Financial Management in the Foreign and Commonwealth Office - Public Accounts Committee Contents


Memorandum from Sir Peter Ricketts KCMG, Permanent Under Secretary of State, Foreign and Commonwealth Office

  When I appeared before the Committee on 21 October, I was asked to provide further material on the following:

    — the new Residence for the Ambassador to the Holy See;

    — the arrangements regarding the payment of tax for FCO staff seconded to the EU Commission;

    — Social diversity in the Foreign and Commonwealth Office; and

    — the costs of overseas posts.

Question 56 (Mr Bacon): Holy See Residence

  The former Residence, Villa Drusiana, was originally given up in order to move the Ambassador into an owned property on the Villa Wolkonsky compound, which houses the Residence of our Ambassador to Italy and other staff accommodation. The Vatican had advised us that they would be content with this arrangement. After we had served irrevocable notice to quit Villa Drusiana the Vatican informed us that they were no longer willing to accept that the Villa Wolkonsky compound should provide the Residence of our Ambassador to the Vatican.

  A suitable replacement property was found at a total annual cost (rent, rates, community charge and parking) of

201,064: significantly less than the annual lease on the Villa Drusiana which had increased to

300,000 from 1 April 2006. The new Residence is more centrally located in Rome and thus easier to get to and it also has ample car parking attached (which was a problem at the old location). The central location, and a new outsourced system of catering, staff headcount, has led to a dramatic increase in the use of the residence for representational purposes while at the same time reducing costs significantly. For example, in the most recent calendar year for which figures are available (2008) over 1,500 people were entertained at the residence. This represents a threefold increase on the numbers entertained at the old residence, but on a budget which is 60% less than the 2005 figure in purchasing power terms. One innovation made possible by the move has been a series of dinners to mark the Queen's Birthday instead of the traditional large Reception. This has attracted more senior guests while at the same time reducing expenditure.

Question 75 (Mr Davidson): Taxation arrangements for FCO staff seconded to the EU

  All FCO staff on secondment from the FCO to EU Institutions remain on the FCO payroll and pay UK tax. On occasion some staff have taken special unpaid leave to take up jobs in EU institutions, and in these cases they fall under the tax regime of the relevant part of the EU institution for which they are working. But in these cases they are not FCO employees and are not working for the British Government.

Question 108 (Mr Davidson): Social Diversity in the Foreign and Commonwealth Office

  There is a legal requirement that we must monitor the gender, ethnicity and disability status of our staff. We are not legally required to monitor their regional/social/educational background, or indeed other elements of diversity such as sexual orientation or religion, but we would obviously like to be helpful. We are working with the Cabinet Office as they consider this question of monitoring other aspects of diversity.

  We are getting the message out to local communities, schools and universities UK-wide that the FCO welcomes people from all parts of UK society. We have identified a range of measures to help the FCO create a more inclusive culture, attract and retain talent from the widest available pool and better represent modern Britain.

  We actively seek to recruit staff from all regions of the UK. Over the next year we plan to attend regional careers fairs in Belfast, Birmingham, Cardiff, Edinburgh, Glasgow and London. In addition we plan to attend university careers fairs in Bath, Bristol, Cambridge, Durham, Edinburgh, London, Nottingham, Manchester and Oxford. The Diplomatic Service is also promoted annually by the Cabinet Office's Fast Stream at universities and schools fairs across all regions of the United Kingdom.

  To attract broader talent we have launched two new recruitment initiatives. The Partner University Programme, partners the FCO with 10 of the UK's best performing universities with the aim of attracting high-calibre undergraduates from ethnic minority and low income backgrounds. In 2008 59 students applied and 21 students were selected to take part. The Band D external recruitment campaign brought a range of diverse skills into the organisation at Team Leader level including project /financial/change management and hard language skills.

  There are certain minimum educational qualifications required for entry to the FCO. The level required for recruitment to our A1 Band is two GCSEs or Standard Grades, for our A2 Band it is five GCSEs or Standard Grades, and all other Bands require an undergraduate degree. Apart from some technical jobs where relevant qualifications are required eg finance, no account is taken of educational background in choosing people for posts. Between bands A to SMS1 staff are promoted on merit through assessment centres and promotion competitions. Appointments in these grades are decided by competence based interview chaired normally by the line manager. Over time, as the diversity of the office increases so will the diversity of our senior management. Some measures we have taken to broaden the mix of staff internally include opening all senior jobs to competition from across Whitehall.

  From my own contact with our new entrants, I know that they do increasingly represent modern Britain in terms of regional background and in other ways. In the absence of comprehensive data, I did a straw poll among 31 recent recruits to our Fast Stream programme. A significant majority came from State schools (19 against 11 from private schools and one from a religious school). Six were from Scotland, including four from Glasgow.

Question 42 (Mr Bacon): Costs of Overseas Posts

  I have attached to this letter as an annex a table which shows the costs for each of the Foreign and Commonwealth Office's (FCO) British diplomatic missions overseas for the financial year 2008-09. These figures represent the combined income, excluding that from property sales which would otherwise distort the return, eg Madrid, and expenditure totals for each mission, but do not include central overhead and programme costs. Where a negative figure is shown in the table, this indicates that the mission generates more income than it costs to run. This net income from issuing visas is returned to UKBA and does not fund the FCO. Staff numbers at each Post are also listed, although some posts listed are only manned seasonally, by staff employed locally or by Honorary Consul. Some have also now closed although there are residual estate costs.

