NAO presentation to the Department for Business,
Enterprise and Regulatory Reform (BERR) Public Services Industry
Review
A NAO team led by Ed Humpherson recently gave a presentation to
a review of the Public Services Industry by BERR. The BERR review
was chaired by DeAnne Julius, a former Bank of England Monetary
Policy Committee member.
This was an opportunity to draw on NAO experience across the
Office on public service delivery. Speaking alongside Ed Humpherson
in the NAO team were David Finlay (Director of PFI Development) and
Tim Banfield (Defence Director). The presentation focused on both
macro issues (how the public sector develops programmes of public
service projects and builds private sector markets to deliver the
projects) and micro issues (the issues which individual projects
need to address to achieve value for money).
Lessons from the NAO’s private finance work which contributed to
the presentation included the need to actively manage value
throughout the contract period. Issues such as dealing with
contract variations and benchmarking or market testing of the
ongoing service provision need to be carefully managed to ensure
that any resulting price changes can be demonstrated to be value
for money.
For more information, see the
Public Services Industry Review pages on the BERR website.