6Conclusion
124.The House lacks the means of conducting effective systematic ex ante financial scrutiny. We believe this deficiency could be remedied in part by the establishment of a new committee specialising in the consideration of the Government’s spending plans. It is of course ultimately for the House to decide whether it would wish to establish a budget committee.
125.This report has sought to explore what functions such a committee might have, and what existing scrutiny gaps it should look to address. We recognise the considerable strengths of the current system of committee scrutiny including that provided by the Treasury Committee and Public Accounts Committee. We are adamant that a new committee should not and would not look to detract from those strengths but could instead provide supplementary specialist scrutiny which is beyond the capacity of the House’s existing scrutiny function.
126.We consider that a budget committee should scrutinise the quality of and rationale for spending allocations. Like the Public Accounts Committee, it should operate a self-denying ordinance concerning policy scrutiny and should not suggest changes in allocations for the sake of meeting any policy concerns. We envisage a committee with a tight remit, able to draw from and contribute to the work of other committees, without encroaching on their remits.
127.To support a new specialist committee, substantially more resource would be required. The House ought to consider the case for developing specialist Scrutiny Unit support on the scale necessary for ex ante scrutiny of the type we envisage. This should be with a view to developing a Commons Budget Office.
128.We expect this report to catalyse discussion across the House about the adequacy if its current arrangements for ex ante scrutiny of Government spending. We offer one model to address the scrutiny deficit.
129.We recommend that the House debate the deficiency in its existing scrutiny function as a matter of urgency, seeking the constructive engagement of the Treasury, the Liaison Committee and other select committees to address the deficit. Should the House resolve that the scrutiny deficit be remedied by a budget committee, we stand ready to advise on its establishment in due course.
Published: 9 July 2019