Transparency data
BIS GMPP data (CSV)
Updated 24 May 2013
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| Project name | The Francis Crick Institute (formerly UKCMRI) | Green Investment Bank | HE Reform Programme | BIS Shared Services | Core Systems Replacement | Student Loans Monetisation Feasibility Study | Business Improvement Programme | Technology and innovation centres | FE Capital Investment Programme | Further Education Fee Loans Programme |
|---|---|---|---|---|---|---|---|---|---|---|
| Department | BIS | BIS | BIS | BIS | BIS | BIS | BIS | BIS | BIS | BIS |
| MPA RAG rating (A Delivery Confidence Assessment of the project at a fixed point in time, using a five-point scale, Red – Amber/Red – Amber – Amber/Green – Green; definitions in the MPA Annual Report) | Amber/Green | Amber | Amber | Amber | Amber | Amber/Red | Green | Amber/Green | Amber/Green | Amber/Green |
| Description / aims | The Francis Crick Institute (formerly UKCMRI) is a joint venture between the UK's largest biomedical research and academic institutions: The Medical Research Council (MRC), Cancer Research UK (CRUK), the Wellcome Trust, University College London, Kings College, London and Imperial College, London. A new research Institution will be established involving the construction of a new facility located close to St Pancras station, London. This facility will accommodate 1,268 scientists when fully operational. The National Institute for Medical Research (NIMR) will be closed. This NIMR site at Mill Hill and the National Temperance Hospital site will be disposed of as part of this project. The project aims are: Sustain UK's position as a leader in biomedical research; Engagement with the most challenging research questions; A scale to compete with major new overseas developments; Promote the health of the public and wider UK economy; Address key concerns of 2006 Cooksey review on publicly-funded healthcare research; Excellent training environment for biomedical research. | To build a green investment bank, with the mission to provide financial solutions to accelerate private sector investment in the UK’s transition to a green economy. | To put higher education funding on a sustainable footing from September 2012 by shifting public spending away from teaching grants towards repayable tuition fee loans and contribute to eliminating the economic deficit while maintaining high quality in higher education. This overarching objective is supported by a number of subsidiary objectives with the following key deliverables: • Generation of £3 billion savings annually by 2014-15 • A single regulatory framework by Academic Year (AY)15/16 • Quality of HE provision maintained or improved from AY11/12 levels • Successful launch of the annual student support application cycle • An agreed Communications and Stakeholder Engagement Strategy and Plan | A shared service solution for the BIS network will: - deliver a structural reduction in the cost base; - provide simpler, transparent and more integrated processes across the BIS family of organisations; and - secure continuous cost and process improvement through innovation and the application of a professional business focus. Shared services enables wider business transformation. Greater benefits will be realised as the service matures beyond transactional services to higher value ones. There are opportunities for shared services to support: - transformation of grants processing – a business-critical function that is a particular feature in BIS and its partners, but managed in many different ways with multiple hand-offs that complicate accounting treatment - strategic procurement with effective compliance – managing the >£1bn contract expenditure of BIS and partners much more effectively, to deliver savings that could dwarf those from consolidating transactional services - real benefits from Clear Line of Sight – so that rather than being an initiative about consolidating end-year accounts, it can underpin strategic management of BIS and its partners with timely, accurate, valued and well-aligned financial management information | The objectives of the programme respond to a number of challenges including the reforms introduced in the White Paper "Students at the Heart of the System". Over the next three years the SLC anticipates major increases in student numbers, loan values and volumes. The student experience at present is very poor, due to operational and technology issues including lack of availability of complete case information and the time delay between the issue of evidence by students to the completion of the application process at times of high demand. Due to the limited technology update over the last few years the current system needs replacement. A robust and agile customer-centred student finance system is required. Summary of Programme objectives • Introduce a modern, integrated and flexible IT system to enable the safe delivery of HE reform (including changes to borrowers’ repayment terms including variable interest rates). • Enhance customer service and operational efficiency. • Support the transformation of SLC’s business through introduction of a unified technology platform and the standardisation of processes. Expected benefits: • Improved customer experience: easier access to real time information, additional communication channels and a reduction in incomplete calls, etc; • Operational efficiencies: increased process automation, reducing avoidable contact and standardisation of workflows; • Strategic fit: alignment of the programme with Government ICT strategy as well as with the strategic direction taken by SLC. • Financial benefits to Government: ensuring HE reform-related savings, agreed as part of the Comprehensive Spending Review, are realised; potential for increasing the value of the loan book and an increase in the recovery of student debts; • ICT efficiencies: introduction of a unified business technology platform, the use of standard technology and the ability to use more agile development approaches | The Shareholder Executive is leading a feasibility study to assess whether and how