## The Law Officers' Departments

This document is part of a series of Departmental Reports (Cm 7091 to Cm 7117) which, along with the Main Estimates 2007-08, the document Public Expenditure Statistical Analyses 2007 and the Supplementary Budgetary Information 2007-08, present the government's expenditure plans for 2006 to 2009. The complete series of Departmental Reports and Public Expenditure Statistical Analyses 2007 is also available as a set at a discounted price.

## The Law Officers' Departments

Presented to Parliament by the Attorney General and the Chief Secretary to the Treasury by Command of Her Majesty May 2007

## © Crown Copyright 2007

The text in this document (excluding the Royal Arms and departmental logos) may be reproduced free of charge in any format or medium providing that it is reproduced accurately and not used in a misleading context. The material must be acknowledged as Crown copyright and the title of the document specified. Any enquiries relating to the copyright in this document should be addressed to The Licensing Division, HMSO, St Clements House, 2-16 Colegate, Norwich, NR3 1BQ. Fax: 01603 723000 or e-mail: licensing@cabinet-office.x.gsi.gov.uk

## Contents Foreword

| Introduction                        |
|-------------------------------------|
| Law Officers' Departments Structure |
| Attorney General's Forward Strategy |

Part 1
Law Officers' Departments
Part 2
Crown Prosecution Service

Crown Prosecution Service Common Core Tables

Part 3
Revenue and Customs Prosecutions Office
Part 4
Serious Fraud Office

Serious Fraud Office Common Core Tables
Part 5
Treasury Solicitor's Department
Attorney General's Office
HM Crown Prosecution Service Inspectorate Treasury Solicitor's Department Common Core Tables

## Glossary Foreword

This Report outlines the strategy which supports my vision. For the Crown Prosecution Service (CPS), Revenue and Customs Prosecutions Service (RCPO), Serious Fraud Office (SFO), HM Crown Prosecution Service Inspectorate (HMCPSI) and my own Office, it ties in with the vision outlined last July in 'Rebalancing the criminal justice system in favour of the law-abiding majority'1. But the developmental priorities of the strategy are equally important to the Treasury Solicitor's Department, which provides litigation policy and advisory services to other government departments. The report covers the many activities which each Department has contributed during the last year. It also, for the first time, identifies separately some activities common to the Departments, including a report on the ten-point Prosecutors' Pledge which now applies to all the main prosecutors. The list of developments over the last five years is lengthy:

G Establishing the RCPO G CPS Charging G Responsibility for victims and witnesses through No Witness No Justice, Direct Communication
and the Code of Practice for Victims of Crime
G Conditional Cautions G New powers under the Serious and Organised Crime and Police Act G Ability to vet police investigations in terrorist cases to determine if extra time should be sought G Ability to appeal terminating rulings G Ability to interview witnesses pre-trial G Ability to obtain anti-social behaviour and football banning orders G Ability to seek confiscation and compensation orders under the Proceeds of Crime Act G Greater advocacy by CPS prosecutors and greater powers for designated caseworkers
Some five years ago, I set out my vision of prosecutors offering a world-class service and an enhanced role at the heart of the Criminal Justice System (CJS). The Treasury Solicitor's Department (TSol) shares in that view of service and together the Law Officers' Departments have made consistent progress. I am pleased to report that 2006-07 saw further significant achievements. 

G Sustained reputation for the SFO in the international field for providing effective and
professional mutual, legal assistance to overseas authorities
G Extension of the work of HMCPSI to cover inspection of RCPO, and the Overall Performance
Assessment programme of the CPS 
G Sustained reputation for TSol in the continued high client satisfaction ratings for its legal
services
We have also continued to work trilaterally with CJS colleagues. Prosecutors play a key role in helping to maintain public confidence in the CJS. This role will continue in the future as the trilateral arrangements are preserved following the announcement of the new Ministry of Justice.

Under the new arrangements, prosecuting authorities remain independent and subject to my statutory superintendence. We shall work as joint partners with the Home Office and the Ministry of Justice as we did with the Home Office and Department for Constitutional Affairs (DCA). I am proud of the achievements both in 2006-07 as detailed in this report and over the last five years. But they could not have been implemented without the hard work and commitment of staff throughout the Law Officers' Departments. I appreciate and congratulate them on their achievements. There are challenges going forward, not least to further our drive towards a world-class service against the background of tighter financial provision announced in the recent Budget. I have no doubt of your continued commitment.

## Introduction The Work Of The Law Officers' Departments

The Law Officers are the Attorney General and the Solicitor General. They:

G Are principal legal advisers to the Crown and to Ministers; 
G Discharge their statutory responsibility for superintendence2 of the Directors of Public
Prosecutions in England and Wales and Northern Ireland, the Director of the SFO and the Director of RCPO;
G Have a general oversight of all prosecutions in England and Wales;
G Are Ministers within the CJS together with the Ministers of the Home Office and Department
for Constitutional Affairs (DCA).3
The Law Officers also have responsibility for bringing certain types of legal proceedings in their own name in the public interest and for granting consent to prosecutions for offences. The Attorney General appoints Advocates to the Court, to assist the courts in civil and criminal proceedings and Special Advocates in proceedings brought before the Special Immigration Appeals Commission and in certain other proceedings. In addition the Attorney General holds the separate post of Attorney General for Northern Ireland. In that role, he superintends the Director of Public Prosecutions for Northern Ireland and appoints and is responsible for the Crown Solicitor.

The Law Officers' Departments comprise the Attorney General's Office (AGO)4, the CPS, HMCPSI, the RCPO, the SFO and the TSol.

The Attorney General's Office is a separate Department, for which the Treasury Solicitor acts as Accounting Officer. Details of its administration are therefore included with those of TSol.

AGO provides high-grade legal and strategic policy advice and support to the Law Officers. It ensures appropriate co-ordination across the Law Officers' Departments and contributes towards developing with the CPS, RCPO and SFO the cross-cutting policies of the CJS.

The Crown Prosecution Service, which is headed by the Director of Public Prosecutions, was established by the Prosecution of Offences Act 1985. It is responsible for deciding independently whether criminal proceedings begun by the police in England and Wales should be continued; for deciding the charge in all but minor cases; and for prosecuting those cases it decides to continue.

HM Crown Prosecution Service Inspectorate reports to the Attorney General on the performance of the CPS and RCPO. Like AGO, details of its administration are included with those of TSol.

The Revenue and Customs Prosecutions Office, formerly the Customs and Excise Prosecutions Office, was created on 18 April 2005 through the merger of the Customs and Excise Prosecutions Office (CEPO) with the prosecuting arm of the Inland Revenue. CEPO had become accountable to the Attorney General in April 2002, following the recommendation of His Honour John Gower and Sir Anthony Hammond that criminal prosecution work should be independent of the intelligence and investigation work carried out by HM Customs and Excise. A Memorandum of Understanding is in place between the Paymaster General on behalf of HM Treasury, the Attorney General, the Commissioners for HM Revenue and Customs (HMRC) and the Director of RCPO concerning the relationship between HMRC and RCPO as to the conduct of criminal investigations and prosecutions by the two departments.

The Serious Fraud Office was established by the Criminal Justice Act 1987. It investigates and prosecutes the most serious or complex cases of fraud in England, Wales and Northern Ireland, thereby contributing to the deterrence of such fraud.

The Treasury Solicitor's Department provides legal services to most Government departments.

The Treasury Solicitor is also Head of the Government Legal Service, the organisational name for the legal teams in most central Government bodies.

## Delivering The Attorney General'S Aim - Forward Strategy

Each of the Law Officers' Departments has differing roles, responsibilities and approaches to delivery of their services, tailored to its departmental caseload. But the common vision is to provide first class public services that meet the needs of victims and communities so that:

G People feel more secure from crime and anti-social behaviour; fewer people's lives are ruined
by drugs; and communities are safer places to live and work;
G More offenders are brought to justice and proceeds of crime are recovered through a modern
and efficient justice process;
G The UK is a more prosperous country because investments are secure and tax revenues
protected;
G The public has confidence and trust in the CJS and the work of the Law Officers' Departments;
G Through the performance of the Law Officers' role as the government's chief legal advisers and
through the legal services that the Treasury Solicitor provides across government, the best legal support is given to departments in their delivery of quality public services and in their management of their business and people.
The Law Officers with the CPS, RCPO, SFO and HMCPSI are part of the CJS and have joint responsibility with the Home Office and DCA to achieve the delivery of justice targets in the 2004 CJS Public Service Agreement (PSA):

G Improve the delivery of justice by increasing the number of crimes for which an offender is
brought to justice to 1.25 million by 2007-08; and
G Reassure the public, reducing the fear of crime and anti-social behaviour, and building
confidence in the CJS without compromising fairness.
They also share in the cross-CJS strategy outlined in July 2006 in 'Rebalancing the Criminal Justice System in favour of the law-abiding majority'.5
To deliver the Attorney General's aim, the Ministerial Vision for the wider CJS and the CJS targets, the prosecuting departments will focus on three service priorities, with plans tailored to the distinct roles of each Law Officers' Department. To increase the capacity to deliver those service priorities, their focus will be on three developmental priorities. The developmental priorities apply equally to the Treasury Solicitor's Office in its legal support to other government departments.

Service priorities:
G Strengthening the prosecution process; G Putting victims and witnesses at the heart of the process; G Engaging with the communities we serve.
Developmental priorities:

G Building strong partnerships to drive change and delivery across the CJS and shape the CJS of
the future;
G Becoming an employer of choice; G Joining up the Law Officers' Departments better to share common interests and practice.
Strengthening the prosecution process by prosecutors playing an active role from the start to finish of a case, working with the police and other investigators to build the strongest case:

G CPS taking responsibility for Charging with a view to encouraging more guilty pleas; fewer
cases being discontinued; and more cases resulting in conviction;
G Using new prosecutorial powers under the Serious Organised Crime and Police Act, to obtain
anti-social behaviour and football banning orders and conditional cautions;
G Conducting pre-trial interviews with witnesses to relate likely evidence to appropriate charges
in order to bring more offenders to justice; encourage early guilty pleas; ensure fewer ineffective trials from witness non-attendance; increase witness and victim satisfaction;
G Recovering proceeds of crime through making confiscation the norm where the convicted
criminal benefited from the crime; increasing victim satisfaction and public confidence;
G RCPO focusing more closely on successful prosecutions and appeals; improving the perceptions
of the judiciary and legal community;
G Creating a robust prosecution capacity to complement the establishment of the Serious and
Organised Crime Agency (SOCA); to strengthen the response to organised crime again; bring faster and more successful extraditions; make more cases subject to asset recovery provisions;
G Active case management with prosecutors constantly reviewing prosecution cases and
plugging evidential gaps by working closely with the police and other investigators to build more robust prosecutions; comply with disclosure and other statutory provisions; and improve
the time within which offenders are brought to justice; 
G Electronic presentation of evidence, an essential tool in the prosecution of cases where
numbers of witnesses and documents are significant.
Putting victims and witnesses at the heart of the process, transforming the approach to victims and witnesses across the CJS. This means giving victims and witnesses more information about decisions and progress; supporting vulnerable victims through the ordeal of going to court; and tackling witness intimidation:

G Improving prosecutors involvement so that the needs of victims and witnesses are identified
early, improving their willingness to report crimes; reducing ineffective trials; increasing victim and witness satisfaction; and improving conviction through better quality evidence;
G Effective trial management with prosecutors providing a single point of contact for victims;
giving more and better information to witnesses leading to fewer adjournments;
G Ensuring the victim's voice is heard in court by prosecutors presenting the views of the victim;
challenging inaccurate and unfair mitigation so that offenders receive appropriate sentences; and the victim and community feel increased reassurance.

## Engaging With Communities So That Prosecutors Actively Seek The Views Of The Community When Shaping Prosecution Policies:

G Community Justice programmes, with prosecutors working with police, courts, local authorities
and social services to tackle anti-social behaviour and low-level criminality highlighted by local communities and local crime and disorder partnerships;
G Taking forward Community Engagement Strategies; G SFO contacting the regulated and business sectors contributing to local police initiatives so that
fraud awareness and avoidance lessons are passed on to the local business community.

## These Proposals Should Ensure A Reduction In Anti-Social Behaviour, An Increase In Public Confidence And Encourage More People To Come Forward To Report And Give Evidence Against Crime.

Building strong partnerships, through prosecution being at the centre of many mutual dependencies within the CJS and looking outward towards the international community:

G Greater contribution to national bodies and Local Criminal Justice Boards; G A clearer role for all prosecutors including determining the role to be played by the SFO and
RCPO within the CJS and integrating them into CJS partnerships;
G Criminal justice reform measures that are informed by experience across the frontline; G International co-operation, acknowledging that crime does not respect national boundaries; G A joined-up Inspection regime.

## The Impact Of Effective Partnerships Will Be Seen In The Delivery Of The Cjs Targets.

Employer of choice reflects the commitment to making the Law Officers' Departments places to which some of the brightest and most committed professionals are attracted, to pursue rewarding and interesting careers and be recognised and respected for offering a valued service:

G More Higher Court Advocates in the Crown Court; G More  Designated Caseworkers presenting a wide range of cases in the magistrates' courts; G Regular review of equality and diversity polices to achieve a representative workforce and a
reputation for fairness in employment as well as comply with legislation; 
G Legal trainee and scholarship schemes offering opportunity to those with the talent and desire
to qualify as prosecutors; 
G Developing leadership and management skills of senior lawyers; G Having the ultimate goal that prosecutors will be eligible to apply for judicial Crown Court
appointments, improving career progression for lawyers and opening up an untapped reservoir of talent and diverse applicants.

## Success Will Be Measured By More Effective Prosecutions; Improved British Crime Survey Statistics On Public Confidence; Feedback From Judiciary And Staff Attitude Surveys; Levels Of Credible Applications For Vacancies; And Improvements In Sick Absence Rates.

Joining up the Law Officers' Departments to communicate best practice, identify efficiencies and, where appropriate, re-direct resources to improve frontline delivery:

G Identifying efficiencies in co-operation over administrative functions; G Looking to common IT solutions; G Sharing training and transferring skills between departments; and looking at the feasibility of a
professional accreditation for non-legal staff;
G Reviewing governance structures following the creation of RCPO and changes in HMCPSI, in
particular the way risk is managed.

## Success Will Be Measured By Achieving Departmental Value For Money Targets. Law Officers' Departments 1 Law Officers' Departments Law Officers' Departments

The Law Officers' Departments are working together to increase benefits for all. Joint working is a key element of the Attorney General's vision and further work will be initiated throughout 2007-08.

## Prosecutors' Pledge

On 21 October 2005, the Attorney General introduced a 10-point Prosecutors' Pledge that sets out the level of service that victims can expect to receive from prosecutors:

G Take into account the impact on the victim or their family when making a charging decision. G Inform the victim where the charge is withdrawn, discontinued or substantially altered. G Where practical, seek a victim's view or that of the family when considering the acceptability of
a plea.
G Address the specific needs of a victim and, where justified, seek to protect their identity by
making an appropriate application to the court.
G Assist victims at court to refresh their memory from their written or video statement and
answer their questions on court procedure and processes.
G Promote and encourage two-way communications between victim and prosecutor at court. G Protect victims from unwarranted or irrelevant attacks on their character and may seek the
court's intervention where cross examination is considered to be inappropriate or oppressive.
G On conviction, robustly challenge defence mitigation which is derogatory to a victim's
character.
G On conviction, apply for appropriate order for compensation, restitution or future protection of
the victim.
G Keep victims informed of the progress of any appeal, and explain the effect of the court's
judgement.
From 21 July 2006, all major prosecuting authorities will follow the Pledge. The Pledge underpins the new Attorney General's Guidelines outlining the important role that prosecutors play in protecting victims' interests at key stages of the criminal justice process in particular in accepting pleas and at sentencing. Examples of how each of the Attorney's departments honour this Pledge can be found throughout the report and specifically in sections titled, Championing Victims and Witnesses.

