Policy paper

Infrastructure and Projects Authority Mandate

Published 7 January 2021

This was published under the 2019 to 2022 Johnson Conservative government

1. Foreword

The UK government delivers some of the most complex and innovative projects in the world. This requires a world class project delivery capability: Government needs to be rigorous and fearless in its evaluation of policy and projects. To this end we have commissioned IPA to develop the systems, capability and capacity necessary to achieve that objective.

The Infrastructure and Projects Authority (IPA) is the government’s centre of expertise for infrastructure and major projects, supporting the successful delivery of all types of major projects. The IPA sits at the heart of government, reporting to the Cabinet Office and HM Treasury.

By virtue of this mandate the IPA is authorised to engage in the activities to reform Government project delivery and to provide to Ministers in HM Treasury and Cabinet Office advice to enable successful delivery. This includes those projects delivered by the private sector, to be set up for success and to be capable of delivering value for money outcomes in line with government priorities.

The duties now carried out by the IPA were established in 2011, this has since been followed with more recent letters from the Prime Minister and Chancellor. The mandate below sets out a single clear statement of the IPA’s role and the responsibilities of departments with regards to project delivery. Nothing less than world class delivery will do.

To initiate a step change in delivery of major government projects, they need to be set up for success from the outset and assured throughout the project lifecycle. This is the only way for us to be effective against our ambitions. With this mandate, we aim to set standards of success for project delivery which equal those in the best companies and governments across the world.

Lord Agnew, Minister of State for Cabinet Office and HM Treasury, and Rt Hon Steve Barclay, Chief Secretary to the Treasury

2. About the mandate

The IPA is the government’s centre of expertise for infrastructure and major projects. We lead the government project delivery function and sit at the heart of government, reporting to the Cabinet Office and HM Treasury.

The IPA supports the successful delivery of all types of major projects; ranging from railways, schools, hospitals and housing, to defence, IT and major transformation programmes. We hold a broad sector knowledge, skills and expertise in all these areas. We lead the project delivery and project finance professions across government. Projects are delivered by people, and building professional capability is a core priority for the IPA. We aim to build high performing, professional, flexible and diverse teams to deliver world class projects now and in the future.

The IPA’s responsibilities are fully aligned to the core requirements of government functions as set out in the Government Functional Standard GovS 001.

3. IPA responsibilities

3.1 The Government Major Projects Portfolio (GMPP)

• The IPA and His Majesty’s Treasury have the final decision on which projects and programmes join the Government Major Project Portfolio (GMPP).
• The IPA will be responsible for the tracking and monitoring of GMPP projects.
• The IPA will support GMPP projects with expert advice and support, intervening early to ensure that projects are set up for success.
• The IPA will be involved in the assessment of major projects during the Spending Review process to ensure that the project is deliverable within the budget and timeline provided to the Treasury.
• The IPA will be responsible for system level improvements across the project delivery landscape and will set the framework for government project delivery, project assurance and support arrangements for government projects which departments are required to follow.

3.2 Government project delivery assurance

• The IPA will deliver Gate 0 to 5 Assurance Reviews for GMPP projects and programmes in support of an HM Treasury Approval Event.
• The IPA will only deliver Project Assessment Reviews in support of a Major Project Review Group or other exceptional circumstances.
• Projects must be ready to proceed at each stage of the Gate Review process and have the support of the Infrastructure and Projects Authority before progressing to the next stage. The assurance Delivery Confidence Assessment (DCA) and assurance review recommendations will inform decisions on whether projects should be modified, continue, or end.
• As part of any assurance event the IPA will provide constructive feedback in the form of assurance review recommendations to enable the SRO and project team to progress through the next stage gate.
• The IPA will be able to undertake departmental portfolio assurance reviews on a periodic basis to assess portfolio health and provide confidence that the right projects are being delivered in a controlled and considered manner.
• The IPA will also provide expertise to support the set up and delivery of selected major projects and programmes outside of the GMPP, which may be delivered by the private sector and/or may be preparing to join the GMPP.

3.3 Data for projects and programmes on the GMPP

• The IPA will publish an Annual Report on major projects. As part of the Annual Report the IPA will publish specific information on all GMPP projects including, departmental narratives on the whole life costs, schedules (including any deviations from the planned schedule) and delivery confidence assessment’s over time.
• The IPA is committed to data transparency and as such it will take steps to publish some benefits data and more information on early development support of projects in the Annual Report.
• The IPA will work with departments to ensure projects are not locked into unrealistic point estimates when announcements are made, and projects use ranges when presenting costs and schedules.
• The IPA will create a Benchmarking Hub and make benchmarking data available on key assets to underpin and challenge project investment cases.

