21 July 2006
The government's ambition to improve public services is being hindered by Whitehall's 'undoubted failure' to grasp how to deliver services, an expert has told Public Finance.
Speaking in the wake of a damning assessment of Whitehall's delivery functions, Guy Lodge, research fellow at the influential Institute for Public Policy Research think-tank, said that the civil service lacked the capacity, accountability, leadership and skills to deliver some key public services to the expected standard.
'There has, in the past, been debate around Whitehall's ability to deliver services. But there are no two ways about this now: the civil service is not effective at delivery. How Whitehall and ministers respond to that assessment should become the focus of attention,' Lodge said.
His comments followed the publication on July 19 of the first four Departmental Capability Reviews assessing Whitehall departments' leadership, strategic and delivery performances, including functions such as financial management and policy formulation.
While, as expected, the beleaguered Home Office emerged from the first wave of DCRs as the worst of the four departments under scrutiny, the other three – Education and Skills, Constitutional Affairs and Work and Pensions – also showed serious failings.
Opposition MPs said that was worrying in light of the fact that the four departments help to provide school and university education, benefit and welfare services, legal services, policing and anti-terror services.
Each department was measured across ten key criteria, including three covering delivery functions. The DWP was the only department to score well in a delivery assessment; yet the DWP's review team still raised concerns about the department's delivery, planning and use of resources.
Across almost half of the 12 departmental delivery assessments, the review teams raised either 'urgent' or 'serious' concerns about current or future capability.
Assessments of strategic and leadership functions were more positive although, as expected, 'serious' concerns have been raised about the Home Office's leadership. The Home Office, recently described as 'not fit for purpose' by new Home Secretary John Reid, was found lacking in every key capability assessment.
Lodge said the problems in delivering services partially stemmed from confused relationships between ministers and senior civil servants, and the absence of internal systems to allow for the sort of evolution in delivery functions that Prime Minister Tony Blair has demanded.
Lodge is due to launch an IPPR report next month calling for a Whitehall overhaul, including the establishment of a civil service executive empowered to improve departmental performance when it is deemed poor.
Speaking at the launch of the DCRs, which were overseen by the Prime Minister's Delivery Unit, Cabinet secretary Sir Gus O'Donnell said: 'There are a number of development areas, there are a number of urgent development areas and there are a number of serious concerns. We have been very clear… and transparent.'
But O'Donnell denied that the civil service was failing ministers in their ambition to improve service delivery.
A Cabinet Office spokeswoman later told PF: 'As the prime minister has pointed out, and the Cabinet secretary emphasised, the world is changing fast… Rapid development of technology means we face an entirely different level of public expectation as well as challenges and opportunities.'
O'Donnell said he was 'confident' that Whitehall's delivery record would progress following the creation of 'improvement action plans' across each department.
Leigh Lewis, DWP permanent secretary, told PF that his department's improved delivery functions meant his staff were 'now in a position to help other Whitehall departments by sharing information on improving services. But we have to be honest about our own failings, too', he added.
The DWP, described by civil service union leaders as 'in crisis' earlier this year, also performed well across its leadership and strategic functions.
The DCA emerged as the most capable department, scoring highly across its strategic and leadership functions.
Ian Watmore, head of the Delivery Unit, praised the DCA, DfES and DWP for 'performing well against stretching targets'.
Outlining his department's improvement plan, Home Office permanent secretary Sir David Normington confirmed that the tougher-than-expected DCR process had led to a cull of senior staff.
Fifteen civil servants below board level will be axed following the review. Normington said that some would leave Whitehall altogether, while others would be relocated across the civil service.
Reid also revealed plans to slash the Home Office's core staff from 9,200 to 5,900 by 2010 and to develop a new 'contract' between ministers and officials, clarifying their respective roles over policy and operational delivery.
PFjul2006