## Freedom Of Information

The Freedom of Information Act 2000 (FOIA) came into full force on 1 January 2005. The Act gives a right of access to anyone, anywhere in the world, to recorded information held by public authorities. During 2006 the Law Officers' Departments dealt with a total of 641 requests and 39 internal reviews.

| CPS                  |   RCPO |   SFO |   TSol |   AGO |   HMCPSI |
|----------------------|--------|-------|--------|-------|----------|
| FOI requests         |        |       |        |       |          |
| 288                  |     18 |    42 |    214 |    67 |       12 |
| FOI internal reviews |        |       |        |       |          |
| 14                   |      0 |     3 |     16 |     6 |        0 |

## Consultancy

The Law Officers' Departments buy in external expertise to provide consultancy services. Consultancy may include providing advice, design and development, and implementation of specific projects. Consultancy services are used within the Law Officers' Departments where they provide value for money and where expertise is not already available within the individual departments. Staff substitution/interim management refers to the use of agency staff to cover permanent posts, i.e. to cover maternity leave. 

| CPS                 |   RCPO | SFO   | TSol £'000   |
|---------------------|--------|-------|--------------|
| Consultancy         |        |       |              |
| 4,086               |    177 | 551   | 916*         |
| Staff substitution/ |        |       |              |
| 4,332               |    400 | 1,320 | 99*          |
| interim management  |        |       |              |

*Includes figures for TSol, AGO and HMCPSI
TSol also spent £21 million on outsourced legal professional services in support of their core role of providing comprehensive and competitive legal services to government bodies and other publicly funded bodies. These include payments to Counsel, expert witnesses and solicitors agents inter alia. A significant amount of CPS consultancy expenditure has been for programme and project management skills to cover gaps in staff resources. There is an acknowledged shortfall of programme and project management skills throughout the Civil Service. The Cabinet Office has launched an initiative to increase skill levels in programme and project management across all departments and in response the CPS's Centre of Excellence is developing a cadre of trained programme and project managers.

## Shared Services

The Law Officers' Departments seek opportunities to share services wherever efficiencies can be generated and as current departmental contracts allow. In 2006-07, AGO and SFO renewed their shared IT contract. All four Departments negotiated a shared Human Resources contract providing recruitment and payroll facilities. RCPO is sharing TSol accounting and invoice payment service. Consideration of sharing further services is ongoing.

## Law Officers' Departments Sustainable Development

Sustainable Development (SD) reporting within the Law Officers' Departments has now been expanded to include HMCPSI and the RCPO. This brings a total of six departments within the Solicitor General's reporting structure. Each Department is represented on the Law Officers' Departments SD Steering Group which meets every two months to discuss progress and actions against the Law Officers' Departments SD Action Plan. This year has seen the publication of the Sustainable Operations Targets for the Estate (SOGE) and the government's response to the Sustainable Procurement Task Force Action Plan. The Law Officers' Departments have taken on board these changes by reviewing the SD Action Plan which will be published on each Departments website. The original plan was reviewed by the Sustainable Development Commission (SDC) and classed as "gaining momentum". The new plan has incorporated the SDCs comments and aims to continue and improve on the work so far. The 2005-06 Sustainable Development in Government Report was published in March 2007. The position reported for all departments was as at the 31 March 2006. The comments and observations made of the Law Officers' Departments have been taken on board and the points below demonstrate how the Law Officers' Departments have moved on from the period reported on in the above Report. In following their Action Plan during 2006, the Law Officers' Departments have expanded their data collection methods and expect to report in more detail in this year's SOGE report. Each Law Officers' Department has contributed to the improvement of SD, some notable successes are:

G TSol has moved to a building that is supplied by 100% Combined Heat and Power (CHP). They
have also reviewed water consumption and have planned measures to reduce consumption.
G All Departments are implementing the procurement "quick wins" when purchasing, replacing
or upgrading equipment. This will be further reflected in any IT refreshes that take place.
G A joint Law Officers' Departments Procurement Group has also been re-established to deal
with both procurement issues and the government's response to the Sustainable Procurement Task Force Action Plan. 
G HMCPSI are able to report a baseline figure for Waste Arisings as well as having carried out a
Recycling campaign. 100% of their electricity is now renewable.
G The SFO has reduced the number of "grey fleet" miles this year and are including water
reduction techniques in the refurbishment of their building. 
G The new furniture for the AGO has been purchased from sustainable sources and any unused
furniture is being disposed of sustainably.
G The quantity of renewable energy used by the CPS has increased to 79% and is expected to
be over 80% when revised figures are published.
G The CPS is a pilot member of the Office of Government Commerce Property Benchmarking
Scheme.
G The RCPO are reviewing their systems and setting up their own databases as appropriate.

## Equality And Diversity

Equality and diversity is a key theme in all of the Attorney General's departments. This is seen through the work of the Law Officers and how staff are recruited and treated. Examples of good practice include, the CPS introducing a Single Equality Scheme (which HMCPSI plan to do in 2007-08), RCPO finalising its updated Equality Scheme and Action Plan for publication; and HMCPSI are training all staff on the latest legislation and providing guidance where appropriate.

## Health And Safety

The Law Officers' Departments have an ongoing programme to increase awareness of health and safety. They ensure all issues are handled within the principles of corporate governance and comply with current Health and Safety regulation. Each department has undertaken a variety of work including annual Health and Safety days with topical themes to promote health and safety and good practices, promulgation of guidance and updated legislation, and personal safety training for staff. 

## Crown Prosecution Service Crown Prosecution Service Tables 2 Crown Prosecution Service Introduction Role

The Crown Prosecution Service (CPS) was set up in 1986 as an independent authority to prosecute criminal cases investigated by the police in England and Wales. In undertaking this role, the CPS:

G Advises the police during the early stages of investigations;
G Determines the appropriate charges in all but minor cases; G Keeps all cases under continuous review and decides which cases should be prosecuted; G Prepares cases for prosecution in court and prosecutes the cases with in-house advocates or
instructs agents and counsel to present cases; and
G Provides information and assistance to victims and prosecution witnesses.

## Code For Crown Prosecutors

Before charging a defendant and proceeding with a prosecution, Crown Prosecutors must first review each case against the Code for Crown Prosecutors. The Code sets out the principles the CPS applies when carrying out its work. Those principles are whether:

G There is enough evidence to provide a realistic prospect of conviction against each defendant
on each charge; and, if so,
G A prosecution is needed under the public interest.
The Director is under a statutory duty to publish the Code for Crown Prosecutors. The fifth edition of the Code was published on 16 November 2004 and reflects the current responsibilities for Crown Prosecutors to determine charges.  

## Human Rights Act

The CPS is a public authority for the purposes of the Human Rights Act 1998. In carrying out their role, Crown Prosecutors must apply the principles of the European Convention on Human Rights in accordance with the Act.

## Organisation

The CPS is headed by the Director of Public Prosecutions (DPP), Sir Ken Macdonald QC. The Director is superintended by the Attorney General who is accountable to Parliament for the Service. The Chief Executive is Peter Lewis, who took up this role in January 2007 and is responsible for running the business on a day-to-day basis, human resources, finance, business information systems, and business development, allowing the Director to concentrate on prosecution, legal issues and criminal justice policy. 

## Cps Areas

The CPS has 42 Areas across England and Wales. Each Area is headed by a Chief Crown Prosecutor (CCP) who is responsible for the delivery of a high quality prosecution service to his or her local community. A 'virtual' 43rd Area, CPS Direct, is also headed by a CCP and provides out-of-hours charging advice to the police. Three casework divisions, based in Headquarters, deal with the prosecution of serious organised crime, terrorism and other specialised prosecution cases. Each CCP is supported by an Area Business Manager (ABM), and their respective roles mirror, at a local level, the responsibilities of the DPP and the Chief Executive. Administrative support to Areas is provided through a network of business centres. The CPS works closely with the Home Office and Department for Constitutional Affairs (DCA) to ensure the Criminal Justice System (CJS) works effectively. The Service is reviewing its organisation to ensure the CPS continues to provide a high quality prosecuting service, in partnership with the police and other criminal justice agencies. 

## Links With Local Criminal Justice Boards

Local Criminal Justice Boards (LCJBs) bring together the Chief Officers of local criminal justice agencies to deliver the Public Service Agreement (PSA) targets in their Area and to drive through criminal justice reforms. Each LCJB has produced delivery plans to bring more offenders to justice, reduce ineffective trials and increase public confidence. Progress on the plans is reported to the National Criminal Justice Board (NCJB). The Attorney General, Solicitor General, DPP and CPS Chief Executive, along with the Home Secretary, Lord Chancellor and others, are members of the NCJB.  

## Office For Criminal Justice Reform

The CPS also works closely with the Office for Criminal Justice Reform (OCJR), which is the trilateral team drawn from the Home Office, DCA and CPS to support criminal justice departments, agencies, and LCJBs in working together to deliver PSA targets and to improve the service provided to the public.

## Aim

The CPS works in partnership with the police, courts, Home Office, DCA and other agencies throughout the CJS to reduce crime, the fear of crime, and its social and economic cost; to dispense justice fairly and efficiently and to promote confidence in the rule of law. The CPS's overall aim, which reflects the government's priorities for the CJS, is to:
Deliver a high quality prosecution service that brings offenders to justice, helps reduce both crime and the fear of crime and thereby promotes public confidence in the rule of law through the consistent fair and independent review of cases and through their fair, thorough and firm presentation at court.

## Cps Vision

The CPS aspires to be a world-class, independent prosecuting authority, at the heart of the CJS, providing a valued public service that meets the needs of victims, witnesses and communities, making a real difference to the lives of local people and helping to build a fairer and more decent society. This will be a Service that: 

G Strengthens the prosecution process to bring offenders to justice; G Champions justice and the rights of victims; G Inspires the confidence of the communities we serve; G Drives change and delivery in the CJS; G Is renowned for fairness, excellent career opportunities and the commitment and skills of all its
people; and
G Has a strong capability to deliver.

## Criminal Justice System Performance Public Service Agreement Targets

PSA targets were set for the CJS in the Spending Review 2004 (SR 2004) for 2005-08. The delivery of the targets, reported on at pages 22-23, are the responsibility of the Home Office, DCA and the CPS.

## Efficiency Savings

SR 2004 also requires the CPS to deliver £34 million efficiency savings by March 2008 (pages 24-26). The CPS has no workforce reduction target in SR 2004, but has set a target of relocating 20 posts by 31 March 2008.

## 2 Crown Prosecution Service Sr 2004 Progress On Delivery Psa Target 1:

Improve the delivery of justice by increasing the number of crimes for which an offender is brought to justice to 1.25 million by 2007-08.

An offence is said to have been brought to justice when a recorded crime results in an offender being convicted; cautioned; issued with a penalty notice for disorder; given a formal warning for possession of cannabis or having an offence taken into consideration by the court.

## Performance Measures Latest Outturn

Increase the number of crimes for which an offender is Ahead.

brought to justice to 1.25 million by 2007-08.

Latest performance shows that 1.399 million offences were brought to justice in the year to December 2006. This is a 39.6% increase since the year to March 2002.6

## Psa Target 2: Reassure The Public, Reducing The Fear Of Crime And Anti-Social Behaviour, And Building Confidence In The Cjs Without Compromising Fairness.

Public confidence in the CJS and the satisfaction of victims and witnesses is assessed using the British Crime Survey (BCS) and the Home Office Citizenship Survey (HOCS).7 Responsibility for the three assurance elements of the target lies with the Home Office. The three confidence elements, reported on below, are shared between the Home Office, DCA and the CPS.

| Performance Measures                                         | Latest Outturn                       |
|--------------------------------------------------------------|--------------------------------------|
| Improve the level of public confidence in the CJS.           | On course                            |
| .                                                            |                                      |
| This is determined using questions in the BCS which ask      | Baseline (BCS 2003):                 |
| whether the public believes the CJS is effective in bringing | Target (BCS 2007-08):                |
| people who commit crimes to justice.                         | Annual outturn (BCS 2005-06):        |
| Reduce the number of people in ethnic minority               | On course.                           |
| communities who believe the CJS would treat them             |                                      |
| Baseline (HOCS 2001):                                        | 33%                                  |
| worse than people of other races.                            |                                      |
| Target (The Citizenship Survey 2007):                        | A reduction                          |
| This is determined using questions in the HOCS which ask     | Latest outturn (HOCS 2005):          |
| whether people from a black or minority ethnic background    |                                      |
| believe the CJS would treat them worse than people of        |                                      |
| other races.                                                 |                                      |
| Increase satisfaction of victims and witnesses.              | On course.                           |
| This is measured using BCS questions on victim and witness   | Baseline (Six months to March 2004): |
| satisfaction with the CJS.                                   | Target (BCS 2007-08):                |
| Annual outturn (BCS 2005-06):                                | 59%                                  |
| Latest outturn (Year to December 2006):                      | 60%                                  |

7 HOCS is now The Citizenship Survey following the transfer of Communities Group from the Home Office to the Department of Communities and Local Government.

Latest outturn (Year to December 2006):
42%

## Crown Prosecution Service Delivering Efficiencies Introduction

SR 2004 set a new efficiency target for the CPS to deliver savings of £34.1 million in 2007-08. To achieve this overall target the CPS has set interim plans of £20.1 million in 2005-06, £26.6 million in 2006-07 and £34.1 million in 2007-08. The table below shows the efficiency targets per year, along with the discrete year savings made to date for 2004-05, 2005-06 and 2006-07.

| Workstream         | 2004-05   | 2005-06   | 2006-07   |   2007-08 |
|--------------------|-----------|-----------|-----------|-----------|
| CPS                | CPS       | CPS       | SR 2004   |           |
| Plan               |           |           |           |           |
| Actual             |           |           |           |           |
| Plan               |           |           |           |           |
| Actual             |           |           |           |           |
| 8                  |           |           |           |           |
| Plan               |           |           |           |           |
| Actual             |           |           |           |           |
| 8                  |           |           |           |           |
| *                  |           |           |           |           |
| Target             | Cashable  |           |           |           |
| £m                 |           |           |           |           |
| £m                 |           |           |           |           |
| £m                 |           |           |           |           |
| £m                 |           |           |           |           |
| £m                 |           |           |           |           |
| £m                 |           |           |           |           |
| £m                 | £m        |           |           |           |
| Charging Programme |           |           |           |           |
| 10.0               |           |           |           |           |
| 15.6               |           |           |           |           |
| 15.0               |           |           |           |           |
| 19.2               |           |           |           |           |
| 17.5               |           |           |           |           |
| 21.9               |           |           |           |           |
| 20.0               | 10.0      |           |           |           |
| Productive Time    |           |           |           |           |
| 1.3                |           |           |           |           |
| 2.4                |           |           |           |           |
| 3.8                |           |           |           |           |
| 33.8               |           |           |           |           |
| 6.1                |           |           |           |           |
| 42.3               |           |           |           |           |
| 8.1                | 4.3       |           |           |           |
| Procurement        |           |           |           |           |
| 0.3                |           |           |           |           |
| 0.6                |           |           |           |           |
| 0.5                |           |           |           |           |
| 2.5                |           |           |           |           |
| 1.0                |           |           |           |           |
| 3.7                |           |           |           |           |
| 2.5                | 2.1       |           |           |           |
| Corporate Services |           |           |           |           |
| -                  | -         | 0.8       |           |           |
| 1.1                |           |           |           |           |
| 2.0                |           |           |           |           |
| 2.5                |           |           |           |           |
| 3.5                | 1.1       |           |           |           |
| Total              | 11.6      | 18.6      | 20.1      |      56.6 |

* To December 2006
As at the end of the third quarter in 2006-07 the CPS had achieved efficiency savings of £70.4 million, this represents a positive result with the realised savings significantly higher than originally anticipated. The increased savings have primarily come through greater savings being realised through the Productive Time workstream from the COMPASS Programme and Advocacy Programme. The continued success of the CPS Efficiency Programme has been recognised with the Office of Government Commerce (OGC) agreeing that the CPS are on course to successfully deliver the efficiency target. 

The targets have and will be delivered through planned initiatives, broadly covering: 

G The implementation of the Charging programme, designed to improve the effectiveness and
the efficiency of the criminal justice process. Success is measured in terms of the improvement in the guilty plea rate, reductions in discontinuance and reductions in the proportion of cases that do not result in a conviction; 
G Improvements in productive time, measured through a survey of users of the COMPASS
Management Information System and in the deployment of Higher Courts Advocates (HCAs) and Designated Caseworkers (DCWs);
G Savings through HQ rationalisation, relocation and corporate services reorganisation, where
service levels and process quality have been measured and benchmarked and serve as quality performance measures. These are measured through the number of staff redeployed, overhead cost comparison, and transaction processing costs; and
G Improving procurement practices, which focuses on reducing the costs of goods and services
and is developing structured specification for goods and services for a range of suppliers whilst ensuring the quality of goods and services is maintained.  
The CPS expects productive time efficiencies to account for around 64% of planned savings by 2007-08 with another 27% coming from the Charging programme and the remainder through improved efficiency in the provision of corporate services and savings delivered through more effective procurement practices. Cashable savings are being re-invested in Charging, COMPASS and the Case Management System (CMS), and meeting new workload pressures on frontline staff.