30 November 2009

Annex

2008-09 COSTS OF OVERSEAS POSTS


Post
Total not including central overheads,
Programmes and Proceeds From Sale of
Capitalised Assets
Staff Numbers
Baghdad£29,965,383 65
Kabul£26,376,466 116
UKMis New York£22,478,210 88
Paris£17,018,913 176
Berlin£14,733,604 98
Tokyo£13,321,765 144
Washington£12,817,750 223
Brussels UK Rep£10,906,955 131
Peking£9,227,459 238
Rome£8,554,413 108
Madrid£7,027,605 112
Brasilia£6,933,971 150
Khartoum£6,888,789 241
Warsaw£5,928,649 76
Nairobi£5,759,236 150
Vienna Embassy£5,371,835 51
Athens£5,320,477 73
Erbil£5,110,129 3
Ankara£5,054,948 94
Hong Kong CG£4,918,549 106
Basra£4,807,907 12
Singapore£4,746,511 82
Moscow£4,626,384 198
Mexico City£4,332,602 85
Copenhagen£4,295,678 50
Berne£4,198,554 33
The Hague£4,174,365 47
Buenos Aires£4,098,300 66
Brussels Embassy£4,052,875 69
Stockholm£3,740,423 52
Lashkar Gar£3,738,413 28
Brussels UK Del£3,582,363 38
Budapest£3,580,748 54
Lisbon£3,562,122 49
Nicosia£3,545,347 66
Tel Aviv£3,505,860 52
Seoul£3,462,196 80
Sao Paulo£3,395,780 46
Bucharest£3,395,398 55
Helsinki£3,387,591 41
Caracas£3,314,990 43
Beirut£3,306,733 20
Geneva CG£3,265,913 34
Abuja£3,251,058 236
Jakarta£3,249,842 87
Oslo£3,217,558 38
Bogota£3,213,170 100
Prague£3,164,021 60
Amman£3,072,255 109
Sana'a£3,055,430 100
Sofia£3,037,748 42
Addis Ababa£2,996,870 159
Jerusalem£2,976,815 62
Baku£2,880,295 42
Osaka£2,811,485 26
Santiago£2,753,287 49
Belgrade£2,748,896 67
Kinshasa£2,728,009 75
Kingston£2,721,879 76
San Francisco£2,683,145 29
Kuala Lumpur£2,625,435 116
Algiers£2,561,412 49
Jeddah£2,552,825 35
Accra£2,540,837 325
Rabat£2,535,273 75
Brussels JMO£2,500,848 123
Geneva UK MIs£2,458,891 23
Lima£2,293,292 52
Milan£2,240,310 30
Sydney£2,219,142 23
Dublin£2,217,968 55
Bangkok£2,203,741 159
Luanda£2,146,309 40
Zagreb£2,075,435 35
Tripoli£2,007,063 90
Bridgetown£1,958,671 38
Tbilisi£1,952,407 32
Kiev£1,943,186 62
Muscat£1,919,941 64
Karachi£1,915,823 81
Havana£1,911,153 51
Boston£1,880,014 23
Kampala£1,875,026 76
Abu Dhabi£1,855,021 96
Damascus£1,803,481 37
Almaty£1,771,486 13
Johannesburg£1,735,799 25
Gibraltar£1,734,463 17
Toronto£1,707,443 26
Pristina£1,696,768 41
Cairo£1,672,626 138
Harare£1,594,329 67
Houston£1,588,219 24
Montevideo£1,575,925 23
Valletta£1,570,804 26
Chisinau£1,543,719 28
Ottawa£1,525,778 67
Sarajevo£1,507,393 36
Munich£1,494,983 20
Freetown£1,491,416 239
Dusseldorf£1,458,180 71
Vilnius£1,453,939 25
Port of Spain£1,453,286 30
Lusaka£1,418,244 37
Guangzhou£1,413,052 81
Tallinn£1,408,526 31
Dar Es Salaam£1,406,782 55
Bratislava£1,399,594 25
Chongqing£1,369,939 36
Shanghai£1,363,175 88
Cape Town£1,357,021 39
Ljubljana£1,356,602 17
Maputo£1,354,739 33
Melbourne£1,353,296 15
Belmopan£1,330,558 31
Georgetown£1,291,889 23
Tunis£1,256,422 54
Hanoi£1,232,990 39
Skopje£1,204,644 36
Guatemala City£1,199,978 22
Rangoon£1,195,957 93
Luxembourg£1,166,540 12
Rio De Janeiro£1,155,716 43
Bandar Seri Begawan£1,143,493 23
Barcelona£1,065,212 17
St Helena£1,062,972 3
Malaga£1,038,869 10
Riga£1,038,142 28
Pyongyang£1,006,541 10
Suva£985,42720
Tashkent£973,123 64
Panama City£959,175 19
Tehran£958,108 149
Miami£938,83015
Taipei BTCO£928,663 54
Dushanbe£925,878 38
Lille£911,32711
Vancouver£903,414 14
Phnom Penh£869,593 29
Geneva UK Del£864,874 6
