
Published 17 May 2023
Recommendations
4
Deferred
Set out process for Clerks to manage conflicts between legal responsibilities.
Recommendation
It is unclear how the Clerks will manage their legal responsibilities to the programme alongside those to individuals working in and visiting the Palace. From January 2023 the Clerks, acting jointly, have overall responsibility for the parliamentary building works. They …
Read more
Government Response Summary
The government's response is irrelevant to the recommendation, discussing drug strategy investment and alcohol treatment guidelines instead of the Clerks' process for handling conflicts of legal responsibility for the R&R programme.
HM Treasury
View Details →
23
Accepted
Public support for Palace restoration high but faces challenges from rising costs.
Recommendation
The Clerk of the House of Commons described how restoration and renewal of the Palace would be a ‘hard sell’ to the public. Prior to the reset of the programme, the Sponsor Body estimated that works would cost between £7 …
Read more
Government Response Summary
The government agrees with the need for public engagement and confirms that a comprehensive engagement plan is in place for 2023, including a separate plan specifically addressing external engagement to properly inform the public.
HM Treasury
View Details →
Conclusions (32)
2
Conclusion
Deferred
There remains a lack of clarity over what a restored Palace will look like, and how it will be delivered, which makes the programme currently extremely difficult to cost with any certainty. In June 2022 we highlighted how critical value for money risks, which we had previously identified in October …
Government Response Summary
The government's response is irrelevant to the recommendation, discussing the cost of alcohol to society and related departmental work instead of the Palace of Westminster's R&R cost estimates and pilot progress.
3
Conclusion
Deferred
Transparency will be critical to facilitate accountability, and for Parliament and the public to gain confidence in the programme and its leadership. The current Client Board, alongside the Programme SRO, identified previous parliamentary engagement as having been insufficient. For example, in June 2022 we reported how the Commissions requested further …
Government Response Summary
The government's response is irrelevant to the recommendation, discussing funding for drug and alcohol treatment services instead of the Clerks' commitments to transparency and member engagement on the R&R programme.
5
Conclusion
Deferred
Compliance with health and safety protocols, in particular reporting asbestos incidents, remains unsatisfactory. The Clerks have personal responsibility for the health and safety of those working and using the Palace. To fulfil this responsibility, they will rely on others, such as contractors working within the Palace to follow expected processes …
Government Response Summary
The government's response is irrelevant to the recommendation, discussing a Local Outcomes Framework dashboard for drug and alcohol treatment instead of the Clerks' plans for reiterating contractor responsibilities for R&R health and safety.
1
Conclusion
Deferred
Following our previous reports on the restoration and renewal of the Palace of Westminster (the Palace), we took evidence from the Programme SRO and Head of the R&R Client team, the Delivery Authority Chief Executive, the Clerk of the House and the Clerk of the Parliaments.
Government Response Summary
The government's response is irrelevant to the committee's conclusion, discussing strategies to tackle alcohol harm instead of the committee's evidence-gathering on the Palace of Westminster's R&R programme.
6
Conclusion
Deferred
The Clerks have legal responsibility for the safety of those working and using the Palace and the wider estate.9 The Clerk of the House of Commons told us he was very clear that eventually there will be ‘catastrophic and irreversible damage to the Palace’ if decisions continue to be deferred. …
Government Response Summary
The government's response is irrelevant to the committee's conclusion, discussing a substance misuse workforce strategic plan instead of the safety and fire risks within the Palace of Westminster.
7
Conclusion
Deferred
The House Administrations undertake maintenance works across the parliamentary estate. The Clerks told us maintenance costs totalled approximately £2 million per week, with the House Administrations spending around £100 million a year.13 The sheer quantity of building and maintenance work currently being undertaken was staggering with 4,000 maintenance or reactive …
Government Response Summary
The government's response is irrelevant to the committee's conclusion, discussing CDDO's legacy IT risk framework and remediation programmes instead of maintenance works on the parliamentary estate.