## Actions Taking Place To Deliver Efficiencies

G All 42 CPS Areas are now operating under the new Statutory Charging arrangements which
were introduced by the Criminal Justice Act 2003.
G The structural reorganisation of Service Centres has been completed, including reducing the
number of Service Centres to deliver services to Areas as efficiently and effectively as possible.
G The COMPASS Programme completed an OGC led Gateway Review 5 on benefits realisation.
The COMPASS Benefits Annual Report for 2005-06 was published in July 2006. 
G All Areas are implementing local plans to increase the use of HCAs and DCWs as part of a
strategy to increase CPS in-house advocacy. Targets for HCA and DCW deployment for future years have been set in the light of experience to date. 
G Procurement initiatives have been implemented with the savings achieved exceeding the
2006-07 target of £1 million.
G There is no target for workforce reductions in the CPS efficiency plan. The CPS has set a
target of relocating 20 posts by 31 March 2008. Good progress is already being made with the CPS recording 43 posts relocated out of London and the South East as at the end of the third quarter in 2006-07.

## Crown Prosecution Service Plans For Delivering Efficiencies Over The Next 6-12 Months

G Following the rollout of the Statutory Charging programme to all 42 Areas and the
completion of Post Implementation Reviews across all 42 Areas, monitoring of benefits realisation will continue. 
G The Service Centre Review project will complete the programme of redeploying all displaced
staff. New Business Centres will have service level agreements in place with Areas and with HQ.
G The Advocacy Strategy Programme will review HCA and DCW targets for 2007-08 and
beyond, with the aim of accelerating in-house advocacy deployment at a greater rate than
originally planned.
G Review and re-negotiation of supplier contracts will continue to ensure that challenging
efficiency delivery targets for procurement are met.

## Cps Performance People

At the end of December 2006, the CPS employed a total of 8,189 people, 51 more than at the same time the previous year. This includes 2,779 prosecutors and 4,802 caseworkers and administrators. Over 92% of all staff are engaged in, or support, frontline prosecutions. The CPS has 740 prosecutors able to advocate in the Crown Court and on cases in the Higher Courts and 369 DCWs able to present cases in magistrates' courts.

## Workload

In 2006, the CPS provided 579,049 pre-charge decisions, completed 1,021,281 cases in magistrates' courts, and a further 92,759 in the Crown Court. This compared with a 2005 workload of 558,208 pre-charge decisions, 1,083,801 cases in magistrates' courts, and 91,385 cases in the Crown Court. 

## Case Outcomes

There were continued improvements in reducing unsuccessful cases. Magistrates' courts unsuccessful outcomes represented 16.1% of the total compared with 17.6% in the preceding year. Crown Court unsuccessful outcomes represented 22.7% of the total compared with 23% in 2005.

## 2 Crown Prosecution Service Resources

The CPS budget for 2005-06 to 2007-08 was set in SR 2004: 

£ million
2005-06
2006-07
2007-08
Outturn 
Forecast Outturn
Baseline Budget
Administration Costs
54
53
58
Programme Costs
546
562
574
Total
600
615
632

Over the three years up to 2007-08, the SR 2004 settlement represented an average increase in real terms of 3 per cent a year. From 2005-06 onwards, HM Treasury agreed to switch frontline costs, currently classified as administration costs, into programme costs. The baseline budget does not include the anticipated use of end year flexibility. Because of additional funding from Criminal Justice Information Technology for the development of the COMPASS CMS and to support No Witness No Justice (NWNJ); and funds from the Home Office to support the joint delivery of Government targets for recovering Proceeds of Crime and other initiatives, forecast expenditure in 2006-07 is higher than the original baseline provision of £595 million. The SR 2004 settlement required the CPS to:

G Deliver more challenging PSA targets; G Pay for the cost of the rollout of full Statutory Charging across England and Wales; G Improve the handling of victims and witnesses, promote their needs, ensure that victims' views
are represented and enable both victims and witnesses to give evidence effectively; and
G Deliver significant efficiency savings of £34 million by 2008.
The recently announced CSR 2007 settlement has identified a series of ambitious value for money reforms to be taken forward by the CPS and the other Attorney General's Departments.

## Regulatory Impact Assessments

The CPS is not a regulatory department but does contribute to Home Office impact assessments on criminal justice legislation and DCA impact assessments when appropriate.

## Strengthening The Prosecution Process Charging

Statutory Charging, which gives responsibility to CPS for deciding the charge for all but the most minor criminal cases, has been operational across all 42 Areas since 3 April 2006. CPS Direct, the out-of-hours telephone service which provides experienced prosecutors to give police Charging advice throughout the night and at weekends, continues to support the Charging arrangements. Following the rollout of the Statutory Charging programme, post implementation reviews of Charging schemes were conducted to ensure that effective procedures were in place and the anticipated benefits were being generated. These were completed across all Areas by December
2006. Work commenced in early 2007 to develop and test the provision of out-of-hours, face-to-face, Charging coverage with a view to implementation, where appropriate, in Areas during 2007-08. The Charging arrangements are already delivering considerable benefits. Prosecutors work closely with the police to build robust cases for prosecution that help to bring more offences to justice, increase the number of guilty pleas and reduce the number of cases that are discontinued. Figures for March 2007 show an increase in the guilty pleas rate from 40% to 71% in the magistrates' courts whilst the discontinuance rate in the magistrates' courts has fallen from 36% to 16%.

## Cps Direct

CPS Direct is a virtual CPS Area. Prosecutors work from home offices to make charging decisions on cases referred to the CPS outside the normal 9am to 5pm weekday working hours, and provide a 24-hour service throughout bank holidays and weekends. Over 130 prosecutors work from home offices and in 2006-07 they took 183,034 calls from the constabularies of England and Wales, and provided 127,911 advices and charging decisions to the police.

## Advocacy

The CPS continues to enhance its ability to provide its own, in-house, value for money, high quality advocacy in all courts. From April to December 2005, the value of counsel fee savings generated by HCAs was £3.1 million (exc VAT), equating to 5.9% of the total Crown Court Graduated Fee Scheme (GFS) advocacy value. During the same period in 2006, the value of generated counsel fee savings was £6.5 million (exc VAT), equating to 11% of the total Crown Court GFS advocacy value. For the period April - December 2005 the number of cases listed for trial recorded as being covered by HCAs was 562. The figure for the same period in 2006 was 1812. In the 12 months to 31 December 2006, the number of HCAs has increased from 572 to 740 (full time equivalent). The increase is made up of lawyers from the CPS who have qualified as HCAs and a number of direct recruits from the self-employed Bar and solicitor higher court advocates, who bring significant Crown Court trial experience into the organisation. In addition, CPS London has recruited four specialist Rape Advocates who will deal with rape and serious sexual offence cases from start to finish, from deciding on the charge, through reviewing the case, to prosecuting at trial in the Crown Court.

## Crown Prosecution Service

DCWs in all 42 Areas are able to prosecute most non-contested matters in the magistrates' courts. Since their powers were extended in January 2006 their remit has also included contested bail matters and Pre-Trial Reviews. They can also deal with certain non-contentious matters in the youth court. In the first three quarters of 2006-07 DCWs dealt with 13.7% of magistrates' courts sessions. This was a significant increase in the figure for the whole of 2005-06 which was 10.7%.

## Tackling Serious, Organised And Specialist Crime

The three CPS Central Casework Divisions - Organised Crime, Counter Terrorism and Special Crime - have continued to drive up the organisation's capacity and capability to deal with the most serious and complex crime. A further five Senior Crown Advocates and 16 lawyers have been recruited to these Divisions. Cross-CJS training has been carried out and improved liaison with the Attorney General's Office (AGO), Areas, Serious Organised Crime Agency (SOCA), and CJS partners has improved working relationships and criminal justice response to these types of crime. The SOCA infrastructure project made provision for Central Casework, in London, Birmingham and York, to have access to the confidential xGSI network and also to provide them with a confidential version of the CMS application, totally separate from the CMS accessed by other CPS users. xGSI and xCMS went live as planned on 20 October 2006.

## Area Restructuring

Following the refocusing of the Home Office's plans for police reform, the CPS continued consultation within the Service, as well as with Ministers and external stakeholders, to decide the best way in which the Service should be structured in the future. This resulted in agreement to retain the current 42 Area structure and create 14 Area groups, excluding London. The Groups will have a specific remit to deliver measurable improvements across a range of functions. Each Area Group will contain a Complex Casework Unit, handling the complex casework for the Areas, improving the CPS response to this type of crime. Groups will also each have a Group Secretariat that will deliver essential support and administrative services to the Areas within the Group. It is intended to implement this structure during 2007-08.

## Cjsss

Criminal Justice: Simple, Speedy, Summary (CJSSS) is a programme of cross-CJS activity which will provide a quicker, simpler process that improves the administration of justice. CJSSS examines processes to ensure they are efficient, effective and proportionate. The CPS has contributed fully to this work whilst also reviewing its own internal processes and structures to look for further improvements. In 2006, CJSSS tested new streamlined processes in magistrates' courts in London, West Midlands and Cumbria. The aims were a reduction in hearings from five or six in a typical case to one for guilty pleas and two for trials, and for the majority of cases to be dealt with from charge to disposal within six weeks. The three objectives flowing from these aims were:

G To achieve effective first hearings so that, where defendants plead guilty, they are dealt with
on the same day; 
G Where defendants plead not guilty, the case will proceed to trial at the next hearing; and G Improvements in case progression to eliminate unnecessary hearings and ensure cases proceed
on the date ordered. 
Following positive results at the pilot sites the magistrates' courts streamlining activity will be rolled out nationally during 2007-08 in a programme led by the OCJR. Further reforms to the Crown Court process are also being developed.

## Conditional Cautioning

Conditional Cautions were established by the Criminal Justice Act 2003. In appropriate cases they can be used as a means to divert from court those whose offending is serious enough to warrant prosecution but who are prepared to admit their offence and agree to undertake rehabilitative or reparative activities as a condition of being cautioned. The decision whether or not to offer a Conditional Caution can only be taken by a prosecutor.

Following rollout to the seven early implementation Areas, Conditional Cautioning is now being introduced in at least one police Basic Command Unit (which tend to be aligned with CPS units) in all other Areas by June 2007, with full coverage by March 2008. Rollout is to be undertaken using a phased approach. To date, approximately 1625 Conditional Cautions have been issued nationally.

## Pre-Trial Interviews With Witnesses

In January 2006, four CPS Areas - Cumbria, Lancashire, Greater Manchester and Merseyside - began piloting arrangements whereby prosecutors may, in appropriate cases, conduct a witness interview pre-trial (or pre-charge) in order to clarify or assess the reliability of a witness's evidence. An interview may also be held to assist the prosecutor in understanding complex evidence. At the end of the pilots on 19 January 2007, 52 pre-trial witness interviews had been held. The pilots have been externally evaluated and a decision will be taken on further rollout when the report findings have been considered. 

## Championing Victims And Witnesses Victims' Code And Prosecutors' Pledge

The Code of Practice for Victims of Crime (The Victims' Code), which came into full effect on 1 April 2006, sets out the standard of service that victims can expect from the CJS. Operational guidance to support effective delivery of all CPS and Witness Care Unit (WCU) commitments was issued to CPS Areas in preparation for implementation of the Code. The Prosecutors' Pledge, launched by the Attorney General in October 2005, sets out the level of service that victims can expect from prosecutors. The ten commitments are included in the CPS Public Policy Statement on the Delivery of Services to Victims. The CPS has established a central unit to drive performance improvement and monitor compliance with all commitments to victims and witnesses. It will work with all CPS Areas to achieve optimum levels of performance in relation to victim and witness care.

## Victim And Witness Care Project: No Witness No Justice

National implementation of NWNJ during 2005 saw the creation of 165 WCUs across England & Wales, providing an enhanced level of service to victims and witnesses in cases where a charge

## 2 Crown Prosecution Service

has been brought. Work has continued during 2006 to develop the service provided by the units. Final post implementation review visits to all Areas were completed at the end of September
2006. Each LCJB has been provided with a report of findings and an action plan to assist in improving the delivery of local victim and witness care to meet NWNJ Minimum Requirements. WCUs, jointly staffed by police and CPS, have seen witness attendance rates increase from 77% to 84%. The number of trials that didn't go ahead as planned because a witness failed to attend has fallen by 13.6% in magistrates' courts and 56.8% in the Crown Court. Witness satisfaction has been monitored during 2006 via the Witness and Victim Experience Survey conducted by the OCJR. Results will be analysed during 2007 to assess the impact of NWNJ.

## Victims' Advocates

Victim Advocate pilots began in five Crown Court centres (Old Bailey, Winchester, Cardiff, Manchester and Birmingham) on the 24 April 2006. The scheme gives the family of the victim (currently for cases of murder and manslaughter), the opportunity of making a Family Impact Statement (FIS) at the sentencing hearing. The FIS informs the court of the effect the crime has had on the family of the victim. In the pilot areas, the CPS introduced an "enhanced service" that sees the CPS reviewing lawyer meeting with the family shortly after they have decided to charge to explain the decision, answer any questions on the court process and outline the purpose of the FIS. The pilot is due to end in April 2007 with the evaluation report being issued in September. 

## Engaging With Communities Community Engagement

During 2006-07, the high level commitments contained in the 2005 CPS Community Engagement Strategy were translated into practical outcomes. Three community engagement pilots launched in 2005 in Durham, Thames Valley and West Yorkshire were concluded in July 2006. An independent evaluation of the pilots found improvement in Area multi-agency communication and collaboration, realisation of the benefits to be derived from engagement and understanding of the tools and techniques of engagement. Learning and practical examples were brought together in the first CPS Community Engagement Good Practice Guide. Alongside this, CPS also published the Community Engagement Handbook which provides detailed information on the various methods of community engagement, when to use them and how to evaluate their effectiveness. Plans are being developed to provide further support for Areas and regions throughout 2007.

## Hate Crimes

In 2006-07, CPS reviewed its performance in the prosecution of hate crimes, including racist and religious crimes, domestic violence and homophobic crime. In 2006 there was a 29.3% increase in recorded hate crime cases compared with 2005, with domestic violence (DV) accounting for 82.6% of these cases. Convictions increased from 61.4% of hate crime outcomes in 2005 to 65.7% in 2006, while convictions for DV increased from 59% to 63.5%. In 2006-07, the CPS established a Hate Crimes Monitoring Project to improve the electronic recording of hate crime and enable the CPS to publicly report on hate crime data in a single annual report. This first report is due to be published in autumn 2008.

## Domestic Violence

The CPS continues to contribute to the Government's strategy to tackle DV. Good Practice Guidance from the CPS DV Project (2003-05) was used to develop Area Business Plans in 
2006-07. These plans included training for all prosecutors and caseworkers, development of specialist domestic violence courts (SDVCs) and performance management of cases. In 2006 Areas increased their work with DV community organisations, with 95% of DV Co-ordinators attending local DV forums, compared with 80% in 2005. By January 2007, 2,400 staff had been trained with plans underway to train all relevant staff by March 2008. Some SDVCs reached 81% successful outcomes by December 2006. The CPS DV Team established a national SDVC programme with the Home Office and DCA across England and Wales. A further 39 SDVCs were chosen during 2006, for implementation by April 2007. Once these are operational it will bring the national total of SDVCs to 64. 

## Recovering Proceeds Of Crime

During 2006-07, the CPS secured 3,335 confiscation orders to a value of over £85 million. During the same period, the CPS also obtained 655 restraint orders. In addition, CPS lawyers in the Regional Asset Recovery Teams have made an important contribution to asset recovery by advising the police in high value confiscation and money laundering investigations. They have also played an important role in co-ordinating local Proceeds of Crime Act 2002 training and disseminating best practice. 

## Crown Prosecution Service

CPS Areas have nominated enforcement champions to take enforcement action in respect of confiscation orders made under the Proceeds of Crime Act 2002. The enforcement champions attended training workshops organised by the Proceeds of Crime Delivery Unit in October and November 2006.

## Tackling Anti-Social Behaviour

During 2006-07, the CPS and the Home Office Anti-Social Behaviour (ASB) Unit jointly funded 14 specialist ASB prosecutors. These prosecutors were supplemented by a network of ASB coordinators in order to provide nationwide prosecution coverage in respect of this work. The ASB prosecutors ran a number of training sessions that improved the skills and knowledge of prosecutors in respect of making applications for ASB orders at the time of conviction. The ASB Unit also ran regional workshops for the ASB co-ordinators to discuss issues related to this work and to share good practice between Areas. The CPS also worked closely with the police and HMCS Courts Innovation Branch and others to improve CPS performance and share best practice. 

## Racist Incident Monitoring

The CPS Racist Incident Monitoring Annual Report for the year ending March 2006 was published in December 2006. The number of defendant cases received from the police was 7,430 an increase of 28.4% compared with the previous year. There was sufficient evidence to prosecute 6,123 defendants, a 31.3% increase on 2004-05. 87% of the 8,114 charges prosecuted resulted in a conviction, an increase of 3% on the previous year.

