14

Departments warn current shared services funding settlement may be insufficient for delivery.

Conclusion
Departments have stated that this settlement may not be enough to allow them to proceed with their preferred procurement options if final costs, which they currently estimate to be between £382 million and £403 million, continue to exceed the funding available.23 The Department for Work & Pensions told us that one of the top risks to the successful delivery of the Shared Services Strategy was the uncertainty over the additional funding it needed in this Spending Review period.24 It noted that it has to make the best case it can to get the extra funding for the rest of this Spending Review period, as well as the additional funding required in the next Spending Review period. The cluster business cases forecast that about £480 million in investment funding will be required in subsequent Spending Review periods to deliver these programmes. These figures are likely to change as clusters engage with the market and finalise their business cases.25 23 Q 62; C&AG’s Report, para 3.5 24 Q 83 25 Q 28; C&AG’s Report, para 19 12 Government Shared Services 2 Project management Benefits
Government Response

A response document is linked to this report, dated 21 July 2023. Response attribution to this conclusion has not been verified. Read the response document.

Addressee Bodies
HM Treasury
Timeline
Recommendation age 3.4 yrs
Report published 05 May 2023