Mark Whitehead 19 June 2015

Government leaving £15bn payment by results schemes ‘unmonitored’, says watchdog

The Government has no idea whether its payment-by-results schemes are providing value for money, according to its own spending watchdog.

The National Audit Office (NAO) says up to £15bn of public spending on the schemes which include welfare to work, family support, offender rehabilitation and international aid are not being monitored and the Government cannot demonstrate their value.

It warns that 'without a common source of shared expertise and a strong evidence base, payment by results schemes may be poorly designed and implemented, and commissioners are in danger of “reinventing the wheel” for each new scheme.'

The Government has a growing portfolio of the schemes where payment depends, at least in part, on the provider achieving outcomes specified by the commissioner.

The NAO says commissioners must establish performance expectations at the start of a scheme and actively monitor and manage provider performance. A part of the Government should become the repository of information and expertise about public sector use of the schemes.

Amyas Morse, head of the NAO, said: 'Payment by results potentially offers benefits such as innovative solutions to intractable problems. If it can deliver these benefits, then the increased risk and cost may be justified, but this requires credible evidence.

'Without such evidence, commissioners may be using this mechanism in circumstances to which it is ill-suited, to the detriment of value for money.'

SIGN UP
For your free daily news bulletin
Highways jobs

Vocational Trainer - Early Years - South Essex

Essex County Council
£29468 - £34668 per annum
Vocational Trainer - Early Years - South EssexPermanent, Full Time£29,468 to £34,668 per annum (full time equivalent) Location
Recuriter: Essex County Council

Vocational Trainer - Business and Management - Mid Essex

Essex County Council
£29468 - £34668 per annum
Vocational Trainer - Business and Management - Mid EssexPermanent, Part Time£29,468 to £34,668 per annum (full time equivalent) Location
Recuriter: Essex County Council

Vocational Trainer - Health and Social Care - North Essex

Essex County Council
£29468 - £34668 per annum
Vocational Trainer - Health and Social Care - North EssexPermanent, Part Time£29,468 to £34,668 per annum (full time equivalent) Location
Recuriter: Essex County Council

Vocational Trainer - Health and Social Care - South Essex

Essex County Council
£29468 - £34668 per annum
Vocational Trainer - Health and Social Care - South EssexPermanent, Part Time£29,468 to £34,668 per annum (full time equivalent) Location
Recuriter: Essex County Council

Enterprise Architect

Essex County Council
£68635.0000 - £80746.0000 per annum
Enterprise ArchitectFixed Term, Full TimeUp to £80,746 per annumLocation
Recuriter: Essex County Council
Linkedin Banner