## Improving Public Awareness And Confidence In Cps

The CPS aims to become more open with the public and give them more information about the decisions it takes, both directly and through local and national media. During 2005, the CPS introduced a protocol that set out clearly the process for releasing prosecution information to the media. In addition, CPS now supports reporting restrictions on cases only in exceptional circumstances. This new approach has led, in 2006, to a higher public profile for the organisation and a leading role in announcing charging decisions on major cases. During the year prosecutors announced their decisions in the case of Jean Charles de Menezes, the alleged airline bomb plot and the Suffolk murders. 

## Public Consultation

The CPS has continued to seek public opinion on new and revised policies. During 2006, the CPS undertook public consultation on policies including Sexually Transmitted Infections which cause grievous bodily harm, Prosecuting Bad Driving, Road Traffic Offences, CPS Single Equality Scheme, and Disability Hate crimes. Feedback received has ensured that public concerns and social issues form part of the policy making process.

## Driving Change And Delivery Community Justice

The Salford Community Justice Centre opened in November 2005, taking some of the ideas and principles from the previously established Liverpool Criminal Justice Centre, and applying them in a normal magistrates' court. The CPS played a key role in both locations. The Salford Centre looked at ways to improve multi-agency working without having all agencies based at the same site. All agencies attend a pre-court briefing to identify problems, potential cases requiring intervention, likely guilty pleas etc. There is also more engagement with defendants both before and after sentencing which has led to an increase in offender compliance.

In Salford the CPS has also introduced the concept of Community Impact Statements, compiled by police and local authorities, which identify the key issues in an area. Magistrates can use this information to inform them of the impact on the community of a type of crime to assist in providing appropriate sentences.

## Prolific And Priority Offenders

The CPS has continued to contribute at a national and local level during 2006-07 to deliver the Prolific and Priority Offender (PPO) Programme throughout England and Wales. The CPS has worked closely with colleagues in the CJS, to bring to justice those PPOs who are causing the most harm to their communities. The CPS has focused on the 'Catch and Convict' strand of the strategy and continues to provide a premium service in terms of the preparation and presentation of cases involving such offenders.

## Drug Interventions Programme

The Drug Interventions Programme (DIP) involves the CPS, other criminal justice agencies and the National Treatment Agency (working with drug treatment service providers) to offer certain drugmisusing offenders a way out of crime and into treatment. The CPS has an important role in communicating drug test results to the court at bail and sentence hearings. Since March 2006,
'Testing on Arrest' and 'Restriction on Bail' provisions have come into force to encourage earlier and better levels of drug intervention. The 'Required Assessment' provisions of the Drugs Act 2005 are also being implemented. Required assessment creates an opportunity for those testing positive for specified Class A drugs to receive treatment and other support. 

## Animal Rights Extremism

The CPS remains committed to tackling animal rights extremism. In 2006 the CPS worked in close co-operation with the police Domestic Extremism team on operations and investigations nationally, resulting in a number of successful prosecutions against leading animal rights extremists such as the Darley Oakes farm case. The CPS has a co-ordinated network of prosecutors with specialist expertise in animal rights extremism. A national CPS conference was held at the end of March 2006, at which the Solicitor General stressed the importance of tackling animal rights extremism. 

## 2 Crown Prosecution Service Performance Management

The CPS monitors performance throughout the year through regular internal reviews of Area and HQ performance and external performance assessments. The Service worked closely with ACPO and individual police forces to develop the joint performance management system that enables the police and CPS to monitor and improve management in cases that are brought for prosecution. Prosecution Team Performance Management has been implemented in all 42 Areas and 39 post implementation reviews had been completed by March 2007. CPS managers routinely assess the quality of casework being produced by operational lawyers by using a sampling and assessment process called Casework Quality Assurance. Each month sample case files are examined and tested against a range of standard questions at key stages of the prosecution process. Over 20,000 files are examined each year with over 94.7% of cases showing a proper application of the Code for Crown Prosecutors, CPS policy and Charging standards. 

## Working With The Bar

Since its inception in 1986, the CPS has developed a close and effective working relationship with the Bar. In order to continue this effective relationship, the CPS and Bar launched an Advocacy Liaison Group in 2006 to establish a Framework of Principles which articulates how the Bar and CPS should work together to deliver high quality advocacy services, particularly in the Crown Court. The Advocacy Liaison Group supplements regular liaison already in place between the CPS and Bar at national and local levels.

## Developing Criminal Justice Information Technology

Criminal Justice Information Technology (CJIT) created the CJS Exchange facility, which enables immediate electronic information sharing between the CPS and partner agencies. By using the interface, the burden of inputting the same data into both police and CPS systems has been substantially reduced. Following the successful pilot between the CPS Case Management System and police IT system NSPIS in Humberside, the Exchange is now live in Avon and Somerset, North Wales and North Yorkshire.  

## Becoming An Employer Of Choice Recruiting And Developing Our People

The CPS has improved recruitment processes resulting in a reduction in the overall time taken to recruit staff to seven weeks by using, for example, the introduction of talent pooling, telephone short listing and telephone competency interviewing. An on-line recruitment system has also been introduced to track applications and enable information management relating to each individual recruitment campaign to be easily accessed. During 2006 the CPS made the following number of appointments on either a permanent or fixed term basis:

| Level       |   Total |   Female |   Minority |   the DDA 1995 |
|-------------|---------|----------|------------|----------------|
| Pay Band A1 |     230 |      148 |         22 |              3 |
| Pay Band A2 |     290 |      198 |         77 |             10 |
| Pay Band B1 |      44 |       25 |          9 |              1 |
| Pay Band B2 |      17 |       10 |          2 |              0 |
| Pay Band B3 |       8 |        2 |          1 |              0 |
| Pay Band C1 |      52 |       42 |          8 |              0 |
| Pay Band C2 |      89 |       42 |         11 |              0 |
| Level D     |      14 |        9 |          1 |              1 |
| Level E     |       5 |        1 |          0 |              0 |
| SCS         |       1 |        0 |          0 |              0 |
| CCP         |       1 |        0 |          0 |              0 |
| Total       |     751 |      477 |        131 |             15 |

Figures exclude casuals and temporary members of staff.

Appointees
who meet the
definition of
Ethnic
disability under

## Management Training

Between June and December 2006, over 1,100 managers attended workshops on individual performance management. The workshops were designed to equip every junior and middle manager with the knowledge and skills to undertake effective performance management of their staff. Work is continuing on the management development strategy for April 2007 onwards, and will include development options for lawyer managers as well as coaching for senior managers. Finance training to Professional Skills for Government levels has been made available to all staff within the organisation and a continuing programme of project management training is in place.

e-learning to support all of the above initiatives has been developed in order to make available different methods of learning. 

## Law Scholarship Scheme, Incorporating Legal Trainee Scheme

Since the scheme began in 2003, 551 staff have benefited, or continue to benefit, from the opportunities provided. This achievement was recognised in November 2006 when the CPS won the Personnel Today award for Excellence in Training - with the Law Scholarship and Legal Trainee Schemes both forming part of this joint award. In this period there were over 333 law scholars including 60 legal trainees. In 2006 a national campaign to attract external applicants for the Legal Trainee Scheme was undertaken. Over 2,000 applications were received and the CPS appointed 24 high quality trainees in October 2006. Internal recruitment also continued, as of March 2007 there are 35 internally recruited trainees.

## Maximising Attendence

The CPS remains committed to reducing the level of sickness absence. For January - December
2006 the CPS absence rate was 8.5 days per employee, reduced from 8.7 days in November 2005. The CPS is now engaged on a programme to embed a culture of proactive "attendance management". Stress workshops and the recent introduction of the Carefirst Contracts (providing professional counselling services to CPS staff) were the first steps, and these are being supplemented by an improved occupational health service and a reduction of "very long term" absences during 2006. Work has begun to look at the effect of stress in the work place and pilot training sessions looking at stress awareness and impact assessments were run in autumn 2006.

## Pro-Active Prosecutor Programme

The pro-active prosecutor programme (PPP) addresses the critical skills of case analysis and giving investigative advice. The training has been developed to support the rollout of the Charging programme. At 31 December 2006 the CPS had delivered 202 training courses to approximately 1,858 lawyer staff. Twelve Senior Managers Workshops were held between November 2005 and March 2006, with 172 members of the senior management teams having gone through the programme. 

## Pay Tables

Senior Civil Service (SCS) pay including CCPs and London Sector Directors as at 1st December 2006. 

| Salary Range        |   SCS |   CCP |   Total |
|---------------------|-------|-------|---------|
| £60,000 - £64,999   |     2 |     0 |       2 |
| £65,000 - £69,999   |     2 |     0 |       2 |
| £70,000 - £74,999   |     3 |     7 |      10 |
| £75,000 - £79,999   |     6 |    14 |      20 |
| £80,000 - £84,999   |     4 |     5 |       9 |
| £85,000 - £89,999   |     2 |    10 |      12 |
| £90,000 - £94,999   |     1 |     4 |       5 |
| £95,000 - £99,999   |     2 |     8 |      10 |
| £100,000 - £104,999 |     2 |     0 |       2 |
| £105,000 - £109,999 |     1 |     1 |       2 |
| £110,000 - £114,999 |     1 |     0 |       1 |
| £115,000 - £119,999 |     0 |     0 |       0 |
| £120,000 - £124,999 |     0 |     0 |       0 |
| £125,000 - £129,999 |     2 |     1 |       3 |

## Capability To Deliver Improving Governance Arrangements

Following the completion of a review of corporate governance in March 2006 the CPS has introduced revised committee arrangements to provide a more strategic and effective governance structure. The number of committees has been reduced from seven to four covering: 

G Strategy, Policy and Diversity; G People, Equality and Resources; G Delivery and Change; and G Audit. 
Committees are chaired by Non-Executive Directors or the Chief Executive and continue to include significant Area involvement. There are clear accountability lines between the Board and the Committees and these are built into published terms of reference. A single secretariat function is also being introduced to provide more streamlined and co-ordinated support, and ensure that links between committee workstrands are identified and managed effectively.

## 2 Crown Prosecution Service Risk Management

The CPS Board is responsible for ensuring that appropriate risk management arrangements exist and that corporate risks are properly managed. The Delivery and Change Committee (DCC) assists the Board by monitoring the progress and effectiveness of all major business change projects and the implementation of the Service's risk management development programme. It also considers regular reports on the management of key corporate risks. A Risk Management Champion and a Risk Improvement Manager, responsible for advising on embedding risk management across the Service, supported the Board during 2006-07 and provided update reports to the Board, the DCC and Audit Committee.

Board level involvement in identifying, assessing and reviewing the progress and management of corporate risks is provided by the Board members sitting on the DCC. The Board also approved the CPS corporate risk tolerance - the amount of risk the Department is prepared to carry. All corporate risk owners are HQ Directors. 

## Capability Review

One of Sir Gus O'Donnell's key priorities is to improve the capability of the Civil Service to meet today's delivery objectives and to be ready for the challenges of tomorrow. To achieve this Departmental Capability Reviews have been developed that will both assess how well equipped Departments are to meet these delivery challenges and provide targeted support to make any improvements required. The CPS has just completed a full Capability Review in April/May 2007. In preparation for the review the CPS undertook an early self assessment during autumn 2006 to identify potential areas for improvement. Work is now being undertaken to address actions. 

## Improved Procurement

In 2006-07, the CPS has continued its work on eProcurement by agreeing to implement a purchase to pay (P2P) system utilising the OGC sponsored Zanzibar system. CPS will be the first Government Department to use Zanzibar's full capability, which is forecast to deliver significant savings through making the P2P process more efficient, and providing better data and controls to manage CPS's expenditure. CPS led a procurement for the Law Officers' Departments to deliver a new HR database - the first major collaboration on procurement involving all Law Officer's Departments. The Service has delivered efficiency savings of £3.7 million through procurement. CPS has also carried out an Equality Impact Assessment on procurement and is reviewing itself against the Sustainable Procurement Task Force's (SPTF) Flexible Framework.

## Exploiting Modern It

The COMPASS Programme is a Private Finance Initiative (PFI) between the CPS and LogicaCMG and gives CPS prosecutors, caseworkers and administrators the technology they need to deliver a constantly improving, modern and efficient service to the public. The CPS is committed to making sure that its investment in COMPASS produces real improvements in terms of more effective prosecutions, efficiency gains and value for money. The second COMPASS Benefits Annual Report for the CPS - giving an overview of achievements for 2005-06 - was published in September 2006. 

## Estates Management

During 2006 the CPS instructed the Department's managing agents to directly manage its Business rates to ensure correct payment and maximise opportunities for one-off and long-term savings and a saving in respect of time for CPS staff. This has resulted in cashable savings of £800,000 (against Business rates expenditure of £6.1 million). The CPS continues to develop and implement its Estates Management Strategy. This will ensure the property infrastructure is able to meet the current and foreseen future requirements to support frontline business and to secure best value for money. Projected accommodation cost per head for 2006-07 is £5,325, an increase of 2% on the previous year.

## Improving The Management Of Prosecution Costs

The CPS continues to develop its management of prosecution costs in order to gain efficiency improvements. In June 2006, CPS implemented the Very High Cost Case (VHCC) contract scheme across all 42 Areas. The new VHCC arrangements require the CPS and external counsel to operate within a contract type arrangement for cases that are due to last eight weeks or more. The contract sets fixed hourly rates for external counsel at the beginning of a case and enables the work of counsel to be effectively managed in 8-12 week stages. 

The CPS applies Case Management Panel arrangements to all substantial prosecutions, enabling the Director, at a national level, and CCPs at a local level, to provide necessary support and ensure consistent oversight of the most serious, costly and complex criminal cases prosecuted by the Service. The success of these important cases is built on well-constructed strategies that are developed at the outset of CPS involvement, in terms of the scope and breadth of the case, tactical decisions made, and the resources - both internal and external - assigned to its preperation and presentation of the case. The panels provide assurances to the Attorney General and wider CJS community that appropriate consideration has been given to all pertinent issues surrounding the launch and continuation of any substantial prosecution case and that the case is kept under regular review

## 2 Crown Prosecution Service Forward Look

The CPS will continue to build its reputation nationally and internationally as a world-class prosecuting authority. 2007-08 represents a real challenge for all in the Service to deliver a step change in performance and introduce new ways of working. These will prepare the CPS for future years when there will be increased pressure to deliver both high quality services and significant efficiencies. This includes expansion of the advocacy strategy; building the capacity and capability of the Casework Divisions to deal with organised crime, terrorism and special crime cases; providing enhanced services and support to victims and witnesses; deepening engagement with local communities; and shaping prosecution policies that meet the needs of those communities. 

The CPS will be introducing structural reforms to deal with cases more effectively and make the Service more able to cope with the impacts of future change. These include setting up Complex Casework Units in each of the 14 new Area Groups to deal with serious crime more effectively at a local level. In response to the introduction of Simple, Speedy, Summary Justice across the CJS, the Service will be developing standardised models for administering magistrates' courts and Crown Court cases. The CPS will also be enhancing performance management arrangements to support these changes to maximise the benefits. The CPS will continue to develop its role and the work for next year is outlined in the CPS Business Plan 2007-08.

