Treasury begins review of response to financial crisis

The Treasury has begun a review of its response to the financial crisis and handling of the aftermath, focusing on its structure, management and resources.

The review follows recommendations from the Public Accounts Committee and the National Audit Office, and is being led Sharon White, formerly a Director General at the Ministry of Justice and the Department for International Development.

It will examine the Treasury's capability on financial services ahead of the crisis and the pace at which the Treasury built its capability when the crisis hit.

The review will also look at whether the capability and senior management arrangements put in place to handle the crisis and the aftermath have been adequate.

Findings from the review will inform decisions on organisational arrangements of the Treasury as part of its Spending Review settlement.

Recommendations made by the review will aim to ensure the Treasury has the capability it needs going forward, and has robust arrangements for risk management, contingency planning and knowledge management.

The review will also advise on improving the retention of people with the necessary skills, expertise and experience.

However the review will not assess the effectiveness of the policy decisions which were taken by the Treasury.

The final report will be publicly presented to the Treasury's executive management board by Easter 2012.