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Displaying 1659 contributions
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
With the revised standards, it takes more effort to get to that point for colleges than it does for other bodies. Fundamentally, is that what you are saying? That then reflects the bids that you get from the private sector. Is that the fundamental driver?
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
Yes. Are you able to share with the commission in writing the standards that have driven the increase? I will not ask you to enumerate them now.
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
What is it about the college sector that requires that much? It is such a substantial amount more.
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
Do you check the bids against what you think it would cost you to do the work yourself?
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
Why is there a 60 per cent gap?
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
One of the issues that I stood out when I was reading through the document concerned your plans on innovation. The budget proposal outlines a reduction in capital requirement from £250,000 in 2022-23 to £150,000 in 2023-24. Given the increasing burdens and complexity—and, indeed, additional people you need—I might have expected you to have an associated increase in your capital requirement with regard to IT systems and automation to deal with that. What is the explanation for the reducing capital requirement?
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
I am not sure that I entirely follow what you have just set out. When you talk about market costs, are you saying that, in essence, the costs of the next-best alternative are forgone—in other words, if you went to the market, that is what would be charged—or are you saying that it is just 57.5 per cent more expensive to audit a college because of the nature of the work and the things that you have to verify? If so, could you explain that? Are you saying that there has been a change in circumstances in that sector compared with others and compared with previous years?
Ultimately, we are saying that the costs are going up. Has there been a change in what you are required to audit? What makes doing an audit of a college more than a half more expensive than it was previously, compared with audits of local government and the NHS? If you were to ask me to guess, I would have said that what they do is more complicated than what a college does and, therefore, they would be more complicated to audit. Where does the cost come from?
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
The other things that obviously impact on that salary line are the overall numbers and your turnover. Can I clarify what the turnover numbers are? I see that in appendix 4 there is a 2 per cent vacancy turnover assumption. Is that the assumption and how is that borne out compared to the actual turnover rate over the last period?
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
Four per cent delta is quite large if your actuals are at 6 per cent but your plan in front of us is 2 per cent.
Meeting of the Commission
Meeting date: 14 December 2022
Daniel Johnson
Okay. Thank you very much. [Interruption.] I obviously have the chair looking at that now; I am finished, chair.