## Further Information

More information on the CPS, its contribution to PSA targets and CJS reform, and its modernisation plans is available at www.cps.gov.uk and from:
Crown Prosecution Service 50 Ludgate Hill London EC4M 7EX Telephone: 0207 796 8000

## Bibliography

2005-06 CPS Annual Report and Resource Accounts The Code for Crown Prosecutors - available at the CPS website:
http://www.cps.gov.uk/victims_witnesses/code.html
*Spending 2004 
*Public Service Agreements
*Special Delivery Agreements 
*Departmental Investment Strategy
*available at the Treasury web site:
http://www.hm-treasury.gov.uk/spending_review/spend_sr04/spend_sr04_index.cfm

## Common Core Tables

| Title                                                        | Description                                                  | Period Covered     |
|--------------------------------------------------------------|--------------------------------------------------------------|--------------------|
| Table 1                                                      |                                                              |                    |
| Total Departmental Spending, Resources Budget                | Shows a summary of the Department's total budget and how     | 2001-02 to 2007-08 |
| and Capital Budget for CPS                                   | the Department allocates and spends the resources & capital  |                    |
| allocated to it by Parliament to deliver the services within |                                                              |                    |
| its responsibilities.                                        |                                                              |                    |
| Table 2                                                      |                                                              |                    |
| Administration Costs for CPS                                 | Provides a breakdown of the staff and other general costs    | 2001-02 to 2007-08 |
| (including accommodation and other office costs) related to  |                                                              |                    |
| the running of the Department.                               |                                                              |                    |
| Table 3                                                      |                                                              |                    |
| Staff Numbers for CPS                                        | A staffing count for the CPS.                                | 2001-02 to 2007-08 |
| Table 4                                                      |                                                              |                    |
| Capital Employed by CPS                                      | Shows capital employed in meeting the Department's           |                    |
| objectives.                                                  |                                                              |                    |
| Table 5                                                      |                                                              |                    |
| The CPS's identifiable expenditure on services,              | Provides analysis of spending in each UK country and nine    | 2001-02 to 2007-08 |
| by country and region                                        | regions of England.                                          |                    |
| Table 6                                                      |                                                              |                    |
| The CPS's identifiable expenditure on services,              | Provides analysis of spending per head of population in each | 2001-02 to 2007-08 |
| by country and region per head                               | UK country and nine regions of England.                      |                    |

## Table 1: Total Departmental Spending, Resource Budget And Capital Budget For Cps

| 2001-02                                          | 2002-03   | 2003-04   | 2004-05   | 2005-06   | 2006-07   | 2007-08   |
|--------------------------------------------------|-----------|-----------|-----------|-----------|-----------|-----------|
| Estimated                                        |           |           |           |           |           |           |
| Outturn                                          | Outturn   | Outturn   | Outturn   | Outturn   | Outturn   | Plans     |
| Resource budget                                  |           |           |           |           |           |           |
| Resource DEL                                     |           |           |           |           |           |           |
| Increase public confidence in the CJS            |           |           |           |           |           |           |
| through fair, firm and effective prosecution     | 405,868   | 451,293   | 512,517   | 565,363   | 600,466   | 614,602   |
| Total resource budget DEL                        |           |           |           |           |           |           |
| (1)                                              |           |           |           |           |           |           |
| 405,868                                          | 451,293   | 512,517   | 565,363   | 600,466   | 614,602   | 631,537   |
| of which:                                        |           |           |           |           |           |           |
| Near-cash                                        | 370,586   | 449,646   | 510,704   | 561,420   | 595,194   | 608,396   |
| of which:                                        |           |           |           |           |           |           |
| Pay                                              | 200,892   | 231,052   | 279,870   | 294,065   | 310,185   | 332,673   |
| Procurement                                      | 169,694   | 218,594   | 230,834   | 267,355   | 285,009   | 275,723   |
| Total resource budget                            | 405,868   | 451,293   | 512,517   | 565,363   | 600,466   | 614,602   |
| of which:                                        |           |           |           |           |           |           |
| depreciation                                     | 29,763    | 1,902     | 2,352     | 3,364     | 5,406     | 4,400     |
| Capital budget                                   |           |           |           |           |           |           |
| Capital DEL                                      |           |           |           |           |           |           |
| Increase public confidence in the CJS            |           |           |           |           |           |           |
| through fair, firm and effective prosecution     | 21,340    | 5,528     | 7,370     | 7,042     | 3,406     | 5,500     |
| Total capital budget DEL                         | 21,340    | 5,528     | 7,370     | 7,042     | 3,406     | 5,500     |
| of which:                                        |           |           |           |           |           |           |
| Capital expenditure on fixed assets net of sales | 21,340    | 5,528     | 7,370     | 7,042     | 3,406     | 5,500     |
| Less depreciation                                |           |           |           |           |           |           |
|                                                  | (2)       |           |           |           |           |           |
| 29,763                                           | 1,902     | 2,352     | 3,364     | 5,406     | 4,400     | 5,056     |
| Net capital expenditure on tangible fixed assets | –8,423    | 3,626     | 5,018     | 3,678     | –2,000    | 1,100     |
| Total capital budget                             | 21,340    | 5,528     | 7,370     | 7,042     | 3,406     | 5,500     |
| Total departmental spending                      |           |           |           |           |           |           |
| Increase public confidence in the CJS            |           |           |           |           |           |           |
| through fair, firm and effective prosecution     | 397,445   | 454,919   | 517,535   | 569,041   | 598,466   | 615,702   |
| Total departmental spending                      |           |           |           |           |           |           |
|                                                  | (3)       |           |           |           |           |           |
| 397,445                                          | 454,919   | 517,535   | 569,041   | 598,466   | 615,702   | 633,881   |
| of which:                                        |           |           |           |           |           |           |
| Total DEL                                        | 397,445   | 454,919   | 517,535   | 569,041   | 598,466   | 615,702   |

(1) Departmental Expenditure Limits set as part of SR 2004. (2) 2001-02 includes £22million exceptional impairment costs from the transfer of IT assets. (3) Total Departmental spending is the sum of the resource budget and the capital budget less depreciation and impairment. Similarly, total DEL is the sum of the resource budget DEL and capital budget DEL less depreciation in DEL.

## Table 2: Administration Costs For Cps £'000

| 2001-02                                        | 2002-03   | 2003-04   | 2004-05   | 2005-06   | 2006-07   | 2007-08   |
|------------------------------------------------|-----------|-----------|-----------|-----------|-----------|-----------|
| Outturn                                        | Outturn   | Outturn   | Outturn   | Outturn   | Outturn   | Plans     |
| Administration Expenditure                     |           |           |           |           |           |           |
| Paybill                                        | 18,836    | 21,574    | 26,357    | 32,282    | 23,935    | 25,500    |
| Other                                          | 23,493    | 22,669    | 26,998    | 26,421    | 29,710    | 27,743    |
| Total administration expenditure               | 42,239    | 44,243    | 53,355    | 58,703    | 53,645    | 53,243    |
| Administration income                          |           |           |           |           |           |           |
| (1)                                            |           |           |           |           |           |           |
| –2,146                                         | –2,354    | –2,570    | –1,256    | –146      | –400      | –400      |
| Total administration expenditure               | 40,183    | 41,889    | 50,785    | 57,447    | 53,499    | 52,843    |
| Analysis by activity:                          |           |           |           |           |           |           |
| Increase confidence in the CJS                 |           |           |           |           |           |           |
| through fair, firm and effective prosecutions. | 40,183    | 41,889    | 50,785    | 57,447    | 53,499    | 52,843    |
| Total administration budget                    | 40,183    | 41,889    | 50,785    | 57,447    | 53,499    | 52,843    |

(1) Decrease in administration cost receipts from 2005-06 onwards is due to the review of administration costs.

## Table 3: Staff Numbers For Cps

| 2001-02           | 2002-03   | 2003-04   | 2004-05   | 2005-06   | 2006-07   | 2007-08   |
|-------------------|-----------|-----------|-----------|-----------|-----------|-----------|
| Actual            | Actual    | Actual    | Actual    | Actual    | Forecast  | Projected |
| Crown Prosecution |           |           |           |           |           |           |
| Service:          |           |           |           |           |           |           |
| CS FTEs           | 6,240     | 6,680     | 7,257     | 7,555     | 7,846     | 7,863     |
| Overtime          | 40        | 41        | 49        | 38        | 41        | 39        |
| Other             |           |           |           |           |           |           |
| (1)               |           |           |           |           |           |           |
| 270               | 313       | 357       | 282       | 129       | 328       | 450       |
| Total             | 6,550     | 7,034     | 7,663     | 7,875     | 8,016     | 8,230     |

(1) Includes Fixed Term appointments from 2006-07.

Estimated

## Table 4: Capital Employed By Cps £'000

| 2001-02                                      | 2002-03   | 2003-04   | 2004-05   | 2005-06   | 2006-07   | 2007-08   |
|----------------------------------------------|-----------|-----------|-----------|-----------|-----------|-----------|
| Outturn                                      | Outturn   | Outturn   | Outturn   | Outturn   | Forecast  | Projected |
| Assets on balance sheet at end of year:      |           |           |           |           |           |           |
| Fixed assets                                 | 12,094    | 15,678    | 20,898    | 27,735    | 25,923    | 24,966    |
| Intangible                                   | 0         | 0         | 0         | 0         | 946       | 874       |
| Tangible                                     |           |           |           |           |           |           |
| of which:                                    |           |           |           |           |           |           |
| Land and buildings                           | 3,903     | 3,564     | 3,378     | 5,775     | 5,697     | 6,111     |
| Plant and machinery                          | 8,191     | 12,114    | 17,520    | 21,960    | 20,226    | 18,855    |
| Investments                                  |           |           |           |           |           |           |
| Current assets                               | 66,364    | 61,156    | 50,839    | 76,164    | 70,958    | 63,709    |
| Creditors (<1 year)                          | –63,478   | –68,588   | –53,273   | –82,343   | –66,931   | –52,411   |
| Creditors (>1 year)                          | -         | -         | -         | -         | -         | -         |
| Provisions                                   | –13,055   | –12,112   | –11,467   | –11,075   | –10,231   | –9,892    |
| Capital employed within main department      | 1,925     | –3,866    | 6,997     | 10,481    | 20,665    | 27,246    |
| NDPB net assets                              | -         | -         | -         | -         | -         | -         |
| Total capital employed in departmental group | 1,925     | –3,866    | 6,997     | 10,481    | 20,665    | 27,246    |

## Table 5: The Cps'S Identifiable Expenditure On Services, By Country And Region £ Million

| 2001-02                           | 2002-03   | 2003-04   | 2004-05   | 2005-06   | 2006-07   | 2007-08   |
|-----------------------------------|-----------|-----------|-----------|-----------|-----------|-----------|
| Outturn                           | Outturn   | Outturn   | Outturn   | Outturn   | Plans     | Plans     |
| North East                        | 21.6      | 24.2      | 28.6      | 29.2      | 31.9      | 32.3      |
| North West                        | 59.8      | 68.9      | 78.2      | 86.9      | 91.0      | 98.3      |
| Yorkshire and Humberside          | 36.8      | 43.4      | 49.0      | 54.7      | 53.9      | 56.0      |
| East Midlands                     | 28.3      | 31.0      | 35.6      | 38.2      | 41.2      | 41.0      |
| West Midlands                     | 38.5      | 44.5      | 52.4      | 58.5      | 61.3      | 64.4      |
| Eastern                           | 31.1      | 35.7      | 40.4      | 42.8      | 45.2      | 47.9      |
| London                            | 76.8      | 96.8      | 110.3     | 124.8     | 128.6     | 124.6     |
| South East                        | 45.1      | 53.4      | 60.4      | 64.3      | 68.8      | 74.3      |
| South West                        | 27.2      | 29.5      | 33.4      | 37.4      | 39.1      | 40.6      |
| Total England                     | 365.2     | 427.4     | 488.3     | 536.8     | 561.0     | 579.4     |
| Scotland                          | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       |
| Wales                             | 26.7      | 27.8      | 29.8      | 31.6      | 33.6      | 36.0      |
| Northern Ireland                  | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       |
| Total UK identifiable expenditure | 391.9     | 455.2     | 518.1     | 568.4     | 594.6     | 615.4     |
| Outside UK                        | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       |
| Total identifiable expenditure    | 391.9     | 455.2     | 518.1     | 568.4     | 594.6     | 615.4     |
| Non-identifiable expenditure      | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       | 0.0       |
| Total expenditure on services     | 391.9     | 455.2     | 518.1     | 568.4     | 594.6     | 615.4     |
|                                   |         |         |         |         | Table 6: The CPS's identifiable expenditure on services, by country and region per head   | £'s per head   |
|-----------------------------------|---------|---------|---------|---------|-------------------------------------------------------------------------------------------|----------------|
| 2001-02                           | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                                                                                   | 2007-08        |
| Outturn                           | Outturn | Outturn | Outturn | Outturn | Plans                                                                                     | Plans          |
| North East                        | 8.5     | 9.5     | 11.3    | 11.5    | 12.5                                                                                      | 12.6           |
| North West                        | 8.8     | 10.2    | 11.5    | 12.7    | 13.3                                                                                      | 14.3           |
| Yorkshire and Humberside          | 7.4     | 8.7     | 9.8     | 10.9    | 10.7                                                                                      | 11.0           |
| East Midlands                     | 6.8     | 7.3     | 8.4     | 8.9     | 9.6                                                                                       | 9.5            |
| West Midlands                     | 7.3     | 8.4     | 9.8     | 11.0    | 11.4                                                                                      | 12.0           |
| Eastern                           | 5.8     | 6.6     | 7.4     | 7.8     | 8.2                                                                                       | 8.6            |
| London                            | 10.5    | 13.1    | 14.9    | 16.8    | 17.1                                                                                      | 16.4           |
| South East                        | 5.6     | 6.6     | 7.5     | 7.9     | 8.4                                                                                       | 9.0            |
| South West                        | 5.5     | 5.9     | 6.7     | 7.4     | 7.7                                                                                       | 7.9            |
| Total England                     | 7.4     | 8.6     | 9.8     | 10.7    | 11.1                                                                                      | 11.4           |
| Scotland                          | 0.0     | 0.0     | 0.0     | 0.0     | 0.0                                                                                       | 0.0            |
| Wales                             | 9.2     | 9.5     | 10.1    | 10.7    | 11.4                                                                                      | 12.1           |
| Northern Ireland                  | 0.0     | 0.0     | 0.0     | 0.0     | 0.0                                                                                       | 0.0            |
| Total UK identifiable expenditure | 6.6     | 7.7     | 8.7     | 9.5     | 9.9                                                                                       | 10.2           |

## Notes Relating To Country And Regional Analysis - Tables 5 & 6

- These tables show analyses of the department's spending by country and region, and by function. The data
presented in these tables are consistent with the country and regional analyses (CRA) published by HM Treasury in Chapter 9 of Public Expenditure Statistical Analyses (PESA) 2007. The figures were taken from the HM Treasury public spending database in December 2006 and the regional distributions were completed in January and February 2007. Therefore the tables may not show the latest position and are not consistent with other tables in the Departmental Report.
- The analyses are set within the overall framework of Total Expenditure on Services (TES). TES broadly 
represents the current and capital expenditure of the public sector, with some differences from the national accounts measure Total Managed Expenditure. The tables show the central government and public 
corporation elements of TES. They include current and capital spending by the department and its NDPBs, and public corporations' capital expenditure, but do not include capital finance to public corporations. They do not include payments to local authorities or local authorities own expenditure.
- TES is a near-cash measure of public spending. The tables do not include depreciation, cost of capital 
charges, or movements in provisions that are in departmental budgets. They do include pay, procurement, capital expenditure, and grants and subsidies to individuals and private sector enterprises. Further information on TES can be found in Appendix E of PESA 2007.
- The data are based on a subset of spending - identifiable expenditure on services - which is capable of being
analysed as being for the benefit of individual countries and regions. Expenditure that is incurred for the benefit of the UK as a whole is excluded.
- Across government, most expenditure is not planned or allocated on a regional basis. Social security 
payments, for example, are paid to eligible individuals irrespective of where they live. Expenditure on other programmes is allocated by looking at how all the projects across the department's area of responsibility, usually England, compare. So the analyses show the regional outcome of spending decisions that on the whole have not been made primarily on a regional basis.
- The functional analyses of spending in the tables are based on the United Nations Classification of the
Functions of Government (COFOG), the international standard. The presentations of spending by function are consistent with those used in chapter 9 of PESA 2007. These are not the same as the strategic priorities shown elsewhere in the report.

## Revenue And Customs Prosecutions Office 3 Revenue And Customs Prosecutions Office Introduction

In July 2003, the Butterfield Report recommended a complete separation of the prosecution function for Customs and Excise criminal cases through the creation of a separate prosecuting authority. The Attorney General announced in October 2004 that Inland Revenue prosecutions would join this new independent prosecuting authority, in line with the merger of the functions of Customs and Excise and the Inland Revenue. Following the necessary legislative change this new authority, the Revenue and Customs Prosecutions Office (RCPO), was created by statute in April 2005, and became the newest of the Law Officers' Departments.

## Role

RCPO is responsible for carrying out criminal prosecutions for Her Majesty's Revenue and Customs (HMRC) and also plays a vital role alongside the CPS in prosecuting cases investigated by the Serious Organised Crime Agency (SOCA). As a major Crown Court prosecutor, RCPO is second only to the CPS in the number of serious cases it handles. In addition, it prosecutes a significant number of cases in the magistrates' courts. RCPO's prosecutions include many large and complex cases involving drugs, alcohol and tobacco smuggling, income tax and other types of large-scale tax fraud, money laundering, export control and sanctions violations. These are offences that directly impact on the fabric of society, perpetuating the misery of drugs on the streets and depriving our public services of money. By prosecuting the cases efficiently, effectively and in accordance with the Code for Crown Prosecutors9, the RCPO plays an integral and important role in delivering key elements of the Government's objectives of protecting tax revenues, tackling drugs and recovering the proceeds of crime.