8
Conclusion
Accepted
Asbestos remains a serious and pressing concern for those who live and work in the Palace and wider parliamentary estate – since 2016 there have been 8 asbestos incidents.16 The Chief Executive of the R&R Delivery Authority informed us asbestos could perhaps be found at 2,500 sites, including within inaccessible …
Government Response Summary
The Clerks agree, recognizing the need for excellent health and safety performance. They commit to utilizing the Programme Delivery Agreement to set explicit expectations for contractors regarding asbestos management and will implement a robust monitoring framework and assurances. Improvements to incident reporting are ongoing, and a new Director of Parliamentary Safety is being recruited.
9
Conclusion
Accepted
To fulfil their statutory responsibilities, the Clerks rely on others, such as contractors working within the Palace to follow expected processes and meet standards.19 As the Clerks have outlined previously, they have established dedicated processes to help them report and manage serious events where asbestos has been discovered or disturbed.20 …
Government Response Summary
The Clerks agree, committing to use the Programme Delivery Agreement to set explicit health and safety expectations for contractors, seek assurances on performance, and establish a robust monitoring framework. Improvements to incident reporting are already underway, and a new Director of Parliamentary Safety is being recruited.
10
Conclusion
Accepted
Since then, there have been two further asbestos incidents, one of which the Clerks accepted had not been handled appropriately. In September 2022 a contractor did not inform the Clerks of an asbestos incident or limit the dangers as quickly as expected. Fortunately, the asbestos discovered, on that occasion in …
Government Response Summary
The Clerks agree, committing to reiterate health and safety importance and ensure contractors meet standards through the Programme Delivery Agreement and a robust monitoring framework. They confirm improvements to incident reporting and the ongoing recruitment of a Director of Parliamentary Safety to expedite safety structure improvements.
11
Conclusion
Accepted
Managing the safety of the Palace remains a top priority for the Clerks and House Administrations.24 As they have been unhappy about the treatment of several safety issues, which also includes 12 instances of falling masonry, and given an increase in the volume of maintenance work, the Clerks have considered …
Government Response Summary
The Clerks agree on the need for robust safety structures and are implementing a Programme Delivery Agreement to ensure high safety standards with contractors. They are also continuing to improve incident reporting and plan to appoint an interim Director of Parliamentary Safety shortly.
12
Conclusion
Accepted
Following the House Commissions issuing a joint statement proposing changes to the approach and governance of the restoration and renewal programme in March 2022, the statutory instrument introducing these changes came into effect on 1st January
Government Response Summary
The government outlines key milestones for the R&R programme, including presenting a strategic case to both Houses by December 2023 and approving the Delivery Authority budget by March 2024, with regular quarterly progress reports.
13
Conclusion
Not Addressed
During this time, the House Administrations also worked to transition from the former Sponsor Body into the R&R Client Team. We have previously highlighted the risk that delays to changing the programme governance, and continuing uncertainty, could lead to a loss of vital capability from within the Sponsor Body and …
Government Response Summary
The government's response outlines future programme milestones for presenting a strategic case and developing costed proposals but does not address the committee's specific observations regarding challenges in staff transition, loss of leadership, and difficulties in recruiting to key roles within the R&R programme.
14
Conclusion
Accepted
The Clerk of the Commons told us he felt that the governance was in as good a place as it could be, but recognised that this is a critical year for the programme. Managing the risks to the timetable will be vital to maintain the programme’s momentum,34 and the next …
Government Response Summary
The government agrees it is critical to present a strategic case for the R&R programme this year, confirming it will be presented to both Houses by December 2023. It notes further detailed proposals will follow, with timing for a decision in 2024/2025 subject to a general election.
15
Conclusion
Accepted
In 2020 we highlighted how the Programme is made ever-more complex by the number of uncertainties which underpin it, including the condition of the building, interdependencies with other parliamentary building projects, the lack of consensus over where Parliamentarians and staff will relocate to while the work is undertaken, and what …
Government Response Summary
The government agrees with the committee's findings on ongoing uncertainties and commits that the R&R Client team will present cost and time estimates in ranges within the strategic case and costed proposal, with the first due in Autumn 2023.
16
Conclusion
Accepted
The Programme SRO outlined how, given the uncertainties, the Delivery Authority had worked up 30 options to help provide the evidence needed for decision-making. This analysis showed that how the programme was conducted, and on what timescale, had a much greater impact on the cost than scope decisions. Also, approximately …
Government Response Summary
The government agrees with the committee's observations and confirms that the R&R Client team will present cost and time estimates in ranges as part of the strategic case and costed proposal, due for consideration in Autumn 2023.
