Part 1
1. IntroductionFinancial Management and Policy Reviews (FMPR)
1.1 It is government policy that the functions of all Non Departmental Public Bodies (NDPBs) should be subject to comprehensive review every five years. The purpose of this process is to consider
- whether there is continuing need for the functions or advice provided by the body;
- whether the body represents the most cost effective way of discharging the functions or obtaining the advice;
- whether there is scope for amalgamation or rationalisation with other organisations;
- whether contracting out all or part of the management would give better value for money.
1.2 If the conclusion to the above is that there is a continuing need for the body, the second stage of the process involves considering
- the effectiveness of the body and efficiency of its working methods;
- whether its terms of reference and composition remain appropriate;
- whether the secretariat operates effectively and efficiently.
1.3 Although the Royal Commission differs from conventional NDPBs in some important respects, (its members are formally appointed by the Queen rather than Ministers, and its advice is submitted directly to Her Majesty) it is nevertheless financed by the taxpayer in the same way as other public bodies. To ensure that continued financing remains publicly defensible, the Commission is subject to the same review process as all NDPBs, although the details may vary to reflect the different circumstances of the body.
1.4 The last review of the Royal Commission was conducted in 1992. The present exercise was commissioned in late 1998, and completed in 1999.
Conduct of the Review
1.5 The Review was arranged and overseen by the Commission's sponsoring division in DETR, the Sustainable Development Unit within the Environmental Protection Strategy Directorate (EPSD). They asked the Department's In -House Policy Consultancy to carry out the review process and report on findings.1.6 IHPC's work was overseen by a Steering Committee comprising the Head of EPSD, the Secretary to the Royal Commission, the Head of DETR's Finance, Sponsorship and Programme Division and an independent member. Details and Terms of Reference of the Committee are at Annex 1.
Terms of Reference
1.7 Ministers approved Terms of Reference for the review. These wereOverall
to evaluate the role and performance of the Royal Commission on Environmental Pollution in order to make recommendations on its future development; in particular
(i) on the scope, focus and impact of the Commission's inquiries; and
(ii) on its working methods and resources and how these are managed.First Stage
to examine the Commission's purpose in relation to the government's continuing need of advice on environmental policy in particular, and sustainable development in general; giving consideration to the distinguishing characteristics of the Commission's work in relation to other advisory bodies and the extent to which the Commission's work is meeting the identifiable needs of Government in this area.Second Stage
In the light of the understanding gained in the first stage, the main purpose of the Financial Management and Policy Review will be to consider and make recommendations where appropriate on:a. the framework of the relationship between government and the Commission, including how this influences the Commission's corporate planning process and the allocation of resources to the Commission;
b. the Commission's strategic planning arrangements, including the processes for defining the Commission's objectives, reviewing performance against these objectives, and auditing impact;
c. the Commission's internal organisation and working methods, including financial management, staffing and the role of the Secretariat;
d. arrangements relating to membership of the Commission, including appointments.
The Review Process
1.8 This comprised two main stages(i) formal announcement of the Review was made by Parliamentary Question on 18 January 1999 and interested individuals and organisations were invited to contribute views. To ensure wide coverage of relevant bodies, copies of the relevant Press Notice (text at Annex 2) was sent out to 120 organisations.
(ii) IHPC interviewed 23 individuals who might be expected to have a particular interest in the Commission's work. These included past and present members of the Commission, the environmental enforcement agencies, trade associations, environmental groups, the National Academies, other Government Departments, Cabinet Office and DETR senior staff.
1.9 A list of those who responded in writing and of people interviewed is at Annex 3.
The Royal Commission on Environmental Pollution - background information.
1.10 Details of the current membership of the Commission are at Annex 4; the staffing levels of the Secretariat are shown at Annex 5; and the current costs of the Commission are at Annex 7.
Published 19 April 2000 / Updated 11 May 2000
Royal Commission on Environmental Pollution Index
Environmental Protection Index
Defra Home Page