Wednesday, March 10, 2010

Shocking Project Overspend - Rural Payments Agency

Sometimes, even in my less cynical moments, I am still shocked by the failures of some public sector projects. File on Four on BBC Radio 4 recently shone their spotlight on the shameful antics of the UK Rural Payment Agency. Some numbers:

Original IT budget: £54m
Current IT costs: £350m
Fine from the EU for gross inefficiency: £280m
Additional staff costs: £304m including 100x specialists consultants costing approx. £200,000 each, per year, from our friends at Accenture.

Objective of this project is to pay 107,000 farmers between £10,000 and £20,000 annual subsidy.

The chairman of the Commons Public Accounts Committee, Edward Leigh, said "it would be frankly easier just to write a cheque for £10-20 000 for each person ... it's tragic."

Listen to the podcast here

I shall post a link to a transcript of the programme when it is available. It's a cracker. Also mentioned is the disaster of the NHS IT system and the late, over budget, not working, national fire service system.

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