17
Conclusion
Accepted
The scope of the work, in terms of what a restored Palace would look like and how work would be undertaken, remains uncertain. We asked the Programme SRO about the risk of Parliament being unable to decide how to reduce the programme scope by the end of 2023. She told …
Government Response Summary
The government acknowledges the uncertainty in the work's scope and confirms that the R&R Client team will present cost and time estimates in ranges within the strategic case and costed proposal, with the first due for consideration in Autumn 2023, to aid decision-making.
18
Conclusion
Accepted
The Clerk of the House of Commons told us that resolutions passed by Parliament were unrealistic. There will be unavoidable trade-offs between cost, accessibility and sustainability. For example, the Commissions set out health and safety as their primary commitment but to meet sustainability expectations there will be additional costs and …
Government Response Summary
The R&R Client team commits to presenting cost and time estimates in ranges in the strategic case and costed proposal, due to be considered by the Programme Board and Client Board in Autumn 2023.
19
Conclusion
Accepted
The Delivery Authority continues to undertake intrusive surveys to understand as much as possible prior about the Palace before carrying out works. It has compiled over 1,750 technical reports on different aspects of the building. We were told that these will not finish prior to work commencing and that issues …
Government Response Summary
Acknowledging the uncertainties in cost estimates, the R&R Client team commits to presenting cost and time ranges in the strategic case and costed proposal, with the first due for consideration in Autumn 2023.
20
Conclusion
Acknowledged
To date, the Delivery Authority has spent £270 million, with much of this on developing the previous schemes and preparing the business case prior to the programme being paused in 2022. It is now developing a wider range of options for how restoration and renewal will be undertaken.48 In response …
Government Response Summary
The government acknowledges the work on a potential R&R pilot, stating that principles have been agreed and potential projects are being developed and assessed for consideration by the Client Board in the autumn.
21
Conclusion
Accepted
This Committee has often set out the significant benefits of transparency for supporting accountability over decision-making, alongside updating and engaging Parliament and the public on progress across critical major programmes. Transparency will also be critical for Parliament and the public to gain confidence in a programme and its leadership, as …
Government Response Summary
The government agrees on the importance of transparency and details ongoing efforts, including the upcoming annual progress report, regular quarterly reports, published meeting agendas/minutes, and the publication of Independent Advice and Assurance Panel reports.
22
Conclusion
Accepted
In our 2021 report drawing together lessons from numerous programmes we specifically highlighted the importance of Parliament’s own restoration and renewal programme being an exemplar of an open and transparent programme which welcomes scrutiny.50 The Delivery Authority Chief Executive commented that “Transparency in reporting is a very powerful and important …
Government Response Summary
The Clerks and Client Team agree with the committee's observation on transparency and confirm that commitments for regular reporting are being fulfilled, including annual and quarterly progress reports, published meeting minutes, and Independent Advice and Assurance Panel reports.
24
Conclusion
Accepted
Members of both Houses play a critical role in approving the forward direction of the programme. Back in 2020, we highlighted the challenges in building consensus across parliamentarians, which continues to be a significant risk.56 The Clerk of the House of 50 Committee of Public Accounts, Thirty-ninth Report of Session …
Government Response Summary
The government agrees with the committee's observation on the importance of Member consensus and outlines a comprehensive plan for internal engagement, including direct communications, focus groups, party group engagement, and an information hub, to address this challenge.
25
Conclusion
Accepted
In terms of parliamentary engagement, the Programme SRO identified this as an area where the Sponsor Body had previously not done enough.58 In October 2022, the newly established Client Board acknowledged that engagement had not been sufficient, with a new approach and greater collaboration needed.59 This was also recognised by …
Government Response Summary
The government agrees with the committee's observation on past insufficient parliamentary engagement and outlines a new, prioritized approach with senior resources and a comprehensive internal engagement plan with Members.
26
Conclusion
Accepted
We have previously seen the importance of getting senior political stakeholders on side. We reported that in February 2021, upon considering findings from a strategic review, the Commissions agreed the Sponsor Body could spend up to £5 million to carry out further work to fully understand the costs, time and …
Government Response Summary
The Clerks and Client Team agree on the importance of engagement with political stakeholders and detail a comprehensive plan of ongoing engagement activities with Members, committees, and party groups through various channels.
