Upkeep of Historic Buildings on the Civil Estate
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NATIONAL AUDIT OFFICE REPORTBY THE COMPTROLLERAND AUDITOR GENERAL Upkeepof Historic Buildingson the Civil Estate ORDEREDBY THEHOUSEOFCOMMONS TO BE PRINTED 13 NOVEMBER1991 LONDON: HMSO 37 f7.50 NET UPKEEP OF HISTORIC B”LDlNGS ON THE CI”L ESTATE This report has been prepared under Section 6 of the National Audit Act, 1983 for presentation to the House of Commons in accordance with Section 9 of the Act. John Bourn National Audit Office Comptroller and Auditor General 7 November 1991 The Comptroller and Auditor General is the head of the National Audit Office employing some 900 staff. He, and the NAO are totally independent of Government. He certifies the accounts of all Government departments and a wide rangeof otherpublic sector bodies; and he hasstatutory authority to report to Parliament on the economy, efficiency and effectiveness with which departments and other bodies use their resources. UPKEEP OF HISTORIC BUILDINGS ON THE CIVIL ESTATE Contents Pages Summary and conclusions 1 Part 1: Background and scope 5 Part 2: Condition of Historic Buildings 8 Part 3: Central arrangements 11 Part 4: Departmental arrangements: Property Holdings 13 Part 5: Departmental arrangements: HM Customs and Excise 16 Part 6: Departmental arrangements: The Lord Chancellor’s Department 19 Appendices 1. Management of building maintenance: Value for money 21 2. Five buildings inspected by the National Audit Office Consultant Surveyors 23 3. Examination of four Historic Buildings 30 4. Maintenance responsibilities 39 5. Building maintenance records examined by the National Audit Office 40 “KEEP OF HISTORIC BUILDINGS ON THE CIVIL ESTATE Summary and conclusions 1 The Nation’s built heritage includes nearly 600 historic buildings which form part of the Government’s Civil Estate of over 8,000 buildings. The Government are committed to the preservation and conservation of the built heritage and departments responsible for the upkeep of historic buildings are required to look after them expertly and sensitively. They are required to aim for the highest standards of conservation. These commitments were set out in the Environment White Paper “This Common Inheritance” (Cm 1200 September 1990). 2 In April 1990 there were major changes in responsibilities for the upkeep of the Government’s Civil Estate. Control of around 40 per cent of the properties passed from the former Property Services Agency to departments. The remaining 60 per cent formed the Common User Estate which is managed by Property Holdings. With the agreement of Property Holdings, departments may, however opt to assume all, or some, responsibility for maintenance of particular Common User Estate properties. 3 Against this background the National Audit Office examined: . the condition of historic buildings and the cost of any outstanding maintenance when responsibility for managing the Civil Estate passed to departments and Property Holdings in April 1990 (Part 2); . the central arrangements, notably the role of the Conservation Unit (Part 3): and . what Property Holdings, HM Customs and Excise and the Lord Chancellor’s Department are doing to eliminate the maintenance backlog and to keep their historic buildings in a good state of repair at minimum long-term cost (Parts 4-6). The condition of 4 To assess the overall condition of historic buildings and the extent of any Historic Buildings backlog of maintenance when departmental responsibilities changed in April 1990, the National Audit Office examined the main features of the former Property Services Agency’s systems and related records, including those for a sample of 31 properties. The National Audit Office commissioned consultant surveyors, Watts and Partners, to advise on best practice, to develop criteria for achieving value for money from building maintenance and to carry out overview surveys of five of the buildings. The National Audit Office’s main findings and conclusions were: (a] The Property Services Agency estimated that the maintenance backlog on the whole of the Civil Estate at 31 March 1990 was about El53 million, including El35 million classified as either unavoidable or essential. But the Agency did not identify how much related to historic buildings (paragraph 2.2). (b) In 1985 the Property Services Agency began a programme of quadrennial inspections of historic buildings to identify, prioritise and assess the cost of restoration and conservation work. By March 1990 the 1 UPKEEP OF HlSTORlC BUlLDlNGS ON THE CIVIL ESTATE Agency had inspected 74 per cent of the buildings where an inspection was due (paragraph 2.3). (cl Of 254 quadrennial inspection reports examined by the National Audit Office, only 59 per cent contained costed recommendations (paragraph 2.4). Cdl