4.33 This workstrand highlights the need for a new central property function to provide strategic leadership and support across the public sector. This would extend beyond OGC's current remit to include all public sector organisations and would work with departments to help with rationalisation of their estate, including identification of their surplus and underutilised property assets. It should assist individual organisations across the public sector, when requested, in the delivery of efficient management of property including support for developing strategic property plans, and helping with complex projects and procurements.
| Recommendation 4.1: Government should create a new central property function to drive efficient use of property across the whole of the public sector. It would be a small strategic resource, which would work closely with HM Treasury teams as well as with organisations across the public sector and, where necessary, draw on private sector expertise. Its main roles would be to provide: • a strategic overview of rationalisation and disposal; • property standards and advice; and • coordination and oversight of property performance. |
4.34 The function would not take responsibility for management of public sector property in the style of the former Property Services Agency. Ownership and management of property would remain the responsibility of individual organisations. Rather it would be a small strategic resource at the centre of government, which would work closely with departments and property stakeholders across government - for example, the OGC in relation to its existing civil estate remit - as well as with professional bodies such as the Royal Institution of Chartered Surveyors.22 Where appropriate it would commission work from the private sector.
4.35 Where rationalisation or efficiency gives rise to significant opportunities for land developments, choices need to be made between the desire to maximise the receipts from disposal and using the surplus land for social benefit, e.g. affordable housing. The central property function needs to work with the Homes and Communities Agency (HCA) to ensure that public sector organisations collaborate in the early identification and planning of significant land development to ensure that these different objectives are addressed.
4.36 At local level, more needs to be done to disseminate existing examples of good practice in local government, such as that shown in Box 4.C. It will be important to ensure that mechanisms are developed to encourage local authorities that are performing strongly to share and disseminate good practice amongst their peers, for example through a national programme coordinated by the Chartered Institute of Public Finance and Accountancy's (CIPFA) Asset Management Network and the Regional Improvement and Efficiency Partnerships (RIEPs).23 Locally elected councillors also play a key role in driving forward the efficiency agenda in councils. Their engagement and leadership is vital to ensure that the significant potential efficiencies across the local authority estate are realised in practice.
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22 The Royal Institution of Chartered Surveyors (RICS) have already produced the RICS Public Sector Asset Management Guidelines: A guide to best practice in 2008 in conjunction with government departments and other organisations, and are working with Communinities and Local Government to develop similar guidelines for local authorities. For more details see www.rics.org
23 The Asset Management Planning (AMP) Network was set up in September 2000 as a partnership between CIPFA and FPS (Federation of Property Societies) to support local authorities, together with police and fire authorities in developing their approaches to Asset Management and Capital Investment Strategies. For more details see www.cipfaproperty.net.