12 We have examined the conduct of this project to identify:
■ the reasons why the Payment Card project failed to meet its objectives; and
■ whether there are useful lessons that should be learned for other projects; particularly in terms of the approach taken towards the management of risk.
13 The project was a tripartite venture, requiring all three parties involved to meet their contracted obligations for the project to be successful. This report, however, focuses on the role of the Department of Social Security in the project. The Treasury and the Department of Trade and Industry, which sponsors the Post Office in central government, were also actively involved in reviewing the project and in the decision to cancel the Benefits Payment Card, taking account of the wider interests across government. The Comptroller and Auditor General has no statutory rights of audit access to Post Office Counters Ltd, but in the interests of completeness and balance the report refers to the objectives and involvement of Post Office Counters Ltd in the Payments Card project and the consequences for them of its cancellation. The Comptroller and Auditor General had certain rights of access to records held by Pathway for the purpose of examining the value for money with which the Department of Social Security used its resources, and Pathway co-operated with us in our examination. Our approach towards the examination is described in Appendix 1.