The Appraisal Framework:

  Rationale for intervention

a.  research and understand the current position - Business As Usual

b.  establish rationale for intervention

c.  identify SMART objectives (outcomes and outputs) for intervention

  Long-list appraisal

a.  generate a long-list of options

b.  identify constraints and dependencies

c.  consider distributional objectives or effects

d.  identify Critical Success Factors (CSFs)

e.  consider unmonetisable factors

f.  consider and filter long-list against CSFs to generate a viable short-list and preferred way forward

  Short-list appraisal

a.  select Social Cost Benefit Analysis or Social Cost Effectiveness Analysis

b.  identify and value costs and benefits of all options

c.  qualitatively assess non-monetisable costs and benefits

d.  estimate the financial cost to the public sector in nominal prices

e.  adjust all costs and benefits for inflation for economic analysis

f.  apply appropriate optimism bias

g.  maintain risk and benefits registers

h.  assess avoidable, transferable and retained risk, build in additional costs and reduce optimism bias accordingly

i.  discount costs and benefits over time

j.  sum discounted values to produce Net Present Social Value (NPSV) and BCRs as appropriate

k.  consider affordability, comparing financial costs to a budget constraint

l.  if required, conduct a separate distributional or sub-national analysis

  Identification of the preferred option

a.  identify preferred option considering NPSV, BCR, risks and non-monetisable factors

b.  conduct sensitivity analysis, including switching values, for preferred choice

  Monitoring and evaluation

a.  before - bring together the existing evidence base and establish a baseline

b.  during - allow emerging evidence to inform ongoing adjustments to the intervention, implementation and operational delivery

c.  after - assess the outcome and lessons learned