New authority to deliver govt projects

The Cabinet Office and HM Treasury have established the Major Projects Authority (MPA) in a bid to help improve central government's capability to deliver projects successfully and "realise benefits faster".

The authority creation comes within days after the long-awaited publication of the Government ICT Strategy, which confirmed the role of the authority with regards to future ICT projects in Whitehall.

The MPA has a remit across four major components:

The Government Major Project Portfolio

This will consist of all projects or programmes that require HM Treasury approval.

Integrated Assurance and Approvals

The planning, coordination and provision of assurance activities throughout the "policy to delivery" lifecycle in a way which provides greater assurance with less effort.  Every project will be required to prepare an Integrated Assurance and Approval Plan which will indicate how assurance reviews of all types will be scheduled to support decision making and inform approvals by the Department and by the Treasury, while avoiding duplication and activity which does not add value.

Consequential Assurance and Intervention 

For projects that have particular problems, a more intensive approach is required.  MPA will discuss with the Department the need for additional assurance and where necessary will arrange extra support for the project.  If issues are not being resolved effectively there will be an escalation process to ministers.

Transparent Reporting 

Will include the publication of project contracts on line, and an annual report on progress of Government's Major Projects which will be published by December 2011

Minister for the Cabinet Office, Francis Maude, said the MPA will work, "in collaboration with central Government Departments to help us get firmer control of our major projects both at an individual and portfolio level. It will look at projects from High Speed Two to the Rural Payments Agency's ICT system."

Maude added, "Previously Government projects have had a poor delivery record. There was no cross-governmental understanding of the size and cost of the Government's Major Project portfolio, and projects often began with no agreed budget, no business case and unrealistic delivery timetables. This Government will not allow that costly failure to continue."

"Today's announcement builds on the work we have already done to put an end to wasteful and unnecessary projects. Last summer we launched the first comprehensive review of its kind of Government's Major Projects," continued the minister. "That initial review found common and unacceptable failings in projects. We believe the Major Projects Authority - will help further drive substantial improvement in the success rate of all major projects across government."

Chief Secretary to the Treasury, Danny Alexander, said the establishment of the Major Projects Authority will help the government's largest projects receive maximum scrutiny to avoid repeating the cost overruns of the past. "Establishing the Major Projects Authority marks a very important step towards achieving this aim," he said. "By bringing together financial, commercial and project management expertise, I believe it will help us deliver successful projects on time and on budget."