Corporate report

Accounting Officer Assessment Summary: HMRC CHIEF Transition Programme

Published 1 November 2021

It is normal practice for Accounting Officers to scrutinise significant policy proposals or plans to start, or vary major projects, and assess whether they measure up to the standards set out in HM Treasury’s Managing Public Money guidelines. From April 2017, the government has committed to make a summary of the key points from these assessments available to Parliament when an Accounting Officer has agreed an assessment of a project within the Government Major Projects Portfolio (GMPP).

Background and Context

The CHIEF Transition Programme was established to deliver the changes required to ensure that HMRC can continue to run CHIEF (Customs Handling of Import Export Freight) alongside CDS (Customs Declaration Service) as part of HMRC’s dual run approach. CHIEF Transition Programme received approval to spend £45.2m for 2020/21.

HMRC customs platforms may need to deal with up to 400m declarations per year. Therefore, both customs platforms will continue to dual run for an interim period beyond the end of the European Union Transition Period (31 December 2020).

The programme adhered to HM Treasury’s Managing Public Money guidance. The programme satisfied the criteria for GMPP status and completed Quarter 4 reporting for 2020 to 2021 in accordance with the GMPP timeframes.

Clear governance processes have been established between internal stakeholders and these will be used for programme management and funding for Release 2 delivery. The programme met its quarterly GMPP reporting requirements and exited GMPP at the end of Quarter 4 of 2020 to 2021. An assessment of the programme’s progress has been published in the GMPP annual report.

Following the successful delivery of Release 1 to deliver the technology and business changes necessary to for CHIEF alongside CDS, Borders & Trade Delivery Group considered lessons learned and revised their delivery model to one that gives greater focus to the end-to-end journeys and places an even greater emphasis on the role of the customer. New Delivery Directorates were established that focus on imports, exports and Transit end to end journeys; and customer strategies that sit across these for traders, hauliers, intermediaries, ports and the rest of the supply chain.

The programmes that were within the old Customs Transformation Directorate, including the CHIEF Transition Programme closed at the end of March 2021 and residual scope transferred to new GB and NI Delivery Directorates within the Borders and Trade Release 2 Programme business case.

Regularity

The CHIEF Transition Programme was part of HMRC’s work to ensure that it continued to meet the needs of traders using the system beyond the end of the Transition Period and implement the Protocol on Ireland/Northern Ireland (NIP), which became UK Law under the EU Withdrawal Agreement Act 2020. The programme did not require any additional legislation and complied with Parliamentary requirements for the control of expenditure, with Programme funds being applied only to the extent and for the purposes authorised by Parliament. The programme spend received relevant HMT approvals.

Propriety

The CHIEF Transition Programme complied with Parliamentary requirements for the control of expenditure, with funds being applied only to the extent and for the purposes authorised by Parliament.

Value for money

Value for money has been assessed in an options appraisal in the programme business case. The agreed preferred option enabled smooth operation of customs processes to regulate and manage the movement of freight following the UK’s exit from the EU.

The projects delivered by the Programme lay the foundations for the future strategic reforms supporting HM Government’s border ambitions of stripping out complexity, reducing administrative burdens on business and releasing resources through improved and streamlined processes.

Supporting the continued flow of trade supports the UK economy and by facilitating trade within the internal UK market, helps to preserve the Union of Great Britain and Northern Ireland. Therefore, based on the benefit to the wider economy and given this is a priority for government, I deem this expenditure to be value for money.

Feasibility

The programme leadership, supported by delivery partners, had the skills and experience needed to achieve the project deliverables within the required timeframe. The Programme has delivered against plan and has been subject to independent assurance reviews conducted by the Infrastructure and Projects Authority (IPA). The last IPA led (Hybrid) Gateway 0 assurance review for CHIEF Transition was conducted in May 2020 and the (Hybrid) Gateway 1 in June 2020. Following completion of the programme the IPA concluded that the programme was ready to close and exit GMPP.

Conclusion

As the Accounting Officer for HMRC I have considered my assessment of the CHIEF Transition Programme and on balance the proposal was value for money and deliverable, I approved it as of 14 October 2021. I have prepared this summary to set out the key points which informed my decision. This summary will be published on the government’s website (GOV.UK). Copies will be deposited in the Library of the House of Commons and sent to the Comptroller and Auditor General and Treasury Officer of Accounts.

Accounting Officer’s name: Jim Harra, Chief Executive HM Revenue and Customs.

Date of signing: 14 October 2021