10
Accepted
The Department said it plans to ensure compliance by departments with standard definitions through a...
Recommendation
The Department said it plans to ensure compliance by departments with standard definitions through a combination of audit, data and technology improvements, and strengthening its mandate. The Cabinet Office has also established a working group and is seeking advice from the Government Internal Audit Agency to identify where Departments diverge from the definition across government.22 When asked how long it expects to take to strengthen its mandate, the Cabinet Office stated that it issues directions in the annual accounts and will contact any non-compliant departments directly. It has also already reminded Departments of the best practice shared in the Consultancy Playbook, and the definitions it contains, to improve data quality.23 However, the Department could not commit to a timeline.24 Reducing consultancy spend
Government Response Summary
The government agrees to ensure departmental compliance with standard definitions by commissioning the Government Internal Audit Agency (GIAA) to review 15 organisations for adherence to consultancy spending definitions and implementation of controls, with findings to be reported to the Committee by Autumn 2026.
Government Response
Accepted
Government Response
Accepted
HM Government
Accepted
2.1 The government agrees with the Committee’s recommendation. Target implementation date: Autumn 2026 2.1 All departments are expected to comply with central guidance and reporting obligations. There is some anecdotal evidence of issues rather than systemic non-compliance. 2.2 The Cabinet Office has commissioned the Government Internal Audit Agency (GIAA) to carry out a review of 15 organisations with significant consultancy spending. The review will look at whether organisations are adhering to definitions of consultancy spending as set out by the Cabinet Office and whether they have appropriately implemented controls that the Cabinet Office has asked them to. The department will write to the Committee with GIAA’s findings and the steps the Cabinet Office will take as a result.
Source
Committee
Public Accounts Committee
Report
71st Report - Government’s use of external consultants
11 Mar 2026
HC 1521
Addressee Bodies
HM Treasury
Timeline
Recommendation age
0.4 yrs
Report published
11 Mar 2026