Value-for-Money Exercise (Hansard, 13 February 1991)

§ Mr. Lennox-Boyd

[holding answer 31 January 1991]: The following progress had been made by the FCO by 31 December 1990 in meeting the value-for-money targets set for financial year 1990–91.

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Target	Progress
(iv) Commercial Work
(a) At existing levels of manpower resources, to improve further the targetting and quality of Posts' services to exporters, monitored through the Quality Measurement System and the charging mechanism, and to increase further the quantity and quality of reporting of export opportunities.	Good progress has been made. Commercial Sections' work overseas, and the deployment of resources, are now guided and directed by the BOTB Forward Plan. The monitoring carried out under the Quality Measurement System has revealed that, over the last 15 months, customers' perception of the extent to which their needs were being met remained positive. The overall satisfaction rates for information, advice and promotion services, were consistently high during 1990.
(b) To ensure better focussed and targetted output by Commercial Sections overseas directed towards the targets and priorities set out in the BOTB Forward Plan.	High customer satisfaction borne out by demand for chargeable services, eg sales of market information enquiries increased by over 60 per cent, during the period April-November 1990; over 90 per cent, of the companies contacted would use the services again.
(v) Overseas Accommodation
(a) To reduce running costs on the overseas estate by £500,000 in 1990–91 by asset recycling.	Performance at 31 December 1990 suggests target of £500,000 will be met or exceeded.
(b) To reduce the level of furnishing stocks by 15 per cent, in the course of the 1990–91; and to achieve a saving in storage charges of £100,000.	Furnishing stock levels at 31 December 1990 indicated that the target will be achieved; that for savings on storage charges has already been met.
(c) To achieve 5 per cent, saving on cost of furnishings by direct purchase.	The FCO is currently in negotiation with a large number of contractors: but it is expected the £250,000 target will be met.
(d) To achieve savings on consultancy services, construction contracts and the purchase of goods of £250,000.	£250,000savingsfigurehad been achieved by 31 December 1990.
(vi) NGOS
British Council
(a) To reduce costs of the English language testing service by 55 percent, between 1987–88 and 1991–92.	The target had been achieved by 31 December 1990. Total global surplus of £170,000 obtained in 1989–90. Forecast surplus for 1990–91 is £120,000.
(b) To reduce by 1993–94 annual global costs of provision of information to outside enquirers by 15 per cent, of the 1988–89 expenditure figure.	On target. Costs were reduced by £150,000 in 1989–90.
(c) To reduce telephone, telex and fax expenditure at headquarters by 5 per cent, per annum between 1989–90 and 1991–92.	Ahead of target. Reduction of 12 per cent. achieved in 1989–90; reduction of 10 per cent. forecast for 1990–91. Savings of £80,000 were produced in 1989–90.
(vii) Commonwealth Secretarial
(a) To find during 1991, in co-operation with other member governments of the Commonwealth, a cost effective solution to the Commonwealth Secretariat's accommodation problem and to press for an improved budgetting and management system for the Secretariat.	The Commonwealth Senior Officials' Meeting in November1990 authorised the Secretariat to continue negotiations for the purchase of a second HQ building to accommodate their overspill staff. The meeting also introduced new programme budgetting procedures.
BBC World Service
(a) The BBC World Service has a number of performance measures and targets relating to efficiency, economy and effectiveness.	As at 31 December 1990, the BBC World Service was on course to meet all its targets for 1990–91 by 31 March 1991.