Kigali£853,860 27
San Jose£849,442 20
Port Moresby£844,923 15
Strasbourg£840,952 10
Grand Turk£830,370 6
Yaounde£814,218 48
Quito£793,27724
Atlanta£786,231 9
Vienna OSCE£783,957 13
Yerevan£765,887 19
La Paz£744,289 20
Ashgabat£739,414 17
Naples£732,472 10
Plymouth£713,111 5
Reykjavik£695,189 10
Santo Domingo£694,948 14
Vienna UK Mis£691,691 10
Lilongwe£689,496 44
St Petersburg£647,684 28
Tortola£646,109 6
Tristan Da Cunha£626,074 1
Anguilla£623,546 5
Stanley£615,386 4
Lyon£611,47310
Dakar£577,02135
Podgorica£576,437 8
Brisbane£568,051 9
Holy See£551,965 5
Auckland£533,450 10
Victoria£514,377 9
Honiara£505,691 11
Windhoek£504,707 22
Grand Cayman£504,390 6
Montreal£502,324 6
Vientiane£497,808 1
Ibiza£479,5824
Al Khobar£476,166 9
Perth£463,6477
Ekaterinburg£457,251 11
Asmara£456,338 10
Ho Chi Minh City£453,042 29
Bordeaux£446,025 6
Banjul£444,605 72
Alicante£407,858 9
Port Louis£407,377 22
Astana£406,779 25
Bangalore£404,313 17
Tenerife£401,001 5
Palma£378,6666
Florence£371,692 7
Marseilles£363,048 6
Portimao£355,777 7
Gaborone£343,293 18
Alexandria£324,870 17
Ascension Islands£316,411 1
Abidjan£290,092 6
Las Palmas£279,402 4
Castries£265,010 4
Orlando£262,311 6
Tirana£253,690 36
Hamilton£248,275 3
Casablanca£245,482 20
Ulaanbaatar£232,803 13
Conakry£205,352 4
Doha£202,40943
Bilbao£196,013 4
Kaduna£186,941 0
Monrovia£180,134 1
Calgary£171,166 3
Denver£167,566 2
Bahrain£133,094 45
St John's£128,664 0
Venice£123,885 2
Banja Luka£112,826 4
Oporto£112,374 1
Kathmandu£93,073 111
Tangier£89,764 2
Hyderabad£84,256 5
Atyrau£74,6082
Monterrey£71,309 4
Port Harcourt£61,262 1
Bujumbura£51,341 1
Corfu£41,9713
Funchal£36,737 1
Heraklion£35,416 3
Lahore£35,0431
Durban£30,1014
Chiang Mai£28,880 1
Guadalajara£28,277 2
Salonika£25,664 1
Bamako£24,5621
Izmir£22,6085
Nassau£22,3000
Phuket£16,0440
Kingstown£15,348 76
Rhodes£14,2802
Recife£13,8252
Porto Alegre£13,342 2
Pattaya£12,338 0
Djibouti£11,579 0
Curacao£10,716 0
Genoa£10,3620
Zakynthos£7,257 1
Juba£6,7230
Kos£6,6772 seasonal
Port Elisabeth£6,104 1
Azores£5,8200
Asuncion£5,691 0
Patras£5,6670
Nuku'Alofa£5,039 0
Vienna UK Del£4,734 12
Port Au Prince£4,588 1
Cagliari£4,230 0
Cali£3,5251
Vigo£2,6561
Paramaribo£2,430 0
Cartagena£2,390 1
Bissau£2,1430
Ahmedabad£1,955 2
Pune£1,8540
Dallas£1,5210
Seattle£1,4720
Medellin£1,450 1
Kandahar£1,325 0
Curitiba£1,198 0
Antananarivo£787 1
Amsterdam£70715
Maseru£5940
Fukuoka£5490
Mbabane£3630
Antwerp£3290
Adelaide£3040
Eilat£2270
Nagoya£660
Kano£600
Aden£500
Douala£400
Tegucigalpa£18 0
Stuttgart - £188 0
St George's - £366 0
Dili - £1,0570
Varna - £5,980 0
Pretoria - £7,588 169
Minsk - £8,894 19
New York CG - £80,035 96
Chicago - £410,297 24
Dhaka - £516,705 273
Colombo - £919,603 102
Kolkata - £973,085 44
Manila - £1,193,041 95
Los Angeles - £1,231,761 49
New Delhi - £1,267,267 402
Kuwait - £1,372,816 84
Lagos - £1,449,438 323
Dubai - £1,470,006 101
Wellington - £1,853,119 49
Istanbul - £3,108,523 121
Riyadh - £3,406,903 105
Canberra - £6,701,961 100
Islamabad - £8,911,240 423
Bombay - £9,521,078 158
Madras - £12,805,774 107


  The headcount numbers shown in the table include staff in place to support other Departments operating on the FCO platform.





 
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Prepared 17 December 2009