The Government has, today, published a series of new
documents on the Office for Value for Money (OVfM) which
address issues raised by the Committee in its
report earlier this year.
In January, the Treasury Committee highlighted
concerns about the cost-saving unit due to a perceived
lack of resources, very short lifespan and high risk of
duplication.
In its response, the
Government sets out a number of measures which address most of
the Committee's recommendations. These include detail about what
the OVfM will do and several new commitments to transparency.
The Committee welcomes these initiatives, which include criteria
for judging the value of investment proposals and a plan for
evaluating the temporary body's performance.
The Treasury confirms that the OVfM will have two initial areas
of focus: first, governance and budgeting arrangements for “mega
projects”; and, secondly, procuring short-term residential
accommodation for groups such as prison leavers and asylum
seekers.
It's also confirmed that the OVfM will not bring in any external
consultants to support in their work, relying on around 15 full
time employees.
Chair of the Treasury Select Committee, Dame MP, said:
“In light of the concerns we raised, our Committee welcomes this
additional information and acknowledges the signs of progress
that the Office for Value for Money is up and running. The
Government must maintain credibility on how it handles public
money in such a tight fiscal context, therefore it's critical
that Parliament and the public can fully scrutinise the impact of
this work.
“As always with these initiatives, the proof of the pudding will
be in the eating, but we will closely hold the Treasury to the
letter and spirit of the transparency commitments made today.”
