FCO performance and finances 2012-13 - Foreign Affairs Committee Contents


Conclusions and recommendations


The FCO's estate

1.  We welcome the decision by the Treasury to permit greater flexibility for the FCO in reinvestment of proceeds from asset sales, as advocated by the Committee in 2012. (Paragraph 10)

Residential accommodation policy

2.  We endorse the principle that allocation of accommodation overseas should be guided by individual operational requirements and family considerations rather than grade or status. (Paragraph 13)

One HMG Overseas project

3.  While we welcome the One HMG Overseas project as a good way of strengthening the UK's identity locally and synthesising the effort of the various arms of Government overseas, the FCO should not underestimate the scale of possible resistance to the harmonisation of terms and conditions for staff from different departments and agencies. (Paragraph 17)

The overall staff profile

4.  We conclude that in future the Department will need to attach greater importance to living within its means and will need to recognise that there are limits to what it can take on. We recommend that the FCO maintain a clearer definition of its priorities. (Paragraph 25)

Provision of information on numbers of staff at individual posts

5.  We welcome provision by the FCO in this year's Annual Report and Accounts of unrounded figures for UK-based staff in each post, and we welcome the steps taken by the FCO to enable it to supply unrounded figures for total staff employed at each post in future. We recommend that the Annual Report should include these figures as a matter of course each year. (Paragraph 29)

6.  We reiterate our recommendation that the FCO provide us on request, and in confidence if necessary, with a breakdown of staff by function in any named country in the current year and the previous ten years. We acknowledge that there may well be occasions when the FCO cannot provide comprehensive data for locally engaged staff, but we urge it to be as forthcoming as possible in this respect when a request is made by the Committee. (Paragraph 29)

Locally engaged staff

7.  We welcome signs that the FCO appears to regard 70% as a ceiling for the proportion of locally engaged staff, even if not a formal one. We request that the Department supply us with a copy of the current Duty of Care guidance as it relates to locally engaged staff. (Paragraph 32)

Locally engaged staff and policy work

8.  We believe that it would be shortsighted to allow the financial advantage derived from employing locally engaged staff rather than UK-based staff in diplomatic or policy work to restrict the opportunities for UK-based staff in policy grades to work overseas. The consequence would be to lessen their first-hand experience of living and working within different cultures and political and social environments and to diminish the knowledge that was acquired and carried forward to senior levels of the organisation over the years. We recommend that the Department state that it recognises this danger and that it offer a guarantee that the number of overseas positions for UK-based staff at policy grades will not decrease as a result of greater use of locally engaged staff. (Paragraph 35)

9.  We recommend that the FCO clarify what measures or guidelines are currently in place to address concerns about locally engaged staff carrying out policy and advocacy work on behalf of the FCO, and about potential conflicts of interest. (Paragraph 36)

Languages : Recognition of skill levels

10.  We believe that the FCO could and should have been bolder in its recognition of language skills in the new elements of the competency framework. We believe that evidence of an ability to strengthen contacts and win respect through use of the local language should be the mark of effectiveness, rather than simply a willingness to learn the language. We recommend that the FCO amend the relevant competency framework accordingly, before its introduction in 2014. (Paragraph 42)

11.  While we commend the FCO for its willingness to undertake a major exercise to gather and check data on the level of language proficiency of staff in 'speaker slots', we are concerned that the data initially supplied to us was inaccurate. (Paragraph 43)

12.   We conclude that the Committee's persistence in pressing for detailed information on language proficiency has been justified, and we welcome the FCO's recognition that action needs to be taken to raise proficiency levels. We commend the Permanent Under-Secretary for his evident determination to address the problem. (Paragraph 45)

Language allowances

13.  We believe that language allowances, carefully set, can make a difference in persuading staff to develop and retain language expertise. If anything, the FCO should increase the allowances, in the interests of protecting its assets. (Paragraph 48)

The Language Centre

14.  We are yet to be satisfied that standards of teaching at the FCO Language Centre can match those at other specialist institutions given that there appears to be a major disparity in pay rates. We will be on the alert for any sign that the quality of language teaching has been compromised by an excessive focus on cost by the FCO. (Paragraph 52)

Discretionary expenditure posts

15.  We plan to request information on FCO posts' discretionary spending, including on whether and how the strategic impact of such spending is measured and evaluated, and we recommend that posts consider how they could do more to publicise their programme spending—whether managed centrally or locally—in order to provide greater transparency. (Paragraph 56)

Our view on the British Council and its future form

16.  We conclude that the cross-subsidy model for the British Council is better than any other in allowing for a strong British influence and presence overseas and a deeper understanding in other nations of Britain, its culture and values, at an acceptable cost to the taxpayer . A reliance on commercial funding would make the British Council's presence unsustainable in many areas where it has the greatest "soft power" value, and a reliance on public funding would shrink the organisation and reduce its influence with foreign governments (for instance in education services) overseas. The British Council has achieved a balance which works, and we believe that the current mixed finance model should be retained. (Paragraph 67)

Location of British Council offices

17.   We accept that ease of access for customers should be a primary consideration in decisions by the British Council on where to locate its offices overseas. (Paragraph 69)

Perceptions of the British Council

18.  We note the fall in the percentage of survey respondents who said that they would recommend the British Council to others, but we do not believe that conclusions should be drawn unless there is evidence of a trend over a number of years. (Paragraph 74)

The BBC World Service: Future funding and output

19.  We strongly welcome the decision to increase the funding available to the BBC World Service in 2014-15. (Paragraph 76)

20.  We urge the BBC to announce funding levels for the BBC World Service for the remainder of the current BBC Charter period and at least to maintain in real terms the 2014-15 funding levels. (Paragraph 78)

Future parliamentary oversight of the World Service

21.  We intend to continue to monitor the BBC World Service's output and the extent to which it reflects the FCO's strategic priorities. We strongly oppose the proposals currently under consideration by the BBC Trust for a wider commercialisation of the World Service as indicated in the letter sent by the Director, Global News at the BBC, Mr Peter Horrocks, to Lord Alton of Liverpool on 1 November 2013. We expect to take evidence on these matters in future, both from FCO Ministers and from the BBC; and we encourage our successors to do the same. (Paragraph 80)

Language services

22.  We recommend that the FCO use its influence to encourage the Burmese authorities to look favourably on provision of a BBC Burmese television service. (Paragraph 83)

Governance of the BBC World Service

23.  We are not convinced that the protection of the BBC World Service's interests within the BBC's governance structure is as strong as is being claimed, and the picture appears to us to be one of steady erosion of World Service influence within the BBC. The World Service will be heavily reliant in future upon advocacy by a single Executive Board member, who has many other competing responsibilities. The result may be that the World Service is more regularly denied the resources it needs to maintain or develop services. We recommend once again that the World Service should be represented on the BBC Executive Board, and we believe that the Director of BBC Global News should be a member of the Management Board. (Paragraph 89)


 
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Prepared 10 January 2014