Select Committee on Public Accounts Fourth Report


2  Monitoring and maintaining the standard of existing flood defence systems

17. The Agency's National Flood and Coastal Defence Database indicates that there are 24,000 miles of flood defences and 46,000 flood defence structures protecting properties in England. The substantial increase compared to 2001 (when there were 11,000 miles of defences and 23,000 structures), was due to the inclusion of coastal defences, better record keeping, and the transfer of critical ordinary watercourses from local authority and internal drainage board control. The Agency regularly assessed the condition of flood defences by visual inspection and classified each defence as:

  • Very good: Cosmetic defects which will have no effect on performance.
  • Good: Minor defects which will not reduce the performance of the asset.
  • Fair: Defects that could reduce the performance of the asset.
  • Poor: Defects that would significantly reduce the performance of the asset; further investigation required.
  • Very poor: Severe defects resulting in complete performance failure.[20]

18. 5% of linear defences and 8% of structures remained in very poor condition in April 2007, a proportion similar to when this Committee last reported on this issue in 2002, although the total number of defences and structures has increased considerably over this time. The Agency's records indicated that assets on critical ordinary watercourses acquired from local authorities and internal drainage boards had been generally in a poorer condition than other flood defences. There is, however, an absence of reliable inspection data from the time when responsibility for their maintenance was transferred to the Agency, which means that it is not clear to what extent the transfer is the reason for the largely unchanged proportion of defences in a very poor condition.[21]

19. Since the Committee's report in 2002, the Agency had moved towards a risk-based approach to setting target conditions for its flood defence assets and aimed to set target conditions for each asset so as to achieve a balance between the costs of maintaining the condition of an asset and the risk of its failure. The target condition for individual assets varies depending on the consequences of failure. Where the consequence of failure is low, such as a defence protecting poor quality agricultural land, the target condition could be as low as fair or even poor. The Agency had also assigned assets to flood risk management systems, which are groups of assets protecting a particular area from flooding.[22]

20. The Agency aimed to maintain 63% of flood defence systems in a target condition in 2006-07 but failed to meet this target.[23] On the basis of the estimates from the Agency's area managers, only 46% of high risk defence systems, which protect major risk areas such as towns and cities, were in their target condition (see Figure 3). According to the Agency's review of the autumn 2000 floods, less than 1% of flooding during that event was due to failure of defences. The Agency suggested that the target condition of some defences might therefore be over-specified.[24]

21. Nevertheless, the Agency's reports from its area managers indicate that it had maintained a much higher proportion of low risk systems (71%) and medium risk systems (62%) at their target condition. It is questionable therefore whether the Agency prioritises its maintenance work effectively. Two of the Agency's seven regions in England (North East and Southern Regions) spent less than 50% of maintenance expenditure on high risk flood defence systems and the average spending on high risk systems by regions across the country was only 55% (see Figure 4). A further 27% of maintenance expenditure had been on non-system specific work, but in the absence of any reliable evidence, the Agency could not show that the additional resources were devoted solely to high risk systems.[25]

Figure 3: Percentage of high risk systems at target condition in 2007



Source : National Audit Office analysis of Environment Agency data

Figure 4: Proportion of maintenance expenditure on high risk flood defence systems in Environment Agency regions in England in 2005-06 and 2006-07



Source : National Audit Office analysis of Environment Agency data

22. The Agency considered that the large proportion of resources devoted to lower risk flood defence systems was partly due to historical funding arrangements. In 2004-05, the previous funding mechanism of capital grants on a scheme by scheme basis combined with levies on local authorities raised by the Regional Flood Defence Committees had been replaced by a single grant in aid from the Department for Environment, Food and Rural Affairs. Since then, the Agency had started to move towards prioritising maintenance nationally based on risk and had sought to divert a greater proportion of maintenance work towards high risk systems. The proportion of planned expenditure on low risk systems in 2007-08 had reduced to 8% of the maintenance budget, with 18% on medium risk and 74% on high risk.[26]

23. The Agency estimated that an additional £150 million a year is needed to bring flood defence systems up to their target condition. On 2 July 2007, the Secretary of State for Environment, Food and Rural Affairs announced that by 2010-11, total expenditure on flood risk management would rise to £800 million. There is still scope to improve the cost effectiveness of the Agency's maintenance work. The Agency was not able to show that its maintenance teams were deployed efficiently or that they focused their resources on high risk flood defence systems.[27]

24. The Agency's asset database should provide a national picture of the state of flood defences, but it is cumbersome to use and can be difficult to extract management data from easily. The database could not handle reports of more than 300 defences at a time. Only 80 local authorities use the database to monitor the state of their non-main river assets. The Agency's inspectors use the database to record inspection results, but local managers have to rely on paper based records of maintenance work which would need to be reconciled to data on the computer system in order to check whether problems identified during an inspection had been remedied.[28]

25. Some 9,000 miles (38%) of linear defences and 29,000 flood defence structures (63%) are owned and maintained by third parties. Many such parties are private land-owners, who have properties on the edge of rivers which form part of the flood defence for an area. The Agency inspected all such assets, but did not necessarily inform the owner of any defects which its visits identified. The Thames River (Prevention of Floods) Act 1879 to 1962 enabled the Agency to compel owners on the River Thames to remedy faults identified. The Agency had not, however, determined whether similar statutory powers would be effective elsewhere in the country. The Agency was nevertheless implementing new procedures to notify third party owners, where they could be identified. The Agency planned to put pressure on third parties to comply.[29]


20   C&AG's Report, paras 2.1-2.2 Back

21   Qq 14-19; C&AG's Report, paras 2.4-2.5 Back

22   Qq 19-20, 93-96, 107; C&AG's Report, para 2.3  Back

23   The assets in a system are inter-dependent and a system meets its target condition only if at least 95% of all assets in the system meet their own target standard and no asset is more than one grade away from its target standard. Back

24   C&AG's Report, paras 2.3, 2.7, 3.20; Qq. 22,  Back

25   C&AG's Report, paras 2.9-2.10 ; Figure 11; Qq 71-74 Back

26   Qq 21, 68, 111, 117; C&AG's Report, para 2.11; Ev 17 Back

27   C&AG's Report, para 42.17; Oral Statement to the House by the Secretary of State, updated statement on flooding in England, 2 July 2007; Qq 71-74, 97-98 Back

28   Qq 9, 75, 105-106, 138; C&AG's Report, paras 2.13-2.15 Back

29   Qq 69-70, 130-133; C&AG's Report, paras 2.6-2.8 Back


 
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Prepared 18 December 2007