27
Conclusion
Accepted
The Programme SRO recognises that to achieve the ambitious timetable, the R&R Client Team will need to improve its parliamentary engagement.63 The Programme SRO and Delivery Authority Chief Executive envisage that recent governance changes will lead to more political ownership, and therefore engagement, across Parliament as decision- makers including the …
Government Response Summary
The government agrees with the importance of Member engagement, detailing a comprehensive engagement plan for the remainder of 2023, including regular internal engagement, direct alerts to Members, and an information hub, leading up to the strategic case vote.
28
Conclusion
Acknowledged
In 2020, the NAO reported that to reduce the likelihood of previous decisions being reopened, decisions should be based on the best available evidence, be transparent and make clear the cost and timing implications of alternatives.67 We challenged the witnesses on the extent and depth of information that would be …
Government Response Summary
The government acknowledges the committee's concern regarding information sufficiency, detailing ongoing efforts such as quarterly reports, published meeting minutes, an information hub, and a comprehensive engagement plan to keep Members informed leading up to strategic decisions.
29
Conclusion
Accepted
On 1 January 2023, the Parliamentary Works Sponsor Body (Abolition) regulations 2022 came into effect. These set out that the Corporate Officers of the Houses would, acting jointly, “have overall responsibility for the Parliamentary building works.”71 The Sponsor Body’s previous responsibilities, as set out in previous legislation, will also be …
Government Response Summary
The Corporate Officers acknowledge their new overall legal responsibility for the building works under the Act, and detail the mechanisms they will use, such as formally recording disagreements, to manage their duties, especially in the event of significant concerns.
30
Conclusion
Accepted
When we last reported on restoration and renewal in June 2022, we were concerned that the Clerks may have felt constrained in sharing their professional views, as accounting officers, on what the restoration and renewal programme could deliver.74 In addition, the Clerks will need to balance their accountabilities to the …
Government Response Summary
The Clerks acknowledge their legal and statutory responsibilities, including fire safety, and state they would formally record disagreements or object to proposed actions on grounds of propriety, value for money, or feasibility, ensuring their professional views are not constrained.
31
Conclusion
Accepted
The Clerks recognise the significance of the responsibilities they now hold and the complexities they face when fulfilling and balancing these respective responsibilities. 67 C&AG’s report, Palace of Westminster Restoration and Renewal Programme, HC 315, Session 2019–2021, 24 April 2020 68 Q 60 69 Qq 60–63, 115 70 Qq 115 …
Government Response Summary
The Clerks acknowledge their significant responsibilities and state they would record disagreements in formal minutes or correspondence if asked to undertake unwise or high-risk works. They also confirm they would not support construction presenting unmitigated risk.
32
Conclusion
Accepted in Part
There is currently no formal process in place should the Clerks be requested to do something they felt did not align with their respective responsibilities. For example, the Clerks cannot overrule the restoration and renewal Client Board or the Programme Board, but retain accountability for any decisions taken (whether or …
Government Response Summary
The Clerks agree with the conclusion, noting existing limited processes for disagreement and stating that in significant disagreements concerning the R&R works, they would formally record their disagreement in Board minutes and correspondence, rather than implementing a ministerial direction equivalent.
33
Conclusion
Accepted in Part
The Clerk of the House of Commons suggested that where there was a real abuse of procedure, there would be value to him being able to put this on record through placing a letter in the Library. He mentioned how the Speaker of the Commons recognised the value of introducing …
Government Response Summary
The government clarifies that an equivalent of a ministerial direction for Corporate Officers would be of limited value, but states they would record significant disagreements in formal Board minutes and correspondence for both Houses.
34
Conclusion
Not Addressed
We have previously expressed concern that the Clerks do not have the expertise or the capacity to successfully oversee a large infrastructure project of this cost and complexity. Their previous experience overseeing work on, for example, Elizabeth Tower shows how challenging this can be, with renovation set to cost £86 …
Government Response Summary
The response repeats the committee's concern that the Clerks do not have the expertise or the capacity to successfully oversee a large infrastructure project, but does not offer a response or action.