the Government's Income Contingent Repayment (ICR) loan portfolio could be monetised. The main objectives of the monetisation are to reduce PSND and the Government's risk exposure to the loans and ensure monetisation represents value for money. | To deliver cost savings and an improved business customer experience via a new business support delivery framework which is more focussed in its face to face delivery concentrating on areas of market failure and which is underpinned by improved web delivery for lower priority business needs. | The Technology Strategy Board will establish a network of elite Catapult technology and innovation centres. The Catapult centres will help businesses to adopt, develop and exploit innovative technologies - transforming ideas into new products and services to generate economic growth. | To renew and modernise the FE College estate with modern, versatile buildings, facilities and industry standard equipment; through a well managed, benefit/value-focused programme; offering learners high quality learning environments in line with Ministerial priorities. | The aim of the programme is to introduce loans (24+ Advanced Learning Loans) to support learners aged 24 and over to undertake advanced and higher level further education courses from the 2013/14 academic year. These loans are based on those available in Higher Education and so will only be repaid once the learner has left their course and is earning more than £21,000. The introduction of loans means we can continue to support learners to undertake advanced and higher level courses. Learners will also be more empowered as they will determine how they want to invest in themselves but will only have to repay once their have finished their learning and are realising the benefits. |
| Departmental narrative, actions on Delivery Confidence Assessment | The Project Assessment Review (PAR) report in May 2012 provided a Delivery Confidence Assessment of Amber/Green. As this is the second consecutive Amber/Green assessment the project was recommended to be reviewed next via the MPA Gateway process. The PAR report provided ten positive recommendations for the project, the majority of which relate to the on going transition element of the Crick project. Progress on the ten recommendations since the PAR report has been good. The MRC Monitoring Committee reviews this progress as an agenda item at its monthly meeting. | Since September 2012, the Green Investment Bank has been formally launched by the BIS SoS in November 2012 and has been operating independently from HMG. This followed the receipt of state aid approval for the institution, and the appointment of the CEO and non Executive Directors in October. The Bank has made significant investments in a number of green sectors since it has been commercially operational. | Continuous monitoring and management of financial risk as more confirmed data becomes available for 12/13 and 13/14 cohorts. Levers to manage the financial risks will reduce as the percentage of T-Grant declines. Work underway to define the delivery of regulatory landscape reforms through non-legislative means. This may mean that some changes are later than original aspirations but no firm milestones are in place. (Not all of these changes are part of the programme but some impact on funding). As a result of the latest MPA review work is underway to review the exact scope of the programme and then align the governance and PMO support. | In order to reduce the risks involved with going live the programme has re-phased the go-live for Phase 1 of the programme. On the 1 November 2012 go-live date all services for BIS, Intellectual Property Office and Insolvency Service will transfer to the Shared Services Centre, however they will remain on existing systems, meaning that the major change will be transfer of personnel. All Phase 1 organisations will then move onto the Shared Services systems from 1 April 2013, reducing the number of incidences of change within each organisation and providing increased time to resolve technical issues. | Department actions to improve RAG rating: - Business engagement will be led by the CEO. - Procurement strategy will be revised to provide greater flexibility for other options. - Procurement strategy will be reviewed and approved. Endorsement will be sought from GDS, GPS, HEDA and BIS. - A risk analyst will be engaged to embed risk management framework. - Programme structure will be reviewed to ensure alignment with Company strategy and programme objectives. - The programme will communicate with the market to raise awareness and generate interest. - The governance and approval process of the programme will be streamlined to facilitate rapid and effective decision making. | BIS has made significant progress in resolving hurdles to concluding the feasibility study, with only one hurdle outstanding relating to operational feasibility that will allow a decision on whether to proceed to a sale preparation phase or not. The project team in BIS is taking action to resolve the outstanding hurdle. Action points have been discussed in its Steering Group and with Ministers. | Completed transition of BusinessLink website to gov.uk; achieved mentoring target (15,000 volunteer mentors recruited and trained and network up from 10,000 mentors at inception to 27,000; established Growth Accelerator's position in the market and 4,000 firms on programme as at end February 2013. | The Catapults technology and innovation centres programme is progressing well but it remains ambitious and challenging. Resources have been strengthened in a number of keys areas of the programme team, particularly around communications. | MPA RAG rating is Amber / Green based on previous evaluations. There is no material movement on this position to report. Project stock takes carried out regularly to assess performance against projected outcomes. Information fed into the monthly SRO & Capital leads meeting to assess and action as appropriate. Regular review of performance against budget to monitor commitments over the life of the projects ensuring maximisation of resource and funds. | The 24+ Advanced Learning Loans programme has taken forward actions in response to MPA Gateway reviews to further strengthen assurance and support delivery. |
