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Review of the data systems for Public Service Agreement 22

Comprehensive Spending Review 2007 covering the period 2008-2011

Review of the data systems for Public Service Agreement 22 led by the Department for Culture, Media and Sport: ‘Deliver a successful Olympic Games and Paralympic Games with a sustainable legacy and get more children and young people taking part in high quality PE and sport’

16 Jun 2010
Two women playing netball

Increasing participation in sport

Although more people have been involved in sport since 2005, the Department did not meet its targets to increase participation by priority groups by March 2008. However, a new strategy and better funding arrangements are positive developments that offer the prospect of improved value for money.

26 May 2010
London Olympic Stadium

Preparations for the London 2012 Olympic and Paralympic Games: Progress report February 2010

“The Olympic Delivery Authority has done well to keep its programme on track, and it is increasingly likely that the venues and infrastructure are going to be delivered on time and budget. Nevertheless, there is still a long way to go, with less contingency funding available to meet unforeseen cost pressures.


“Plans for the delivery of the Games themselves need to be fleshed out, in particular making sure that LOCOG is on track at least to break even. In addition, securing long-term use of facilities such as the Media Centre and the Main Stadium should remain a priority to get the best out of the Games both for the taxpayer and local people.”

26 Feb 2010
BBC building

The BBC’s management of three major estate projects

The BBC Trust has today published an independent report prepared by the National Audit Office (NAO) on the BBC’s management of three major estates projects. These were the refurbishment and redevelopment of Broadcasting House in London, the construction of Pacific Quay in Glasgow and the Corporation’s forthcoming move to Salford Quays.

25 Feb 2010
BBC reporter

The BBC’s management of its coverage of major sporting and music events: review by the Comptroller and Auditor General presented to the BBC Trust’s Finance and Compliance Committee, 13 January 2010

“Millions of people enjoy the coverage of major sporting and music events provided by the BBC. But, particularly given the current economic conditions, the BBC has not done enough to demonstrate that its coverage provides the best possible value for money. When the BBC decides that it wants to cover a major sporting or music event, it should carefully explore a range of options, and set down clear objectives against which it can measure its achievements after the event. Without that, the BBC will not convince licence fee payers that their money has been well spent.”

28 Jan 2010
Report cover showing children looking out of window of historic building

Promoting Participation with the Historic Environment

“The Department for Culture, Media and Sport has met one but missed two of its targets to increase the number of people from underrepresented groups who visit heritage sites in England. While the targets were challenging, they should have been underpinned by a performance framework that more clearly matched the priorities and activities of English Heritage with the Department’s strategic objectives. The Department needs to review its performance management practices to ensure that the bodies it funds are working with it towards shared objectives.”

22 Jul 2009
Cover of NAO rept: The BBC's management of strategic contracts

The BBC’s management of strategic contracts with the private sector

“The Trust welcomes this report from the NAO into the BBC’s strategic contracts. We are pleased that the NAO found that the BBC has exceeded its own savings targets for these contracts. However, we recognise that there is more to be done to ensure consistency in the way the BBC manages large contracts. The BBC Executive has now set out its response to the NAO’s recommendations. The Trust has required the Executive to provide an action plan and timetable for this response to be implemented.”

Tim Burr, Comptroller and Auditor General, said:

“The BBC has kept its spending on strategic contracts in line with its forecasts and exceeded its savings targets. It now needs to concentrate on securing the levels of service for which it has paid – as well as achieving greater innovation – to provide the BBC and licence fee payers with value for money.”

The NAO review looked at whether the BBC is securing the service and financial objectives the Corporation outlined when it entered into high value, individual strategic contracts and whether adequate steps have been taken to maximise the value for money of its portfolio of strategic contracts.

The report found that the BBC spent £715 million on strategic contracts in 2007-08, in line with forecasts, and exceeded its savings target of £135 million by £22 million. The BBC has secured the contractually agreed minimum levels of service for 91 per cent of the indicators specified when it entered its strategic contracts where those indicators are linked to payment and 82 per cent of performance indicators not linked to payment. However, the BBC has not secured as much innovation by the contractors as it expected on some contracts. The BBC has not, therefore, achieved the full range or level of performance specified in its strategic contracts.

Overall, across five contracts examined, the BBC’s approach to relationship management was above average compared to other organisations in the public and private sectors. Although the BBC has examples of good practice in contract management its contract and relationship management with its private sector suppliers is variable. The Corporation needs consistently to follow best practice.

The report has identified a series of recommendations to improve the management of strategic contracts at the BBC.

The Trust welcomes the work that the NAO has done on identifying ways in which the BBC Executive can improve its contact management. The Trust notes that the report acknowledges the formation of the BBC’s Strategic Relationships Board, which will share issues, best practice and become a focal point for reporting. The Trust also expects the BBC Executive to undertake a more robust annual review of contracts and introduce greater senior management involvement in underperforming contracts. The Trust has asked the Executive to prepare an action plan and timetable and report back progress.

The Trust supports the BBC Executive’s progress in developing the expertise of its contract managers and the development of a set of core competencies for contract management. The Trust also supports the BBC Executive’s plans to develop a structured approach to the professional development of contract managers.

The Trust notes that the BBC Executive has completed an audit with JCI and currently has audits with Siemens and Capita TVL in progress. Additionally the BBC Executive routinely interrogates data from contracts suppliers and has arrangements to see annual cost data. The Trust supports open book audits whenever appropriate.

The Trust welcomes the BBC Executive’s undertaking that the Strategic Relationships Board will undertake a review of all the performance measures across the BBC’s portfolio of contracts.

The Trust notes that, although the BBC Executive has methods of ensuring performance across the portfolio of contracts, performance is not systematically validated against all performance indicators as a matter of routine. The Trust welcomes the Executive’s undertaking to introduce a process of sample validation across the key contracts.

Media contacts:

Ben Wiseman
Communications Officer, BBC Trust
t: 020 7208 9558
m: 07730 194 019
f: 020 7208 9670

Phil Groves
Press Officer, National Audit Office
t: 020 7798 5339
m: 07770 678477

18 Mar 2009