## Organisation

The Attorney General appointed David Green QC to be the first Director of the RCPO, with responsibility for leading the Department's prosecution activity, managing all legal issues, and determining policy. He heads an organisation of approximately 345 staff which includes lawyers, caseworkers and administrators, who are based in London and Manchester.

The full remit of casework covers a wide range including:

G VAT fraud - from the simplest repayment fraud to complex cases involving multiple traders; G Direct tax fraud - from large and sophisticated evasion cases on an international scale to less
complex shadow economy frauds;
G Tax credit frauds; G Excise frauds - tobacco, alcohol and fuels; G Drug smuggling of all kinds, from those carrying goods on or in their person to massive
quantities of Class A drugs smuggled by air or sea;
G Money laundering - generally involving the proceeds of fraud or drugs trafficking; G UN sanctions cases - these usually involve exports to embargoed destinations or export of
military or dual use goods;
G Exotic goods - from conflict diamonds to trafficking in endangered species governed by the
Convention on International Trade in Endangered Species (CITES); and
G National Minimum Wage.
There are five casework divisions reporting to the Director. While multifunctional in capability, they can each be identified by a lead activity. They are: Division A (Direct Tax) Division B (Commercial) Division C (Border Detections) Division D (Duty and Excise)
Division E (Serious and Organised Crime) The Asset Forfeiture Division (AFD), led by Alun Milford, is responsible for conducting restraint, receivership and enforcement proceedings. The International, Policy and Advisory Division (IPAD), headed by Kristin Jones, provides the Director with support on policy and internal quality assurance as well as handling international casework (e.g. extraditions, international arrest warrants).

## Management Structure

DIRECTOR 
DAVID GREEN QC
0870 785 8438

 PRIVATE OFFICE 
  Helen Wolkind 
  0870 785 8073
       and 
COMMUNICATIONS
   Fiona Dick 
  020 7865 5666

Division B - 
Commercial 

International 
  Policy & 
  Advisory 
  Division 

Matthew 
Wagstaff
0870 785 8317

 Division A - 
  Direct Tax
    David
 Richardson
020 7855 8369
(from 11/04/07)

Kristin Jones
0870 785 8021

Division E - 
SOCA 
Division D - 
Duty & 
Excise
Greg McGill
0870 785 8239
Elizabeth 
Bailey
0870 785 8630

The Director heads a Management Board that includes two Non-Executive Directors (NEDs), as well as senior members of the organisation. An Audit and Risk Committee, chaired by one of the NEDs (Sarah Brown), assists the Director and the Management Board in fulfilling their oversight responsibilities, by advising on the adequacy of internal controls, corporate governance, risk management, financial reporting and audit arrangements. During 2006-07 RCPO established a Diversity Committee, under the chairmanship of a NED (Paul White), in order to monitor and support the department's commitments to diversity. 

## Aim

The aim of RCPO is: "To continue as an effective and independent prosecuting authority which commands the confidence of the public and judiciary."
CHIEF OPERATING 
OFFICER 
DAVE PARTRIDGE
0870 785 8201

| Finance         |
|-----------------|
| Resources       |
| Division C -    |
| Border          |
| Detections      |
| Justin          |
| Freebairn       |
| 0870 785 8389   |
| Sheila          |
| Chalken         |
| 0870 785 5172   |
| Bill Wheeldon   |
| 0870 785 8286   |
|                 |
| (from 11/04/07) |
|                 |
| Corporate       |
| Services        |
| Asset           |
| Forfeiture      |
| Division        |
| Counsel Fees    |
| and             |
| Nominations     |
| Alun Milford    |
| 0870 785 8227   |
| Mark            |
| Williams        |
| 0870 785 8248   |
| Mohammed        |
| Khan            |
| 0870 785 8354   |

The following objectives support this aim:

G To prosecute cases efficiently and effectively in accordance with the Code for Crown
Prosecutors;
G To continue and develop effective working relationships with HMRC, SOCA and other criminal
justice partners;
G To contribute effectively to the wider objectives of the Law Officers' Departments (LODs) and
the Criminal Justice System (CJS);
G To maintain RCPO as an employer of choice.

## Objectives

As the prosecuting authority for HMRC, the RCPO also supports HMRC in delivery of two of its top-level objectives. These are:

G To improve the extent to which individuals and businesses pay the tax due and receive the
credits and payments to which they are entitled; and
G To strengthen frontier protection against threats to the security, economic integrity and
environment of the United Kingdom in a way that balances the need to maintain the UK as a competitive location in which to do business.

## Efficiency Plan

RCPO has already achieved its SR 2004 efficiency target of a workforce reduction of 10 staff years over the baseline figure from 2003-04. Also, within the time frame of the SR 2004 settlement the RCPO has a target to make additional savings of £2.1 million. Seeking greater value in the procurement of legal services, and reductions in expenditure on administration are the main areas of focus, and to 31 March 2007 RCPO have realised efficiency savings of £1.2 million in these areas.

## Risk

Risk registers underpin the RCPO's approach to risk management. RCPO has developed a strategic risk register, as well as individual registers for the Chief Operating Officer's division, IPAD and the operating Divisions. All key staff have been involved in the process of identifying risks, and a consistent approach has been developed and applied to the management of each risk register. The content and effectiveness of risk registers are reviewed on a quarterly basis, while the Department measures the overall success of its controls through regular monitoring and updates them where necessary. The context of the registers is revisited periodically to identify any new risks and to confirm that existing risks are being actively managed.

## 3 Revenue And Customs Prosecutions Office Performance Against Targets

RCPO contributes towards the CJS PSA10 targets. The RCPO Business Plan for 2006-07 also highlighted four key operational performance indicators (results are to 31 December 2006):

G **Conviction rates:** There were 942 **defendant** convictions, from a total of 1,053 (89.5%); G **Guilty pleas:** From April to December 2006 RCPO prosecuted 1,010 cases, of which guilty pleas
were recorded in 785 cases (78%). At 31 December the Department had 713 cases on hand.
G **Judge directed acquittals:** There were eight judge directed acquittals. G **Asset recovery:** The Department obtained £17,487,000 in payments against confiscation
orders.
RCPO is also developing performance indicators focusing on timeliness within the prosecution process. Divisional managers conduct regular assurance activity to ensure compliance with all operational performance measures.

## Strengthening The Prosecution Process

RCPO was established to provide an independent prosecuting authority, separate from the investigation function. Independence from investigators is fundamental to the reputation of RCPO prosecutors and a key constitutional safeguard. Prosecutors continue to work closely with investigation colleagues, building strong cases and delivering robust prosecutions. However, there is independence and transparent accountability on prosecution decisions, with a clear distinction made between the roles and responsibilities of investigators and prosecutors and a clear reporting structure to the Attorney General. 

## Prosecution Manual

The Department maintains a Prosecution Manual which sets standards that allow for the timely service of documents on courts and defence that are complete and accurately assembled, and contributes to CJS initiatives to reduce delay and ineffective hearings. The comprehensive procedural guidance provides staff with the confidence to manage and prosecute cases effectively. IPAD's quality assurance programme provides monthly Prosecution Manual checks and longer-term assurance reports commissioned by the Director on a risk basis. A Best Practice Group, consisting of senior case managers and lawyers, determines procedural changes that contribute to the development of the Manual.

## Disclosure

RCPO recognises that it is essential to its prosecuting activity that its disclosure obligations are properly discharged in all criminal proceedings. The Department delivers extensive training and guidance to support a regime that follows the Attorney General's Guidelines on Disclosure 2005. There are regular meetings at all levels between HMRC investigators and RCPO to ensure that there is effective revelation and disclosure in cases. RCPO has also been working closely with SOCA on disclosure, and delivered training to its investigators.

## The Attorney General'S Unified List

The RCPO is responsible for managing the Unified List, which includes details of non-CPS prosecutors who have been approved to work with the RCPO and other central government departments, such as the Department for Trade and Industry and the Department for Work and Pensions. This ensures that all prosecutors who work for these departments are of a consistent standard of advocacy. The recruitment process for the current list began in autumn 2005 and runs on a three year cycle.

## Championing Justice And The Right Of Victims

In cases prosecuted by RCPO, the victim is the taxpayer and society as a whole, and as such there is not always an identifiable victim. RCPO recognises the importance of looking after victims in the CJS and has adapted the *Prosecutors' Pledge* to ensure that its prosecution teams consider whether there is any person in a case who could be considered to be a victim. Where there is such a person, RCPO will ensure that their view is taken into account in considering charges and accepting pleas, that they are informed where charges are withdrawn, and that they are protected from unwarranted attacks on their character. As the prosecuting authority for HMRC and SOCA, RCPO prosecutions underpin the revenue collection and enforcement activity of these two organisations. A Memorandum of Understanding (MOU) sets out the relationship between RCPO and HMRC. Annexes to the Memorandum in the form of agreements covering Policy and Strategy, Casework Standards and Disclosure have been approved by Ministers and form the basis of the day-to-day interface between the departments. A protocol governing our relationship with SOCA has also been agreed. All divisional heads have built effective and productive relationships with HMRC, SOCA, other government departments, particularly LODs, and the Attorney General's Office. This includes close liaison with HMRC regional managers and their SOCA equivalents in those areas where divisional heads have a lead strategic responsibility. The AFD advises HMRC and SOCA personnel on the conduct of financial investigations and on law, practice and procedure relating to restraint, confiscation, receivership and the enforcement of confiscation orders.

## Engaging With The Communities We Serve

The "victim" in RCPO casework is the taxpayer and society as a whole, for example, people who are exploited by drug dealers or who suffer from drugs related crime. The key community for RCPO, therefore, is the wider public rather than specific local communities. RCPO's community engagement is through support of HMRC, SOCA, HMCS and OCJR initiatives such as court open days and 'Inside Justice Week'. In both the way we prosecute our cases and in our employment systems, RCPO aims to eliminate unlawful discrimination and promote equality of opportunity and good relations between persons of different racial groups. 

## Driving Change And Delivery In The Cjs Policy Development

RCPO is involved in a range of initiatives in the CJS, contributing to debate, consultation and policy development. These include playing a part in the work of external bodies such as the Whitehall Prosecutors' Group, the Criminal Procedure Rule Committee, the Concerted Inter- Agency Criminal Finance Action group and the High Cost Cases Review Board. IPAD supports the Director in identifying key strategic legal policy issues, and it also provides advice and guidance to staff on issues concerning casework policy on domestic and international matters, particularly with regard to new legislation. 

## Soca Work

RCPO has established a dedicated division to service SOCA work and together with the CPS, conducts drug importation and money laundering casework coming from the Agency. SOCA's operations are intelligence-led, and RCPO prosecutors are involved from the tasking and co-ordination phase, providing advice that will shape the investigation and assist in identifying an outcome that is most effective in the reduction of the harm caused by serious organised crime. Under current arrangements the Department provides an all hours service to SOCA, and it will ensure that its SOCA Division continues to be resourced appropriately.

## Asset Forfeiture

The AFD influences the development of confiscation law by dealing with all appeals in respect of its confiscation order cases. It is responding to increased demand for mutual legal assistance, which involves preserving assets so that they can be used to pay confiscation orders in overseas jurisdictions, and enforcing confiscation orders made overseas against assets located in the UK. Also, 2006-07 is the first year of the Asset Recovery Incentive Scheme. Under the Scheme RCPO is able to keep one-sixth of the assets it recovers to fund its asset forfeiture activity. In order to expand the work of the AFD and meet its target for confiscation, the Division is increasing legal and support staff numbers.

## Excellent Career Opportunities With Skilled And Committed Staff

RCPO has developed a range of policies and procedures to cater for the requirements of managers and staff across the full range of Human Resource issues, such as recruitment, appraisal, and training and development.

## Training And Development

In conjunction with IPAD and all divisional heads an extensive training and development plan has been developed for the Department. A fully-equipped Learning Centre has been established to support the delivery of RCPO's learning and development strategy. This strategy meets the needs of the Department in reflecting the training and development plan, and providing focus to its training priorities, which are:

G Induction training; G Continued professional development; G Management skills training; and G Grievance and mediation training.

## Diversity

The Department is a member of the Attorney General's Equality and Diversity Action Group. We monitor our HR Policies to ensure that we meet our commitments to diversity set out in the 10- point plan agreed between the Cabinet Secretary and the Civil Service Management Board. This plan emphasizes the importance of treating everyone equally with dignity and respect, irrespective of race, disability or belief.

## Communications

The main route to deliver news and information to RCPO staff is the intranet, which also serves as an electronic library for legal guidance and internal policy documents. The Communications team arranges meetings in London and Manchester for the Director and COO to address all staff, and holds monthly focus groups which allow any current concerns to be reported back to senior management. A staff newsletter is due to be launched in early 2007.

## Building The Capability To Deliver Management Information

A new Management Information System was introduced during 2006-07. Divisions have set up enhanced data capture systems, which report current caseload information and the outcomes of trials concluded during the month. The system also records information and outcomes against case complexity, assisting the Department in its resource planning activities.

## Finance

During 2006-07 RCPO developed finance systems and procedures in order to strengthen financial management. This includes improved processes for the management of counsel - an area of historical difficulty - and the speed of payments and the monitoring of budgets. In particular, the Department has established a new fees system that monitors and manages work done by counsel and provides a clear audit trail. Payments are made promptly according to fixed rates against monthly invoices.

## Accommodation

A major accommodation project has been undertaken with the refurbishment to date of most of the office space in London, providing a better working environment for legal and support staff. Improved storage facilities have been made available, and case preparation is supported by new quality reprographics machines and high-speed DVD/CD duplicators. The project will continue during 2007, with further work in London, including the possible establishment of a disclosure suite, and the refurbishment of the office space in Manchester.

## Information Services

RCPO has completed the upgrading of desktop PCs and laptops, and of the network and server software. Extensive work has been undertaken to identify the procurement options available to RCPO in order for it realise wide ranging improvements in the IS services it receives. In terms of case management systems, the department has been testing its requirements against *Chiron*, the new HMRC system. Should this system fail to match requirements, RCPO will explore the possibility of a replacement for *SOLAR*. The Department is also preparing for the installation of Athena, which is SOCA's key case management tool. It provides direct access to SOCA
prosecutors, the interrogation of material, and secure communication with SOCA investigators.

## Forward Look

The priorities for RCPO going forward will be the servicing of criminal casework from HMRC and SOCA to the highest standard, and the development of our relationships with these two organisations. A prime example is the extension of RCPO charging to all HMRC criminal investigations from early April 2007. The scheme has been run successfully by the SOCA Division since March 2006. RCPO and HMRC have been working closely together on this project. RCPO prosecutors will decide who, when and with what offence any person the subject of investigation by HMRC, will be charged. Our position as an independent prosecutor will be strengthened. Prosecutors will be involved earlier across a broad range of cases and HMRC processes will be brought in line with standard CJS practice. RCPO will look to meet the challenges that will face the organisation in the future. For example, its caseload of long and complex cases is expected to increase in line with the growth in Missing Trader Intra-Community Fraud. The emergence of organised tax credit fraud involving identity theft, and the growth in serious organised crime, will require RCPO to provide a co-ordinated and effective response with HMRC and SOCA.

|                                                          |         |         |         |         | Total public spending for RCPO*   | £'000   |
|----------------------------------------------------------|---------|---------|---------|---------|-----------------------------------|---------|
| 2001-02                                                  | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                           | 2007-08 |
| Outturn                                                  | Outturn | Outturn | Outturn | Outturn | Estimated                         | Plans   |
| Consumption of resources                                 |         |         |         |         |                                   |         |
| The effective and efficient                              |         |         |         |         |                                   |         |
| prosecution of cases in                                  |         |         |         |         |                                   |         |
| accordance with the code                                 |         |         |         |         |                                   |         |
| for Crown Prosecutors                                    | 25,883  | 26,768  | 26,358  | 35,251  | 33,903                            | 33,227  |
| Total resource budget                                    | 25,883  | 26,768  | 26,358  | 35,251  | 33,903                            | 33,227  |
| of which                                                 |         |         |         |         |                                   |         |
| : Administration expenditure                             |         |         |         |         |                                   |         |
| Paybill                                                  | 8,784   | 9,084   | 9,554   | 9,465   | 9,941                             | 10,646  |
| Other                                                    | 3,433   | 3,550   | 3,459   | 4,628   | 5,078                             | 6,002   |
| Total administration budget                              |         |         |         |         |                                   |         |
| 12,217                                                   | 12,634  | 13,013  | 14,093  | 15,019  | 16,648                            | 18,253  |
| Total public spending                                    | 25,883  | 26,768  | 26,358  | 35,251  | 33,903                            | 33,227  |
| RCPO has made no capital expenditure prior to March 2007 |         |         |         |         |                                   |         |
| Total departmental spending                              |         |         |         |         |                                   |         |
| †                                                        |         |         |         |         |                                   |         |
| 25,883                                                   | 26,768  | 26,358  | 32,052  | 33,880  | 33,227                            | 36,726  |
| of which:                                                |         |         |         |         |                                   |         |
| Total DEL                                                | 25,883  | 26,768  | 26,358  | 32,052  | 33,880                            | 33,227  |
| Total AME                                                | -       | -       | -       | -       | -                                 | -       |

† Total departmental spending is the sum of the resource budget and the capital budget less depreciation. Similarly, total DEL is the sum of the resource budget DEL and capital budget DEL less depreciation in DEL, and total AME is the sum of resource budget

Spending by local authorities on functions relevant to the department Current spending
–
–
–
–
–
–
–
of which:
financed by grants from budgets above
–
–
–
–
–
–
–
Capital spending
–
–
–
–
–
–
–
of which:
financed by grants from budgets above††

†† This includes loans written off by mutual consent that score within non-cash Resource Budgets and aren't included in the capital support to local authorities line in Table 3. * Outturns prior to 2005-06, when prosecuting functions were carried out by offices within Customs & Excise and the Inland Revenue, are not directly comparable to outturns since the creation of RCPO.

