Government’s Estates Maintenance Backlog Worth at Least £49 Billion

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23 January 2025

The public spending watchdog has raised concerns over the maintenance backlog of the government estate.

The backlog is estimated to be at least £49 billion, affecting hospitals, schools, job centres, courts, prisons, museums, research facilities, offices and warehouses. This equates to approximately four per cent of the government’s total expenditure in 2023-24, or around £710 for each UK resident.

 

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Poor Quality Data on Government Estate

 

However, the true cost of the backlog is unknown due to the poor quality of government data on its building stock. The data has been described as  “incomplete”, “out of date” and using “inconsistent definitions”, directly affecting the government’s ability to make strategic decisions on property.

Here are some examples of poor quality data:

 

• The Cabinet Office does not regularly publish information on the condition of government property and the backlog, as it is incomplete
• The most recent attempt by the Office of Government Property to quantify the maintenance backlog in March 2022, did not include data on the MoD’s property, except for single living accommodation for service personnel.
• HM Prison and Probation Service’s calculation of replacement costs for probation centres is based on 2019 values.
• Organisations include different costs in their calculations of the backlog, preventing effective comparison

 

On average, between 2019-20 and 2023-24, around 5,400 clinical service incidents occurred in the NHS each year due to infrastructure failures. 5 out of 17 main government departments report that risks relating to property failure, safety or suitability as one of their principal risks.

 

Who’s to Blame?

 

Matthew Taylor, chief executive of the NHS Confederation blames the backlog on “starving services of vital capital funding.”  He said: “….The NHS has been given insufficient capital, with capital funding pots being raided time and again to prop up deficits which stemmed from a decade of underinvestment. NHS leaders consistently tell us that a lack of capital is limiting their ability to tackle backlogs and boost productivity. 

Gareth Davies, Head of the National Audit Office (NAO) said: “Allowing large maintenance backlogs to build up at the buildings used to deliver essential public services is a false economy. Government needs better data on the condition of its operational assets and should use it to plan efficient maintenance programmes to deliver better services and value for money.” 

 

What does the National Audit Office Recommend?

 

The NAO recommends improvements in data as a first step, to address the true scale of the problem. Government departments and arms-length bodies should use a standardised condition and backlog data tool to provide data for the 2026-27 State of the Estate report.

Government departments should also produce long-term property plans, setting out capital needs and a plan to reduce their backlog.

Picture: a close up image of a metal spanner. Image Credit: PX Fuel

Article written by Ella Tansley | Published 23 January 2025

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