The Government has announced that it will make changes to the Treasury’s ‘Green Book’ and the way in which Treasury officials appraise public spending proposals.
It follows the conclusion of a review set up in response to criticism that current guidance “may mitigate against investment in poorer parts of the UK”.
The review examined current guidance on appraising environmental impacts in view of the Government’s legally-binding commitment to end the UK’s contribution to total global greenhouse emissions by 2050.
It concluded that appraisal advice and decisions “can rely heavily on a Benefit:Cost Ratio that is unrelated to a compelling strategic case, in order to justify the project”.
While the BCR is a useful metric for capturing quantifiable costs and benefits, the report said that “there is a tendency to place an inappropriate emphasis on it”.
- For the FULL story, read RAIL 919, published on December 2, and available digitally from November 28.