The Government has confirmed plans to create property vehicles for the Central London and
In the Spending Review, Chancellor George Osborne confirmed the establishment of a Government Property Unit – announced in the previous government’s final Budget – to oversee the vehicles.
The Spending Review reports: “In order to support deficit reduction, the Government will continue to look into the potential sale of other public sector assets, including property holdings, which could operate more sensibly and efficiently in, and with, the private sector.
“ Central government functions will be subject to a tough new efficiency regime, monitored and supported by the new Efficiency and Reform Group in the Cabinet Office. Part of this work will address the key findings of Sir Philip Green’s Review, ensuring that the Government is using its scale as effectively as possible in common areas of spending such as procurement, property and major contracts.
The Efficiency and Reform Group have already made good progress, their contract renegotiations are expected to deliver £800m of savings this year.”
It adds: “The Government will introduce a new system of national property controls across the central civil and operational estate.
“In addition, the Government believes there could be substantial gains to be made from a more coordinated approach to property asset management in the public sector.
“It has established a Government Property Unit, which as a first step will set up property vehicles for the Central London and
paul.norman@estatesgazette.com
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