The cost of modernising the Great Western railway is estimated to be £5.58 billion, an increase of £2.1 billion since 2013, and there are delays to the electrification of the route of at least 18 to 36 months. The Department for Transport and Network Rail have begun to improve the management of the programme but they have more to do to protect value for money in the future.
This Departmental Overview looks at Department for Transport (DfT) and summarises its performance during the year ended March 2016, together with our recent reports on it.
The Department for Transport agreed to make a £30m grant towards construction of the Garden Bridge despite its concerns over value for money. The NAO’s review does not assess the value for money of the project as a whole.
HS2 is a large, complex and ambitious programme which is facing cost and time pressures. The unrealistic timetable set for HS2 Ltd by the Department means they are not as ready to deliver as they hoped to be at this point.
This briefing responds to a request from the Environmental Audit Committee to review sustainability within the Department for Transport.
The management of rail franchising has improved since 2012 however significant risks remain to achieving value for money as the programme develops.
The sale of Eurostar generated proceeds of £757m. The government prepared well for the sale and achieved its objectives to maximise proceeds. The sale illustrates some general lessons for government as it embarks on its asset sales programme.
In June 2015, the Secretary of State for Transport announced that two large rail electrification schemes would be paused because the rail investment portfolio was costing more and taking longer.
This impacts case study shows how our reports pointing to the need for Department for Transport staff to improve their skills in managing complex procurements helped DfT to develop a Commercial Capability Strategy, increase leadership training and create a network for sharing advice.
It is one example of financial or non-financial benefits realised in 2014 as a result of our involvement, all of which are set out in our interactive PDF
This impacts case study shows how our identification of lessons from past rail infrastructure programmes regarding aspects such as planning, monitoring and financing, has helped the Department for Transport apply these lessons, including in the HS2 programme.
It is one example of financial or non-financial benefits realised in 2014 as a result of our involvement, all of which are set out in our interactive PDF.
