Background
Government operates under conditions of increasing complexity and uncertainty. Effective risk management is therefore essential to achieving government’s objectives, securing long-term value for money, and delivering more productive and resilient public services. Well-managed risk-taking is also important to support innovation.
In 2022 the government established a risk profession, supported by a Risk Centre of Excellence, to improve the consistency and effectiveness of its risk management capabilities. But public bodies remain responsible for identifying and managing their own risks and using this to inform decision-making. In practice, different government departments and arm’s-length bodies manage risk differently and with varying degrees of success.
Scope
This study will assess how well central government bodies manage risks, including both threats and opportunities, to make better decisions and improve the delivery of public services. In doing so, it will consider progress with government’s efforts to strengthen the consistency and effectiveness of risk management. The study will build on our past work on risk management, including our good practice guide Overcoming challenges to managing risks in government. It will focus on:
- how well government bodies set clear roles, accountability and leadership for managing risks, while promoting a positive risk culture
- whether risk professionals have the skills, capacity and authority to provide objective advice and constructive challenge
- whether risk management is genuinely enabling risk‑based decisions and delivering better outcomes
NAO team
Director: Rich Sullivan-Jones
Audit Manager: Alberto Vanzo