| Project - start date | 10/1/2006 | 6/1/2010 | 6/30/2011 | 5/4/2011 | 3/1/2012 | 3/1/2010 | 8/1/2010 | 12/1/2010 | 5/31/2010 | 11/30/2010 |
| Project - end date | 12/21/2017 | 9/1/2012 | 12/31/2015 | 4/30/2013 | 3/19/2016 | 12/31/2014 | 3/14/2013 | 4/1/2013 | 3/31/2015 | 4/1/2016 |
| Departmental narrative on schedule, including any deviation from planned schedule | On Schedule | The Structural Reform Plan (SRP) commitment was that the Bank will be operational in September 2012. The slippage to October 2012 (when the Bank became commercially operational) was due to the time needed for the European Commission to reach a decision on the UK's notification for state aid for the institution. | Overall programme is on schedule and may deliver well before the current scheduled programme closure date. | The programme successfully transferred services to the Shared Service Centre on 1 November 2012. The first organisations were originally scheduled to move onto a new system from 1 April 2013, however this will now occur between August and October 2013. A decision was made to move the shift to new systems based on the complexity of finalising the design of the new system and ensuring that the appropriate level of accreditation was achieved. | The baseline date of end September 20113 for contract signature remains secure, however, intermediate milestones will come under increasing time pressure. To mitigate the risk of slippage to the September 2013 date and beyond, it is proposed to: - streamline the governance and approvals process to allow faster and more effective decisions. - recruit additional resources to support procurement work | On Schedule | Planned programme end likely to be end April 2013 to accommodate a Gateway 5 Review (Benefits Realisation) | Progress to date has been excellent. Identifying and recruiting talented Chief Executive Officers and leadership teams for the centres is now a critical activity that will define the speed of delivery. | Projects are on schedule to deliver a balanced budget. The Agency is developing a strategy to address the medium to longer term requirements of the FE sector through strategic estate modernisation. | The Programme is on schedule with no expected delays. However, we may choose to bring forward the Programme end date, as with the exception of repayment the Programme will be delivered by October 2013. The repayment part of the Programme is aligned with the HE Reform Programme and so will be delivered as part of that Programme |
| 2012/13 Budget (£million) | 58 | 799 | 370 | 11.26 | 2.91 | 0.12 | 50.1 | 60 | 272.66 | 5.452 |
| 2012/13 Forecast (£million) | 58 | 329 | 370 | 11.41 | 2.62 | 0.12 | 50.1 | 60 | 272.66 | 5.452 |
| Total budgeted whole life costs (£million) (including non-government costs) | 753 | 1857 | 4600 | 15.54 | 131.911 | 6.22 | 206 | 476 | 4578.42 | 576.593 |
| Departmental narrative on budget/forecast variance for 2012/13 (if variance is more than 5%) | Not set | The original budget of £775m for 12-13 was the initial budget set for the GIB. The nature of capital spending in this area is volatile and often binary (large deals either happen or don't) therefore forecasting is an evolving process. When the GIB commenced operations, they needed to revise the forecasts and the Capital forecast of at Q2 was the first opportunity for revised forecasts to be reflected. In practice, the GIB has made several investments, but there is a time lag between the entering of commitments and the drawdown upon them which results in expenditure. | Not set | Not set | Underspend in this financial year (FY 12-13) due to extension of procurement phase moving Technology and Market advisor costs into next financial year. (FY 13-14) | Not set | Not set | Not set | Not set | Not set |
| Departmental narrative on budgeted whole life costs | The Total (WLC) cost for the Crick project is circa £753m. This is funded by six partners; Medical Research Council (MRC), Cancer Research UK (CRUK), Wellcome Trust (WT), University College London (UCL), Kings College London (KCL) and Imperial college London (ICL). The funding proportions are; MRC - £253m towards construction costs, £30m for transition costs in the move from NIMR to the Crick and £47m towards land costs. The remaining £408m is provided by CRUK,WT,UCL,KCL and ICL. | It was not possible to fully represent, via the GMPP reporting format, that the GIB will invest its £3billion capital funding over its lifetime. As an enduring institution, i.e. it will run beyond FY2016/17, it is able to carry over funding across the years. | HE Reform affects the Academic year 12/13 onwards, with the system changes reaching full implementation by FY2015-16. Whole life costs represent the cumulative incremental RDEL costs over this period: made up of the RDEL impact of increases in maintenance loans, tuition fee loans and part-time fee loans, as well as increased maintenance grant, allowances and part-time fee grants, the new National Scholarship Programme and the additional administrative costs to SLC and HMRC of implementation. The figure is stated gross of any RDEL savings achieved through reducing the teaching grant. These reductions cumulatively exceed £9bn over the same period, meaning that the HE Programme delivers substantial RDEL savings overall. | The rephasing of the Phase 1 go-live will change the spending profile slightly but will not have any impact on the whole life costs | Total lifecycle costs expected to remain within OBC budget. | Not set | Not set | A Key recommendation of the Hauser Review was that long term commitment to core funding is essential to the success of the programme. The Whole life costs includes an allowance for the initial funding commitments only and exclude additional funding from announced in the 2012 Autumn Statement. | Whole life costs include over 50% contribution from non government sources including college reserves, borrowing and disposal proceeds. | Not set |