Setting of new PSA targets for
CSR 2007 period
83. Defra currently owns nine Public Service Agreement
(PSA) targets, agreed with the Treasury as part of the Comprehensive
Spending Review 2004.[140]
New targets will be set as part of the Comprehensive Spending
Review 2007, to cover the period 2007-2010.
84. Each year, a large part of the Departmental Report
is devoted to reports of progress made in relation to the Department's
PSA targets. We have used our previous inquiries into the Departmental
Report as an opportunity to examine Defra's performance in relation
to its targets.[141]
Our past work in this area has shown that, for a variety of reasons,
several of the Department's current PSA targets are inappropriate.[142]
85. Public Service Agreement target 1, for example,
is the Department's overarching objective "to promote sustainable
development across Government and in the UK and internationally".[143]
In the 2006 Departmental Report, Defra states that it is "on
course" to meet the target, although measurement of progress
is complicated and uncertain. Some elements of the target had
not yet been assessed or indicators are still in development.[144]
One part of the target is measured by 68 indicators and 127 measures,
17 per cent of which show "clear deterioration".[145]
It is unclear how the Department forms an overall assessment of
progress against the target from this mass of indicators and measures,
and then claims to be "on course" when so many indicators
are showing deterioration or are still in development. Furthermore,
the Department has only limited control over achievement of the
target. Success depends on "all Government departments working
to identify and manage their own sustainable development impacts
both in formulation of policy and operationally".[146]
The Departmental Report acknowledges, however, that the "delivery
chain" between the actions of Defra and the rest of Government,
and positive movements in the indicators of sustainable development,
"remains long and complex".[147]
86. When questioned about the Department's current
PSA targets, the Permanent Secretary acknowledged they were a
"slightly strange" set of PSA targets.[148]
She was particularly concerned that the "levers" and
spending for some of the targets were not in the hands of the
Department.[149] Many
aspects of spending relating to PSA target 4 on rural affairs,
for example, were not controlled by the Department.[150]
The Permanent Secretary wanted the new PSA targets for the upcoming
Comprehensive Spending Review period to be improved in two ways:
first, "much clearer outcomes" and information about
the levers to achieve such outcomes; and, second, a wide consensus
that the particular performance indicators are the "right
ones".[151]
87. We asked whether we could be provided with copies
of draft PSA targets, when available. The Permanent Secretary
told us:
… we would certainly find it valuable to
share [draft PSA targets] with the Committee, in whatever form
you think appropriate, once they have reached a stage of specificity
on which you might want to comment.[152]
88. We believe that several of the Department's
current Public Service Agreement (PSA) targets are inappropriate,
and we have made similar criticisms in the past few years. Many
of the targets are too vague. We recommend that careful consideration
be given to the formulation of new PSA targets for the next Comprehensive
Spending Review period. The new targets should have much clearer
outcomes and performance indicators, and be able to be measured
appropriately. We look forward to receiving draft copies of the
targets for comment.
140 