Outturn

## 3 Revenue And Customs Prosecutions Office Further Information

Further information on the work of the RCPO may be obtained from:
Revenue and Customs Prosecution Office New Kings Beam House 22 Upper Ground London SE1 9BT Telephone number: 0870 785 8073 Fax: 0870 785 8341 Website: www.rcpo.gov.uk

## Serious Fraud Office Serious Fraud Office Tables 4 Serious Fraud Office Introduction Role Of The Department

The Serious Fraud Office (SFO) was established by the Criminal Justice Act 1987, following the 1986 Roskill Report. Under that Act its role is to investigate and prosecute cases of serious or complex fraud in England, Wales and Northern Ireland and contribute to deterring such fraud. The SFO is headed by the Director, Robert Wardle, who acts under the superintendence of the Attorney General. In exercising his statutory responsibilities under the Criminal Justice Act 1987, the Director is supported by the Strategic Management Board and the Operational Board. The Strategic Management Board comprises the Director, three Non-Executive Directors (NEDs), the Deputy Director, the Head of Resources and Planning, the Head of Policy and the Head of Accountancy. The Operational Board comprises members of the Strategic Management Board, the six Assistant Directors in charge of operational divisions, and the Head of HR and Finance.

## Management Structure Organisation

The SFO is part of the Criminal Justice System (CJS) and is affected by changes and developments in that system. To achieve its aim and objectives it must take into account and be part of developments in the wider world of law enforcement and financial regulation.

## 4 Serious Fraud Office Aim

The aim of the SFO is to contribute to:

G Reducing fraud and the cost of fraud; G The delivery of justice and the rule of law; and G Maintaining confidence in the UK's business and financial institutions.
The objectives of the SFO are to take on appropriate cases and:

G Investigate them and bring them to a successful conclusion as quickly as individual
circumstances allow; and
G When a decision to prosecute is made, to prosecute fairly and in a way that enables the jury to
understand the issues. 
In carrying out its aims and objectives, the SFO will: 

G Work effectively and efficiently; G Co-operate with other agencies and overseas jurisdictions; and G Ensure that its activities, and the way they are reported, contribute to deterring fraud.

## Efficiency Plan 2004 Spending Review

Delivery of the 2006-07 targets has continued to progress well with no risk to future delivery. As at December 2006 the declared savings were £3.6 million which is £0.1 million ahead of the total target. These were mainly due to savings as a result of a changed accommodation strategy. Activity in the corporate services workstream delivered improved management information, reduced recruitment cycle times and lower agency staff rates along with better focused recruitment advertising and rationalisation of temporary staff. The procurement stream resulted in a more cost effective accommodation strategy (noted above), reduced costs of document scanning and significant rationalisation of IT infrastructure and support service costs. In the productivity stream the DOCMAN system contributed to more effective case management and progress. Efficiency gains this year are estimated to be £1.4 million.

## Efficiency Review Targets

|                                     |         | Effiency Review Timeframe:   | Totals   |
|-------------------------------------|---------|------------------------------|----------|
| Year                                | 2005-06 | 2006-07                      | 2007-08  |
| Target efficiencies:                | £m      | £m                           | £m       |
| SR2004 Settlement                   | 1.13    | 2.0                          | 2.815    |
| Efficiency by Workstream:           |         |                              |          |
| Productive Time                     |         |                              |          |
| DOCMAN                              | 0.3     | 0.6                          | 1        |
| Scanning                            | 0.2     | 0.2                          | 0.2      |
| Electronic Presentation of Evidence | 0.02    | 0.02                         | 0.06     |
| TOTAL                               | 0.52    | 0.82                         | 1.26     |
| Procurement                         |         |                              |          |
| Consultants                         | 0.05    | 0.05                         | 0.15     |
| FM                                  | 0.01    | 0.01                         | 0.01     |
| Accommodation                       | 1.4     | 1.6                          | 2.0      |
| TOTAL                               | 1.46    | 1.66                         | 2.16     |
| Corporate Services                  |         |                              |          |
| Recruitment                         | 0.01    | 0.01                         | 0.01     |
| Temp Staff                          | 0.04    | 0.04                         | 0.04     |
| TOTAL                               | 0.05    | 0.05                         | 0.05     |
| Total Baseline Savings:             | 2.03    | 2.53                         | 3.47     |

## Risk

Risk management forms part of the operating environment of the SFO. There is a risk management strategy which is reviewed periodically. Each executive board member has responsibility for risk and mitigation in their respective areas of responsibility as well as corporately. There is a regular review of the risk register, and risk assessment is part of project methodology employed by project sponsors and managers in their plans. The Audit Committee reviews the risk strategy and the risk register periodically as a standing agenda item, and receives reports on the effectiveness of risk management processes and systems. Through the SFO intranet, all staff are made aware of the risk strategy and of the need to identify and manage risk in the various aspects of the SFO's business. In the operational aspects of the SFO's business, risk is inherent particularly in the prosecution of cases. Considerable management effort is applied at case level to assessing the risk factors - particularly financial - in embarking upon prosecution, balancing those factors with the need to pursue cases in the public interest.

## 4 Serious Fraud Office Performance Against Targets

The key targets to be achieved in 2005-06 were: 

G Seek to achieve reductions in investigation and prosecution times for cases; and G Maintain a caseload of 85 active cases (including appeals) within allocated resources. The
caseload at 31 March 2006 was 97. 
Additionally the following baseline measure is reported on:

G The long run rate showing defendants successfully prosecuted. This provides a quality check
over time. The current long-run rate is 69%; the figure at 2004-05 was 69%. Although there
is no 'right' long run rate, a reasonable expectation based on past performance is in the 60-70% range.

## Strengthening The Prosecution Process

The SFO is committed to reducing the length of investigation and prosecution phases by being more effective in those areas which it can more closely control. These include:

G Rigorous vetting of cases referred to the Office; G Terminating as quickly as possible investigations which are not likely to lead to a prosecution; G Focussing the investigation on key offenders and key charges to avoid over-burdening the
investigation and prosecution;
G Transferring cases as quickly as possible to the Crown Court; G Ensuring cases are presented fairly, concisely and understandably; and continuously improving
value for money;
G Using document management systems and information technology to speed up investigations
and prosecution;
G Collaboration and joined up working with partners within the CJS; and G A review of practice and procedure is being carried out with particular reference to practice in
other jurisdictions to see if the process can be strengthened further.
The statutory criteria for accepting cases are interpreted in the light of published criteria agreed by the Law Officers. The key criterion for the SFO to take on a case is that the suspected fraud was such that the direction of the investigation should be in the hands of those who will be responsible for the prosecution. The factors that would need to be taken into account include:

G The sum at risk is estimated to be at least £1 million. (This is simply an objective and
recognisable mark of seriousness and likely public concern, rather than the main indicator of suitability);
G The case is likely to give rise to national publicity and widespread public concern. Such cases
include those involving government departments, public bodies, the governments of other countries and commercial cases of public interest;
G The case requires a highly specialist knowledge of, for example, financial markets and their
practices;
G The case has a significant international dimension; G There is a need for legal, accountancy, and investigative skills to be brought together; and G The suspected fraud appears to be complex and one in which the use of section two powers
(Criminal Justice Act 1987) might be appropriate.
None of these factors, taken individually, would necessarily be regarded as conclusive. The SFO already deals with money laundering offences arising out of investigations into serious and complex fraud, and is able to investigate any offence which involves such fraud. Offences such as laundering and corruption feature in both current investigations and past prosecutions. The Enterprise Act 2002 criminalised anti-competitive behaviour by individuals and the SFO shares responsibility with Office of Fair Trading (OFT) for the conduct of criminal prosecutions under this legislation. The Anti-Terrorism, Crime and Security Act 2001 clarified the law relating to the bribery of foreign officials by UK nationals or companies. The SFO has taken responsibility for the initial review of all allegations received in this area. Where sufficient evidence exists it will expect to begin an investigation. If the case should not for some reason fall within the SFO's criteria, it will endeavour to ensure that it is still dealt with by another law enforcement or regulatory body.

## Building Strong Partnerships

The SFO and the City of London Police Economic Crime Department have built on the initiatives to enable closer collaboration and mutual understanding to tackle fraud within London and the South East. Joint working discussions focussing on effectiveness, efficiency and logistics to support change have continued and positive advances have been made. The development of a joint mobile forensic laboratory will enable computer-based material to be accessed at the scene of a search rather than having to remove the hardware to a remote laboratory. This in turn will allow the computer owner to have their equipment returned more quickly and will make the material available to investigators in a much shorter time. In London the SFO works primarily with the lead force the City of London Police (CoLP). This relationship has been strengthened by the establishment of a special CoLP unit for investigating allegations of overseas corruption. A Memorandum of Understanding (MOU) with the Association of Chief Police Officers (ACPO) sets out the agreed approach to SFO investigations, and who will be responsible for different aspects of the work. Each operational division has an alignment with police forces in an operational area although all take cases from the Metropolitan and City police forces. The Police Force Structures Review and proposed consolidation of individual forces may have a significant impact on resources, relationships and the way we work.

A case may be referred to the SFO by the police, the Department of Trade and Industry (DTI), another government body or regulator, or sometimes by a liquidator or other statutory office holder. Each is now considered by the Vetting Team and an Assistant Director to decide whether it fulfils the statutory criteria for acceptance. In some cases a preliminary investigation is conducted to establish whether the case will come within the criteria and whether there is a realistic prospect of the investigation resulting in a prosecution. Early referral of cases is encouraged. The SFO chairs the Joint Vetting Committee (JVC) which includes representatives from a number of organisations in the CJS. Its purpose is to decide which is the most appropriate body to investigate a suspected fraud. Last year the Serious Organised Crime Agency (SOCA) joined the committee which also includes representatives from the Crown Prosecution Service (CPS), Metropolitan Police, CoLP
, ACPO (on behalf of the other police forces), OFT, HM Revenue and Customs (HMRC) and the DTI (investigations branch). The JVC is also a forum for discussing matters of mutual interest.

## Mla (Mutual Legal Assistance) Unit Working With Bodies Overseas

Deterring criminals abroad who target victims in the UK is one of the reasons that the SFO has a team of investigators who assist overseas investigations. In the first nine months of 2006-07 the MLA team assisted in the same number of investigations as it had in the entirety of 2005-06. MLA statistics for 2005-06 recorded the highest level of incoming letters of request for the last four years. Equally, Section 2 Notices served for the purpose of obtaining evidence on behalf of requesting states is the highest number since the MLA Unit was created in 1995. 

MLA Figures
2002-03
2003-04
2004-05
2005-06
2006–07
New requests referred
39
30
35
41
53
Requests accepted
35
30
30
40
53
Under consideration (at the end of year)
3
2
4
1
0
Supplementary requests [1]
26
33
41
40
50
Number of Countries making requests
27
30
30
23
24
Requests active at year end [2]
41
44
51
57
71
Section 2 Notices issued for MLA
181
261
206
274
345
Search Warrants executed
2
10
8
0
7

London is an important financial centre and the SFO must be vigilant to prevent London becoming the home for criminal proceeds. Where overseas investigations reveal laundering activities by professionals or institutions operating from London, a parallel domestic investigation may be commenced or the SFO may be asked to restrain criminal proceeds until a confiscation order is made in the overseas prosecution. Five overseas cases involving approximately £115m were dealt with by the new Asset Restraint Unit.

In the first six months of 2006-07 the SFO provided assistance to the following countries:
By comparison the SFO has sought assistance in its domestic operations from countries including Australia, Bermuda, Isle of Man, Malaysia, Seychelles, Singapore, USA, Czech Republic, Brazil, Cayman Islands, Guernsey, Netherlands Antilles, Switzerland, Spain, Tanzania, South Africa, Liechtenstein and Luxembourg. Apart from operational assistance, the MLA Unit has also provided a number of formal presentations to representatives from countries including, The Netherlands, Lithuania, Bulgaria, France, Malaysia, Mauritius, Sweden, Ghana and a number of Commonwealth countries through the Foreign and Commonwealth Office. 

During the reporting year, the MLA Unit continued to work closely with other law enforcement agencies in the U.K. including HMRC, the CPS and the Financial Services Authority. Both SOCA and the Metropolitan Police continue to offer support when requested. Liaison with lawyers and senior police officers from these agencies is encouraged and annual MLA meetings at the Home Office foster greater collaboration on an inter agency level. Such co-operation reflects the increasing desire among law enforcement agencies to respond to overseas requests in a professional and organised manner which will enhance the reputation of the U.K. in the area of international mutual legal assistance.

## Management And Operations

The SFO has a multi-disciplinary approach to the investigation and prosecution of serious and complex fraud. Each case is allocated to a team that includes lawyers, investigators, information technology and other specialists, law clerks and police officers. The SFO makes extensive use of private sector expertise as necessary, for example employing private sector accountants to assist in investigations and using advocates to prosecute.

## 4 Serious Fraud Office

Each operating division is made up of lawyers, accountants and other specialist financial investigators and support staff. Inter-disciplinary teams, each headed by a case controller, are formed from within operating divisions to deal with cases allotted to them, and case budgets are delegated. Management information systems provide the Director and senior management with information on case budgets, expenditure, timetables and the Director meets with each division monthly to discuss the cases and their progress. The SFO operates a delegated budgeting system to encourage value for money, and budgeting rounds are held two or three times a year. Case budgets are delegated to case controllers and are reviewed as necessary in the light of changes in case plans and the SFO undertakes monthly reviews of expenditure throughout the financial year to ensure that expenditure stays within provision. Working procedures and management information needs are part of the strategic reviews that are continuing. Systems for risk management are in place and regular reviews take place at the relevant levels within the organisation. The Strategic and Operational Boards regularly monitor the identified key risks to the organisation. They are aided in this by the work of the Audit Committee which promotes and provides support on key overall corporate governance issues to the Director. Development of financial and information systems continues and these will improve the management and delivery of the SFO aim and objectives. Improvements are planned to provide capture and dissemination of more timely and accurate information to managers within the SFO to support decision making, the achievement of objectives and accountability. In the past year the SFO successfully piloted a new task management system that is currently being rolled out to all new cases. The SFO seeks to achieve a cost-effective balance between permanent and temporary staff and keeps its staffing plans under review so that staff numbers can be accommodated within administration costs provision. At 31 March 2007, the SFO had 12 members of the Senior Civil Service, falling within the salary bands indicated in the table below.

Senior Civil Service Salaries £5,000 Bands
Number of staff
£65,000 - 69,999
1
£70,000 - 74,999
3
£75,000 - 79,999
5
£85,000 - 89,999
0
£90,000 - 94,999
1
£100,000 - 104,999
1
£160,000 - 164,999
1

## Use Of Information Technology

The Digital Forensic Unit (DFU) of the SFO is responsible for the acquisition, processing and investigation of relevant data from seized electronic devices. All SFO cases involve the analysis of digital material and the DFU contributes expertise and equipment to aid case investigators with this task. Keeping pace with change and especially volumes is a constant challenge. The DFU continually strives to meet these challenges and is heavily involved in the research and development of new techniques. The introduction of a mobile forensic laboratory to enable digital material to be accessed at the scene of a search rather than having to remove the hardware to a remote laboratory will improve the delivery and the effectiveness of the DFU team.

