30 May 2008
More than two-thirds of Whitehall departments failed to produce asset management plans by a December 2007 deadline, despite the potential for saving £320m on office running costs, MPs have found.
The Commons Public Accounts Committee found that central government spends around £1bn a year on office property, but cost and use of space was on average 40% worse than in the private sector.
Whitehall could save £320m on the annual running costs of its office buildings if it matched average private sector performance, a PAC report published on May 22 says. The MPs noted that departmental performance varied significantly, with costs per square metre ranging from £123 to £636 in 2005/06, while office costs per person varied between £2,000 and more than £12,000. 'If departments brought their performance into line with private sector averages they would achieve gross savings of around £320m,' says the report, Improving the efficiency of central government's use of office property.
Only five out of 16 departments had developed asset management plans by the deadline, the MPs found, while there was no data on energy consumption for three out of ten government buildings.
PAC chair Edward Leigh singled out the Treasury as the worst performer, with a cost per square metre of £529 and a cost per person of £12,041.
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