Public bodies are no strangers to reviews.

The launch of Cabinet Office’s new “Public Bodies Review Programme” is the latest iteration of their guidance to assess performance of public bodies. Its’ predecessor, “Tailored Reviews” running from 2015-2020.

The context of this “Reviews Programme” is somewhat different. Post-Brexit and Covid, the government are keen to ensure that public bodies remain focussed on delivering essential public services and that their governance structures remain appropriate. As laid out in the latest spending review, the rising cost of living has also underscored the necessity to make sure bodies are making the best possible use of taxpayer’s money.

Jacob Rees-Mogg, Minister for Brexit Opportunities and Government Efficiencies, has encouraged public bodies to embrace the opportunity provided by the new reviews to demonstrate they are “match-fit.” At our latest CEO Challenge session, Chief Executives reflected on the meaning of Rees-Mogg’s proposition, considering how to best prepare and embrace the opportunity presented by the new reviews.

With thanks to our panel:

• David Foley, Public Bodies Director, Cabinet Office
• Paula Sussex, Chief Executive, Student Loans Company
• Duncan Wilson OBE, Chief Executive, Historic England

The renewed focus on efficiency

The new “Public Bodies Reform Programme” seeks to ensure “accountable, efficient and effective public bodies.”

In his Spring Statement, the Chancellor of the Exchequer announced that public bodies would be expected to make savings of at least 5% of their Department Expenditure Limit (DEL) budgets, amounting to £800 million of taxpayer’s money.

The government’s renewed focus on efficiency reflects the challenges of the current fiscal environment and the rising cost of living. Within this context, government are keen to ensure that efficiency features as the priority consideration in all decision-making.

Operating on the front-line of public service delivery, public body leaders remain keenly aware of the need to ensure the appropriate spend of public funds. Members considered the implications of trying to make too many operational efficiency savings, when many budgets are under considerable pressure, with reductions and scope for activities increased. Members were aware of the need to ensure that essential services are protected and there was sufficient capacity to deliver on government’s strategic ambitions.

Maintaining “match-fitness”

In his foreword to the new Cabinet Office reviews guidance, Minister Rees-Mogg invited “departments and their public bodies [to] welcome [the] opportunity to ensure they are match fit.”

His comments reflect the Cabinet Office’s aim to ensure that the new reviews provide a 360-degree view of public bodies’ performance, including a look at how sponsoring departments work alongside organisations. This guidance has been designed as an activity that happens in collaboration with public bodies.

The independence of the reviews is critical to the programme, evidenced by the pool of over 100 lead reviewers that have been identified across senior Civil Service and public sector boards. It is these lead reviewers that will ultimately make the assessment on a bodies’ “match fitness.”

Members considered what might constitute “match fitness” broadly determining:

• Efficient use of public spend
• Delivery of excellent public services
• Maintenance of good organisational health

To demonstrate their “match fitness,” members were urged to be transparent in their decision-making and governance arrangements; clear and consistent in their communications with all internal and external stakeholders; and meticulous in their planning and reporting.

“Match fitness” is something to be continually assessed and maintained.

The opportunity presented by reviews

Reviews present a unique opportunity for public body leaders to gain endorsement from government in the delivery of their key strategic objectives. For example, one member shared that the conclusions of their “Tailored Review” had enabled them to make the case for enhanced public services through technology investments.

Members who had previously undergone reviews encouraged others to motivate their staff in this spirit, highlighting the opportunity presented to make improvements to public services. Indeed those involved in the review share the ambition to deliver the most effective service to the public possible.