The quadrennial inspection reports were of variable quality and often lacked essential information on cost, timing and priority of maintenance (paragraph 2.4). According to the inspection reports available, the condition of 26 of a sample of 31 buildings was fair or better. But in only six cases had conservation action plans been prepared (paragraph 2.5 and Table 3). (f) The maintenance records relating to the sample of 31 buildings were incomplete. It was not possible to establish the link between maintenance recommendations and the cost, timing and nature of the work carried out (paragraph 2.6). k) The National Audit Office’s consultant surveyors’ inspection of five of the 31 buildings identified: a poor standard of housekeeping maintenance by the occupiers, for example, uncleared gutters; unsympathetic repairs to the historic fabric of buildings, some of which had occurred before the Property Services Agency assumed maintenance responsibility; and some deficiencies in health and safety standards, for example, unsafe access ladders and walkways to roofs (paragraph 2.7 and Appendix 2). (h) The National Audit Office’s detailed reviews of four other buildings showed that the Agency were capable of achieving a high standard of conservation work (York Crown Court): that untimely maintenance can lead to expensive restoration (Dundee Custom House); and that some buildings (7 to 9 Babmaes Street and Teddington Hall) had been allowed to deteriorate well below the statutory standards required of private sector owners (paragraph 2.8 and Appendix 3). 5 The National Audit Office noted that the Property Services Agency had operated well-established systems for identifying, planning and carrying out maintenance work. But, because of the unreliability of the Agency’s records, it was not possible to form an opinion on the condition of the historic estate as a whole or to quantify the cost of clearingthe maintenancebacklog. Nevertheless, the evidence examined by the National Audit Office suggests that, while recognising the funding constraints to which the Property Services Agency drew attention, there is much work to be done to improve the standard of conservation and to safeguard the built heritage. The Conservation 6 Following the reorganisation of the Property Services Agency in April 1990 Unit responsibility for the Conservation Unit transferred to Property Holdings. The National Audit Office examined the role of the Unit and found: (a) The Unit provide a valuable advisory service to departments on conservation matters (paragraphs 3.8 and 3.13). (b) The Unit are preparing a computerised register of historic buildings containing information which will be available to all departments (paragraph 3.8). (c) The Unit are developing a database of private sector specialist 2 UPKEEP OF HISTORIC BUILDINGS ON THE CIVIL ESTATE consultants on which departments can draw. They are also revising their handbook and publicising their services, which are free to departments (paragraphs 3.8 to 3.10). (4 Until 1987-88 the Unit prepared an annual report on conservation work on the Civil and Defence Estates. There is now no such overview of achievement and plans for historic buildings on the Government estate. However, specific proposals to address these points are being developed by the Conservation Unit (paragraph 3.13). 7 In the National Audit Office’s opinion the Conservation Unit, which the Property Services Agency established in 1978, have an important part to play in the achievement of the Government’s conservation aims. But, with the change of responsibilities in April 1990, departments need to be better aware of the Unit’s services and to co-operate in providing information to inform the new database of historic buildings. 8 Although the Conservation Unit cannot dictate to others, their advisory role could be strengthened by an appropriately fuller knowledge of the state of historic buildings within Government. Property Holdings may therefore wish to explore how such information could most readily be provided; and whether they should be informed of departments’ conservation achievements. For their part, departments need to consider how to account for their conservation work. As a first step they might set objectives and targets for this work and record performance in their annual reports. Departmental 9 Departments need to develop soundly based maintenance strategies. This arrangements will help ensure, amongst other things, that the upkeep of historic buildings meets the Government’s conservation aims. These strategies require comprehensive records for each building, clearly defined maintenance standards, priorities and inspection procedures and a careful determination of the financial and human resource needs. The National Audit Office examined the systems and procedures introduced in