Transparency data

25 April 2022: Science Capability in Animal Health (SCAH) Programme Case accounting officer summary

Updated 5 October 2023

It is normal practice for accounting officers to scrutinise significant policy proposals or plans to start or vary major projects, and then assess whether they measure up to the standards set out in Managing Public Money. 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 projects within the Government’s Major Projects Portfolio.

1. Background and context

The purpose of the Science Capability in Animal Health (SCAH) programme is to secure the future of the Weybridge Science Campus. This internationally important site is the United Kingdom’s (UK) main animal health science capability, which manages significant risks posed by animal diseases to human and animal health, it underpins UK economic activity and trade in Products of Animal Origin (POAO). The COVID-19 pandemic and the end of the transition period following European Union (EU) Exit has underlined that the need for UK capability to manage threats from zoonotic disease and to underpin UK trade and economic activity is more important than ever. The site needs major investment to continue functioning and to meet the future threats posed by animal disease.

Since the funding announcement at the March 2020 budget, significant work has been carried out to establish a detailed scheme for the redevelopment at Weybridge, which is now proceeding. This has led to a greater understanding of the work needed to deliver the change required. The current Programme Business Case, approved in December 2021 is focused primarily on the funding required for Tranche 1. This is estimated to be £198m and covers the programme activities from the last 6 months of the 2021 to 2022 financial year and those in the full financial years for 2022 to 2023, 2023 to 2024 and 2024 to 2025 in line with the Spending Review 2021 period.

Tranche 1 enables activity to proceed on site in relation to enabling works and buildings being prepared for demolition. It will also allow for the delivery plan for the main transition to be tested and optimised for cost, schedule, benefits and risk, and for progress to be made in mobilising the supply chain for delivery.

2. Regularity

This section should explain how the proposal is supported by clear legal powers. This is normally via two routes: (a) specific legislation; or (b) the department’s common law powers.

This programme is critical for delivering Department for Environment Food and Rural Affairs’ (Defra) statutory responsibilities. This includes the Animal and Plant Health Agency’s (APHA) policy commission from Defra to: provide surveillance for notifiable or reportable animal diseases; implement outbreak response on behalf of the government, and (jointly with Department of Health and Social Care (DHSC)) to tackle the threat from zoonotic diseases and antimicrobial resistance.

Overall assessment: Met

3. Propriety

This section should focus on how public funds are used properly in a regular way as explained in the AO test guidance. The use of public funds needs to be proper as well as regular (i.e. supported by law). Therefore, it needs to comply with the standards set out in Managing Public Money which includes obtaining the necessary internal and if necessary external HMT approvals.

The Programme Business Case and funding has been developed in line with the principles and controls in Managing Public Money. SCAH will operate within its Spending Review budget allocation. An overall estimated spending profile for the programme has been identified but specific funding will be agreed with His Majesty’s Treasury (HMT) at future spending reviews, particularly as the next phase of the work is intended to mature the master plan and approach to delivery. The programme has followed the necessary Defra and HMT approvals. Compliance and accountability continue to be monitored by Defra, the Infrastructure Planning Authority and HMT, and the National Audit Office.

Overall assessment: Met

4. Value for money

The proposal must be good value for money for the Exchequer as a whole and not just the department and where possible a full evaluation should be undertaken. It may not always be possible to measure intended benefits and alternative options should include a ‘do nothing’ option. This should include an opinion from both Finance Business Partner and Directorate Economists on whether the proposal meets this test before sign-off.

The value for money from investing in the SCAH remains compelling. This is due to the growing threat to human and animal health from zoonotic diseases (those which can transfer from animals to humans), the importance of biosecurity for UK economic activity and the importance of science for the UK as a whole. There is an urgent need for the existing site at Weybridge to be secured and developed to meet these challenges in the future. The benefits anticipated are expected to significantly outweigh the costs because:

• It will safeguard and enhance the UK ability to undertake surveillance, testing and outbreak containment of animal pathogens. This will reduce or avoid the costs that otherwise occur in terms of harm to animal and human health.
• It will give the ability to underpin and expand UK opportunities for international trade in products of animal origin. Without the activities of Weybridge the UK cannot export or import these products, risking loss of domestic and international trade in POAO and the economic costs to the agricultural sector.
• The Weybridge site will unlock benefits to society through the enhanced scientific research and knowledge generated from the expanded and better-quality facilities. This is both in relation to commercial opportunities in related sectors, including human health; and the wider economic effects from sharing knowledge and improving policy.

Overall assessment: Met

5. Feasibility

This asks whether the proposed policy can be carried out effectively and credibly. In short, are we confident it can be delivered in line with policy intentions.

Since the launch of SCAH in March 2020, work has been carried out on a detailed scheme for the Weybridge site redevelopment. This has provided a detailed understanding of the requirements of the programme, its estimated costs and the likely schedule for delivery, which is estimated at 15 years.

The complex nature of high-containment construction and the impacts of working on a space constrained, live operational site are such that there remains significant risk and uncertainty at this early stage in such a large programme.

The programme intends to manage this risk by progressing delivery in phases. The first of these (‘Tranche 1’) will progress ‘no regrets’ transition and enabling work to continue progress on the development of the site. It will also re-test core assumptions in the delivery plan (such the extent of use of temporary buildings) to optimise the cost and schedule and reduce risk where possible. The outcome of this work will be a reflected in a further business case in June 2024, which will set out a revised delivery plan for the remainder of the programme.

Overall assessment: Partially Met

6. Affordability

This is a Defra AO Test and a sub-set of the HMT Propriety test; but given its own assessment because of its critical importance. Therefore, we ask the explicit question as to how the proposal will be funded and has it got full budget cover.

The programme is funded in full, from 2021 to 2022 (the current financial year) to 2024 to 2025 (the final year of the next three-year Spending Review period) at a sum of £198m and therefore the programme remains affordable within this period. Spending approval for Tranche 1 has now been approved following careful consideration of the Business Case by HMT and the IPA. For this reason, we believe this test to be met.

Future Spending Reviews will confirm allocations for years beyond 2024-25.

Overall assessment: Met

7. Conclusion

We have completed an assessment of the compliance of proposed spend on the transformation of the animal science facility at Weybridge, delivered through the Scientific Capability for Animal Health (SCAH) Programme, against the Accounting Officer tests.

The Accounting Officer tests described above have assessed regularity, propriety, feasibility, value for money and affordability. Overall, my assessment is that these tests have been met with the feasibility test only being partially met.

8. Accounting Officer sign off

As the Accounting Officer for Defra I considered this assessment of the SCAH programme and approved it on 21 December 2021.

I have prepared this summary to set out the key points which informed my decision. If any of these factors change materially during the lifetime of this project, I undertake to prepare a revised summary, setting out my assessment of them.

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.

Tamara Finkelstein

25 April 2022