A new report has slammed a £3billion overspend on major capital projects in Northern Ireland as unacceptable and unsustainable.
The Stormont Public Accounts Committee has declared that the current system for managing large-scale capital projects is "not fit for purpose" and is advocating for the consideration of an independent oversight body in Northern Ireland.
Furthermore, the committee is questioning why recommendations from a report five years ago have not been fully actioned.
Major capital projects are those with an estimated cost of more than £25million.
According to the report, there were 78 such projects under the management of Stormont departments from April 2019 until last summer.
These projects include significant construction endeavours like the new Belfast maternity and children's hospitals; the A5 and A6 road upgrades, and the Belfast Transport Hub.
Daniel McCrossan, chair of the Public Accounts Committee, expressed concern: "Our follow-up work in this area was prompted by a Northern Ireland Audit Office (NIAO) report in early 2024 which said delays in current projects meant they could cost £2.45 billion more to complete than originally estimated.
"An updated position from NIAO last summer showed that the overspend has continued to rise and is now more than £3 billion over original budgets, an escalation that is simply unsustainable.
"The Committee has been raising concerns in this area for years.
"In 2020, our initial report on major capital projects made 15 recommendations for improvement, relating to accountability mechanisms as well as time and cost overruns.
"A number of those recommendations have not progressed as the committee intended, and not all recommendations were accepted.
"Having revisited the major capital projects inquiry in September 2024, we have heard a lot in evidence sessions about ongoing, planned actions and future aspirations but little in the way of real progress and how these projects could be delivered more efficiently and effectively.
"The committee is extremely frustrated by the lack of action taken to address delays and overspends."
Mr McCrossan stated that the committee received evidence from Jayne Brady, the head of the Northern Ireland Civil Service, along with senior officials from various departments including the Department of Finance; the Strategic Investment Board; the Nics Board and the Northern Ireland Audit Office.
Moreover, 12 additional recommendations have been put forward by the committee.
Cheryl Brownlee, the deputy chairwoman of the Public Accounts Committee, added: "Our view is that the current arrangements for delivering major capital projects are not fit for purpose and that the establishment of an independent oversight body in Northern Ireland must be considered.
"A review of leadership and governance is also urgently required.
"We also want to see an annual progress report published on the delivery of all major capital projects and that the Department of Finance takes the lead role in monitoring this.
"Regrettably, the committee is also repeating its recommendation that Nics urgently addresses the lack of professional and technical skills, to ensure project teams have the necessary capacity and capability to successfully deliver major capital projects."
The report highlighted the "continued escalation of cost overruns is unacceptable".
It added: "In 2015, the Northern Ireland Executive identified seven flagship infrastructure projects as its highest priority projects which were allocated funding over a five-year period, rather than the usual single year budget allocation.
"At the time of the 2024 NIAO report only one of the Executive 's flagship projects had fully completed, with a second having completed by the time of this committee report."
Addressing evidence presented, the statement read: "During the evidence session the committee heard much about ongoing and planned actions, along with future aspirations."
However, the report remarked, "However, there was little evidence of any impactful action taken to date which has generated tangible improvements to the delivery of major capital projects in Northern Ireland.
"Given the time elapsed since this committee's previous report on this issue, this lack of positive change is unacceptable and the committee is extremely frustrated by the lack of action taken to address ongoing delays and cost overruns."
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