Question
To ask the Secretary of State for Business, Innovation and Skills pursuant to the written ministerial statement of 16 March 2011, Official Report, columns 9-10WS, on the public bodies reform programme, what estimate he has made of the savings to his Department net of costs incurred in the assumption of additional departmental responsibilities to accrue from (a) the abolition of 22 public bodies within his Department's area of responsibility, (b) the merger of five such bodies and (c) the change in function of one such body.
Answer
On 16 March 2011 the Minister for the Cabinet Office issued a written ministerial statement updating Parliament on progress on public bodies reform. That statement also announced that Departments estimate that cumulative administrative savings of at least £2.6 billion will flow from public bodies over the spending review period.I anticipate cumulative administrative budget savings from those public bodies sponsored by BIS which are undergoing structural reforms to be £737 million over the spending review period, with additional costs of transition including redundancies to be funded from the Department's programme budgets. Overall administrative cost reductions from all of BIS's public bodies are estimated to be £882 million over the spending review period.