§ Mr. LidingtonTo ask the Secretary of State for Environment, Food and Rural Affairs what requirements are placed upon her Department by the(a) National Audit Office and (b) European Union concerning invoices submitted to her Department by contractors in respect of the (i) 2001 outbreak of foot and mouth disease and (ii) subsequent clear-up operation; and if she will make a statement. [132771]
§ Margaret BeckettPublic bodies are required to operate financial controls that ensure public monies are properly accounted for and that the risks of systematic and systemic overcharging, financial abuse and fraud are minimized and that value for money is secured. A key requirement of this financial control is that there should be a clear audit trail with sufficient supporting documentation at all key stages.
The National Audit Office's role is to enable the Comptroller and Auditor General to certify my Department's financial statements and to examine and report to Parliament on the economy, efficiency and effectiveness of the use of my Department's resources. As such they enabled the C&AG to certify and report on the expenditure incurred by my Department in respect of the (i) 2001 outbreak of foot and mouth disease and (ii) subsequent clear-up operations as recorded in my Department's resource accounts for the years 2000–01 and 2001–02. The National Audit Office also enabled the C&AG to examine and report on whether the Department acted in a cost-effective manner and whether there were adequate controls against irregularity. Their recommendations are contained in their report "The 2001 Outbreak of Foot and Mouth Disease" published by The Stationery Office and available also on the NAO website—www.nao.gov.uk. The House of Commons Committee of Public Accounts published on 14 March 2003 its Fifth Report of Session 2002–03—the 2001 Outbreak of Foot and Mouth Disease—covering the report, together with Proceedings of the Committee, Minutes of Evidence and an Appendix.
The European Commission auditors are auditing the expenditure incurred in respect of the eradication of foot and mouth disease in 2001. As part of this work commission auditors carry out on the spot checks of the costs incurred during the 2001 outbreak. This includes the examination of invoices.