Part One The current assurance system for high risk projects

Figure 1 The assurance mechanisms

There are five main components of the current system - Gateway is the most prevalent.

 

Type of assurance

Purpose

Owner

Estimated total cost to Government 2008-09 (£m)

Estimated cost per review 2008-09 (£000s)

In use since

Reviews performed 2008-09

Total reviews performed until March 2009

Gateway (High Risk)

Point in time

To provide an independent point in time review of project status prior to a key decision point in the project lifecycle.

OGC

5.7

40

2001-02

143

1,228

Major Projects Review Group

Point in time

Part of HM Treasury's validation and approval process for high value projects, typically those greater than £1 billion, or projects which are particularly innovative or complex. MPRG provides assurance to HM Treasury ministers on the deliverability, value for money and affordability of a project. The MPRG can recommend that a project proceeds, proceeds with conditions attached, or is stopped.

HM Treasury

1.6

 

82

 

2007- 08

 

19

 

27

 

Starting gate

Point in time

To help departments identify delivery issues and risks much earlier in the policy development process before transition to a project or programme, and so help prevent the common causes of project failure.

OGC

0.33

 

54

 

2008-09

 

6

 

20

 

Assurance of action plans

Point in time

To provide SROs with assurance that the project is addressing the issues that have led to a low Delivery Confidence rating in a recent Gateway review.

OGC

0.09

13

2008-09

7

29

Major Projects Portfolio

Status report

A quarterly report on the health of the top 40-50 major projects. Projects which are considered particularly high risk, high cost, innovative or critical to delivering services to the taxpayer are included.

OGC

0.6

139 (per quarterly report - approximately 3.5 per project return)

2007- 08

4 Quarters (over 160 returns)

8 Quarters (over 300 returns)

Source: National Audit Office analysis of Office of Government Commerce (OGC) information

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