21
Accepted
Ageing heritage assets in FCDO's overseas estate require £2.1 billion for essential capital projects.
Conclusion
FCDO’s overseas estate contains a number of large properties, including Embassies, official Residences and compounds.55 Many of these properties, such as the Washington Embassy or the British Ambassador’s Residence in Paris, are large heritage assets which perform a key role in supporting the achievement of the UK government’s diplomatic aims and operations. The age of such assets means that they often require extensive work to make them safe and fit for purpose.56 Repairing, refurbishing or replacing large estate assets can require FCDO to carry out significant capital 50 Q 51 51 C&AG’s report para 1.22 52 Q 74 53 C&AG’s report para 1.23; Foreign, Commonwealth & Development Office, Annual Report and Accounts 2023–24, HC 63, 29 July 2024 54 Qq 46, 74 55 C&AG’s report, paras 1.2, 1.6 56 Qq 71-72 14 projects, and FCDO told us that it is seeking to deliver 120 capital projects. FCDO estimated in April 2025 that its total capital requirement for its pipeline of such projects was £2.1 billion. FCDO told us it has now assessed all its proposed projects against its prioritisation scorecard, to identify those projects that are most urgent and should be started first.57
Government Response Summary
The government agrees and is developing a more robust methodology for its annual overseas estate works programme by March 2029, leveraging data to allocate maintenance budgets based on risk and value for money, and has committed to writing to the Committee regarding implementation and within six months.
Government Response
Accepted
Government Response
Accepted
HM Government
Accepted
2.1 The government agrees with the Committee’s recommendation. Target implementation date: by end March 2029, in line with the Spending Review period. 2.2 To ensure that funding from the 2025 spending review and future allocations is both sustainable and focused on areas of greatest need, the Overseas Estate Department (OED) is developing a more robust approach for its annual programme of works. This new methodology leverages data from the Forward Maintenance Register global survey, enabling informed decisions on property maintenance. This approach will outline how the maintenance budget each year will be allocated to the needs of the overseas estate, based on risk and value for money. 2.3 The government agrees with the Committee’s recommendation. Recommendation implemented 2.4 The FCDO has written to the Committee alongside the publication of this Treasury Minute. 2.5 The government agrees with the Committee’s recommendation. Target implementation date: May 2026 2.6 The FCDO will write to the Committee within 6 months of the report’s publication date.
Source
Committee
Public Accounts Committee
Report
53rd Report - Cost of maintaining the FCDO’s overseas estate
12 Nov 2025
HC 884
Addressee Bodies
HM Treasury
Timeline
Recommendation age
0.7 yr
Report published
12 Nov 2025