3.4 Setting standards and building professional capability

• The IPA will work with departments to build professional project delivery and leadership capability, establishing the Government Projects Academy as the central governing body for professional project delivery standards, accreditation and training across government.
• The IPA will hold responsibility for the Government Functional Standard for Project Delivery, Government Project Delivery Framework and Project Delivery Capability Framework, and for providing tools and guidance which support their use.
• The IPA CEO will sign off all SRO appointments to major projects in the GMPP, jointly with the Departmental Accounting Officer, and has the right of veto on SRO selection for, and exit from, these projects.
• The IPA will set requirements for SRO appointment, time commitment, tenure, attendance on the Major Projects Leadership Academy, and other mandatory training, and will set requirements for the inclusion of such data in SRO appointment letters and GMPP reporting.
• The IPA will work to improve recruitment and retention of SROs and project professionals, including measures on remuneration, grading and support.
• The IPA will set a requirement for projects to demonstrate SRO capability and capacity in order to move through approvals gates.
• The IPA will publish a list of SROs for the GMPP on an annual basis.

3.5 Building market confidence

• The IPA will publish regular procurement pipelines and National Infrastructure and Construction Pipelines to improve market visibility of demand and increase market confidence.
• The IPA will oversee the PFI Centre of Excellence, in order to drive value for money across the government private finance portfolio.

4. Departmental responsibilities

4.1 The Government Major Projects Portfolio (GMPP)

• Departments must add all projects which meet the existing criteria to the GMPP. These must be agreed with Ministers in the Cabinet Office and the Treasury, on the advice of the CEO of IPA, with the Treasury able to withhold funding in cases of non-compliance.
• A formal business case, which defines the scope and operating parameters of a project, must be prepared, in accordance with Treasury guidance, for every major project.
• An Accounting Officer Assessment must be produced for projects or programmes on the GMPP, which must be submitted at the Outline Business Case.
• An updated Accounting Officer Assessment must be prepared if the project departs from the four accounting officer standards (regularity, propriety, value for money and feasibility) or from the agreed plan.

4.2 Government project delivery assurance

• Departments must submit an Integrated Assurance and Approval Plan (IAAP) for all major projects. These must be validated by both the Treasury and the IPA before being recommended to pass through any gated assurance reviews.
• Thorough planning at the earliest stages of a project is critical. Before passing through Gate 1 reviews, projects must demonstrate clarity of objectives and success criteria for capital projects (for example through an “Opportunity Framing Workshop”).
• Projects must gain the approval of the IPA to pass through all stage gates. Where this is not followed, the Treasury will withhold funding until there is clear evidence that the department has implemented the IPA’s assurance gate recommendations.

4.3 Data for projects and programmes on the GMPP

• Departments must keep, and provide to the IPA when requested, data on all their major projects. This data should be kept consistently up to date, and be accurate and complete according to the IPA’s standards and suitable for publication in the Annual Report on Government’s Major Projects.
• The data should follow a template set out by the IPA to ensure departments are recording all the necessary information, and provide consistency between departmental records.
• Departments and their delivery bodies should provide specified data on projects that will support the IPA’s Benchmarking Hub as required.

4.4 Embedding standards and building professional capability

• Departments must actively support all professional capability training on project delivery that the IPA offers and commit to assessment and accreditation of SROs and project professionals to support delivery of their Spending Review plans.
• Departments must appoint a designated Head of Function and Head of Profession to lead on embedding government standards, improving project delivery and building professional capability and capacity within their departmental function and profession.
• Departments must ensure that the CEO of the IPA as head of the Government Project Delivery Function is consulted on all proposed GMPP SRO appointments, with agreement to be recorded in a published SRO letter, and that such letters are kept up to date.
• Departments should ensure that, to pass through any stage gates, projects have an experienced SRO in place, with a signed appointment letter, the necessary training through the Major Projects Leadership Academy or a written commitment to complete this training.
• SRO will not be allowed to leave their role for another post in central government without the consent of the CEO of the IPA.

4.5 Building market confidence

• Departments will provide procurement and pipeline data to the IPA to support the publication of Procurement Pipelines and National Infrastructure and Construction Pipelines.