The DOCMAN system supports the Office's casework from the initial acquisition of documents through to the presentation of the case in Court. It involves scanning all the case documents in to a computer system so that case workers work on computerised images rather than paper documents and will provide enhanced capability to produce documentation sets needed for prosecution purposes. It provides provenance and continuity of evidence. The system will be extended and enhanced in 2007-08 when it will become known as Case Tool Kit. The SFO is a pioneer in presenting cases in Court using Information Technology. The majority of cases now use electronic presentation systems which have the potential to shorten the length, and therefore the cost of the trials. The dependence of the SFO on information systems to carry out its daily operations continues to increase, particularly in relation to handling documentation, investigation and collaborative working. During the year work continued on:

G The support of the SFO infrastructure, taken over by SunGard Vivista following a re-tender in
2006-07;
G Continuous review of the information technology strategy to ensure best value and placement
to be able to respond to continuing IT changes;
G Migrating to Microsoft Windows 2003 and Microsoft Office 2003; G Continuous review of security in accordance with government policy and the continued
accreditation to ISO 17799;
G Further revision and testing of Business Continuity Plans to reflect changes and improved
response capability;
G Adoption of the Trent HR management system; G Plans for electronic records management (ERM) and archiving to comply with central
requirements and support access under the Data Protection Act and Freedom of Information (FOI) requests; and
G Implementing a new office-wide intranet.

## Departmental Investment Strategy

The capital provision published in the SR 2004 settlement details the total available to the department for administrative capital. All current and capital expenditure supports core operational functionality and is planned, as far as possible, to take account of changing circumstances which may affect these operations, in advance of their occurrence. The SFO continues to seek value for money on all procurement and contracts. Given the small size of the SFO, this is most effectively carried out through maximising use of framework contracts set up by the Office of Government Commerce and continuing partnerships with other public sector organisations that have dedicated resources working in these areas. The SFO is also looking at ways of leveraging better value through sharing of common services with other Law Officer Departments. Historically, the SFO has not been asset rich. Headquarters office space is occupied on a full repairing lease and a programme of refurbishment to support and improve the fabric of the property is in progress. With the increase in SFO permanent staff, Elm House has become incapable of supporting the SFO's total space needs. The SFO has leased additional office space close to Elm House. The additional capital provision available from 2004-05 was a step change and provided the opportunity for the office to reconsider its investment plans and to seek to provide the tools to further promote effectiveness and efficiency including the DOCMAN Programme. As a component of this the capital employed by the SFO and plans for the future have an increasing impact on its ability to deliver the aims and objectives of the office (see table below).

SFO Capital Employed
2001-02
2002-03
2003-04
2004-05
2005-06
2006-07
2007-08
Outturn
Outturn
Outturn
Outturn
Outturn
Forecast
Plan
Assets on balance sheet at end of year:
Fixed assets:
Tangible of which:
Other Equipment
42
54
67
129
476
600
700
Leasehold improvements
1,200
2,500
Computer equipment
298
334
1,160
1,987
3,243
3,200
3,500
Intangible
168
168
215
250
250
340
388
1,395
2,284
3,943
5,250
6,950
Current assets
780
4,621
2,627
2,913
1,660
1,500
1,500
Creditors (<1 year)
2,676
6,292
4,049
5,871
6,125
7,300
7,300
Provisions
353
379
289
209
347
350
350
Capital employed 
(1,909)
(1,662)
(316)
(883)
(878)
(900)
800
Outturn

## Resource Budget

Expenditure on administration includes current costs and the costs of capital spending. Administration expenditure includes general costs associated with the running of the office and covers such items as staff costs, other general administrative expenditure, IT services and accommodation costs. Investigation and prosecution programme expenditure covers Counsel fees, witness expenses and other direct case investigation and prosecution costs. No specific provision to cover very large cases has been made in plans. Both the incidence and size of such cases is unpredictable and the subject of individual negotiation with the Treasury. Details of the administration and programme budgets' outturn and future plans are given in the table below.

|                      |         |         |         |         | Resource Budget for the Serious Fraud Office   | £000    |
|----------------------|---------|---------|---------|---------|------------------------------------------------|---------|
| 2001-02              | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                                        | 2007-08 |
| Outturn              | Outturn | Outturn | Outturn | Outturn | Estimated                                      | Plans   |
| Serious Fraud Office | 23,030  | 26,214  | 27,791  | 32,864  | 39,869                                         | 41,858  |

## Counsel Fees And Costs Awarded Against The Sfo

Spending on counsel fees, a major component of programme expenditure and costs awarded against the SFO is given in the table below:

|               |         |         |         |         | Counsel fees and costs awarded against the SFO   | £000s   |
|---------------|---------|---------|---------|---------|--------------------------------------------------|---------|
| 2001-02       | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                                          | 2007-08 |
| Outturn       | Outturn | Outturn | Outturn | Outturn | Estimated                                        | Plans   |
| Counsel fees  | 4,322   | 4,000   | 4,306   | 3,748   | 4,284                                            | 4,639   |
| Costs awarded | 0       | 0       | 18      | 98      | 822                                              | 0       |
Outturn
Outturn

## Staffing

As at 31 December 2006, the SFO had 317 permanent staff compared with 290 at 31 March 2006. These figures exclude fixed-term contract employees, consultants, counsel engaged on individual cases and police officers working within the Office.

## Staff Numbers

|                    | 1999-00   | 2000-01   | 2001-02 2002-03   | 2003-04   | 2004-05   | 2005-06   | 2006-07   | 2007-08   |
|--------------------|-----------|-----------|-------------------|-----------|-----------|-----------|-----------|-----------|
| Actual             | Actual    | Actual    | Actual            | Actual    | Actual    | Actual    | Actual    | Plans     |
| Civil service full |           |           |                   |           |           |           |           |           |
| time equivalents   | 166       | 169       | 210               | 232       | 238       | 247       | 290       | 317       |
| Overtime           | 2         | 1         | 3                 | 2         | 2         | 2         | 2         | 2         |
| Casuals            | 9         | 22        | 3                 | 18        | 14        | 12        | 10        | 3         |
| Total              | 177       | 192       | 216               | 252       | 254       | 261       | 312       | 322       |

Recruitment has been ongoing throughout the year, particularly in relation to investigative and support staff. There have been a number of occasions where permitted exceptions to fair and open competition have been used. The resource needs of SFO cases are such that it proves necessary, from time to time, to appoint staff on short-term contracts, particularly to provide support to off-site case teams. The SFO is committed to treating all applicants fairly and reasonably irrespective of their ethnic or national origin, sex, marital status, sexual orientation, religion or disability. Processes are kept under regular review to ensure that any indicators of bias are highlighted and tackled. The SFO is similarly committed to treat all its employees fairly. The table below analyses staff by grade and shows the number of women, ethnic minority and disabled staff in post at 31 December 2006. During the year the SFO has reissued its policy documents on Equality and Diversity, and Dignity at Work.

Permanent women, ethnic minority and disabled staff
Band
No. of posts
Women
Ethnic Minority
Disabled People
SCS
11
3
0
0
G7 - G6
81
32
11
1
HEO - SEO
89
29
15
5
EO
83
37
25
2
AO
53
31
19
2
Total
317
132
70
10

## Human Resource Management

This year the SFO has continued work to improve the way staff are managed, assessed and rewarded. It has:

G Started to review performance bonus system in order to create a more robust and open
process;
G In partnership with the other Attorney General's Departments (CPS, Treasury Solicitor and
RCPO), developed a new HR Information System, designed to increase efficiency in maintaining personal data and provide a comprehensive range of Management Information;
G Reviewed and republished the SFO Staff Guide, available for the first time on the SFO's
Intranet, thereby providing a more interactive document, with improved guidance for managers; and
G Continued a major review of recruitment and training strategies to ensure that skills and the
availability of those skills better match business needs. Recruitment processes have also been improved through the introduction of electronic application forms. 
Training and development remains a major priority for the SFO. The SFO encourages development amongst its staff, including those who demonstrate the commitment and ability to obtain external qualifications. The Office is working towards retaining its accreditation as an Investor in People and is approved to train solicitors. The SFO also has Approved Employer status for the Association of Chartered and Certified Accountants.

## Sickness Absences

Sick absence for 2006 resulted in an average of 6.91 days per employee.

## 2006-07 Outturn

The provisional outturn for 2006-07 is £41.85 million.

## Public Spending Plans And Regional Expenditure

Public spending plans are shown in the table below. All SFO expenditure, by its nature, cannot be analysed by the country or region of the UK for whose benefit it has been expended except to say that expenditure is incurred mainly in London and the South East where SFO headquarters is based.

|                             |         |         |         |         | Total public spending for the SFO   | £000    |
|-----------------------------|---------|---------|---------|---------|-------------------------------------|---------|
| 2001-02                     | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                             | 2007-08 |
| Outturn                     | Outturn | Outturn | Outturn | Outturn | Estimated                           | Plans   |
| Consumption of resources:   |         |         |         |         |                                     |         |
| Reducing fraud and the risk |         |         |         |         |                                     |         |
| of fraud, and delivering    |         |         |         |         |                                     |         |
| justice and the rule of law | 23,030  | 26,214  | 27,791  | 32,864  | 39,869                              | 41,858  |
| Total resource budget       | 23,030  | 26,214  | 27,791  | 32,864  | 39,869                              | 41,858  |
| of which:                   |         |         |         |         |                                     |         |
| Resource DEL                | 23,030  | 26,214  | 27,791  | 32,864  | 39,869                              | 41,858  |
| Capital spending:           |         |         |         |         |                                     |         |
| Reducing fraud and the risk |         |         |         |         |                                     |         |
| of fraud, and delivering    |         |         |         |         |                                     |         |
| justice and the rule of law | 256     | 228     | 1,052   | 2,060   | 2,259                               | 3,431   |
| Total capital budget        | 256     | 228     | 1,052   | 2,060   | 2,259                               | 3,431   |
| of which:                   |         |         |         |         |                                     |         |
| Capital DEL                 | 256     | 228     | 1,052   | 2,060   | 2,259                               | 3,431   |
| Total public spending       |         |         |         |         |                                     |         |
| 1                           |         |         |         |         |                                     |         |
| 23,108                      | 26,259  | 28,234  | 33,772  | 41,023  | 43,445                              | 37,702  |

1 Total public spending calculated as the total of the resource budget plus the capital budget, less depreciation.

## Further Information

Further information on the work of the SFO may be obtained from:
Serious Fraud Office Elm House 10-16 Elm Street London WC1X 0BJ Telephone number: 020 7239 7272 Fax number: 020 7837 1689

Outturn

## 5

Treasury Solicitor's Department TSol (Treasury Solicitor's Department Agency) Attorney General's Office HM Crown Prosecution Service Inspectorate Treasury Solicitor's Department Tables

## Treasury Solicitor'S Department Introduction

The HM Procurator General and Treasury Solicitor's Department Estimate covers:

G TSol, which includes the Treasury Solicitor's Department Agency and the Government Legal
Service Secretariat (GLS Secretariat);
G The Attorney General's Office (AGO), previously the Legal Secretariat to the Law Officers
(pages 94-97); and
G HM Crown Prosecution Service Inspectorate (HMCPSI) (pages 98-105).
TSol provides legal services to Departments of central government and to other publicly funded bodies, and collects bona vacantia on behalf of the Crown. TSol's two main work streams are Litigation and Advisory legal services. The GLS Secretariat supports the Treasury Solicitor in his role as Head of the Government Legal Service. It develops policies that enhance the reputation, effectiveness and corporate cohesiveness of the GLS. The AGO provides legal and policy advice and support to the Attorney General and the Solicitor General (the Law Officers). Receipts from client departments meet over 90 per cent of the costs of the work undertaken by TSol (either through hourly fees or a per capitation charge rate). This part of the Estimate operates on net administration costs control. The public interest work undertaken by TSol and the other areas of the Estimate are met by funds voted by Parliament. 

TSol was established as an Executive Agency in April 1996 and moved to net administration costs control in April 1999. The Agency is led by HM Procurator General and Treasury Solicitor (currently Paul Jenkins), in the role of Agency Chief Executive. Ministerial oversight of all the areas covered by the Estimate rests with the Attorney General.

## Tsol Organisation And Management Structure

The Treasury Solicitor, as Chief Executive and Accounting Officer of TSol, is supported in delivering his responsibilities by the Executive Board and the Senior Leadership Team (SLT). The Executive Board is a small group of directors and Non-Executive Directors (NEDs) representing different Agency business areas - litigation, advisory work, and corporate services. It is the main decision making body and supports the Chief Executive in delivering the Agency's objectives. The SLT includes all TSol directors. The role of the SLT is to advise the Chief Executive on the broad strategic direction of TSol business and provide collective leadership across the department. It also acts as a key stakeholder group for assessing the impact of improvement activity on the business.

## Internal Control

TSol's senior management have implemented a programme of improvements in internal control and management systems. Programme Boards have been established for each key focus area - Client Care, Business Systems and Human Resources to ensure improved monitoring and control of change activity and associated risk and capacity issues. The Boards are supported by the Business Strategy Unit through business planning, programme management and performance and risk measurement. TSol has an Audit Committee which supports the Accounting Officer by monitoring and reviewing the department's risk, control and governance processes, and the associated assurance processes. The committee, which meets three times a year, is chaired by an independent member and includes three NEDs. A Security Committee in TSol oversees security policy and practice, including IT security and Physical Audits. TSol is compliant with the BS7799 standard for information security management.

## Management Structure Tsol Aim And Objective

Aim: To be our clients' best choice for the services we provide. Objective: To provide high quality, value for money, legal services that meet the needs of our clients; to collect bona vacantia on behalf of the Crown; to give our staff the opportunity to develop themselves and their careers; and thus maintain a high reputation for TSol as a whole.

TSol have published a Corporate Plan to cover the years 2005-2008. One target TSol have set is to be consistently seen by their clients as being their best choice. 

To achieve this TSol are focussed on three key strategic areas:

G Satisfied clients; G Satisfied people; and
G Best practice systems.

## Efficiency Programme

The targets for the efficiency savings and the workforce reductions to be achieved by March 2008 which were set in the 2004 Spending Review are:

| Non-cashable savings   | Cashable Savings   |   Headcount reduction |
|------------------------|--------------------|-----------------------|
| £1.2m                  | £1.8m              |                    36 |

The baselines for cost savings and for the workforce reductions are 2003-04. To meet this target savings of £0.3 million (£0.1 million non-cashable and £0.2 million cashable) were achieved in 2005-06 and TSol has delivered an additional £0.8 million (£0.4m non-cashable and £0.4 million cashable) in 2006-07 to remain on target. The target for workforce reductions as a result of these savings is 36 posts by the end of 2007-08 and 14 have already been delivered. TSol is focussed on achieving the twin goals of genuine efficiency and providing better quality services at lower cost to the client. TSol established an Efficiency Programme Board to deliver, in 2007-08 and beyond, a programme of improved business processes, information systems and infrastructure and thereby reduced costs. Key initiatives include:

G Examination of IT service delivery options. Initially ITIL® 11 assessment is being used to refocus
in-house services, defining deliverables and processes and rationalising technology. This will pave the way for considering IT delivery through shared services;
G Development and implementation of a shared service HR database and payroll solution in cooperation with Crown Prosecution Service, HM Revenue and Customs and Serious Fraud Office; 
G Investigation of potential for shared procurement services;
11 IT Infrastructure Library ® is a Registered Trade Mark of the Office of Government Commerce

G An audit of space at TSol headquarters to enable benefit maximisation of office and
conference facilities; and
G Develop a programme of change in Litigation & Employment Group.

## Value For Money

As the provider of legal services to over 180 Government Departments and public bodies, a key TSol aim is to provide value for money to its clients. In 2006-07, the increase in charge-out rates was reduced from 3% to 1.7% and a further reduction in the rate of increase to 1.5% is planned for 2007-08. TSol has a specific target to limit overhead costs. The Agency has taken a number of initiatives, such as building on the L-CAT partnership with Office of Government Commerce (OGC), in order to help client departments achieve value for money when purchasing legal services from the private sector. 

## Targets

TSol business targets for 2006-07 were as set out in the Corporate Plan (2005-08):

## For Client Service:

G To meet client satisfaction ratings measured by % of clients rating TSol services as 'Good' or
'Excellent'
G
At least 95% for Advisory and Litigation Divisions 

## For Cost:

G To recover from clients the full operating costs for chargeable services. G To maintain corporate service staff costs at no more than 14% of total staff costs (Note that
the basis for calculation of this measure has been redefined for 2007-08 to make it more stretching)

## For Government Productivity And Efficiency Targets:

G To pay all undisputed supplier invoices in accordance with terms or within 30 days.

## Treasury Solicitor'S Department Performance Against Targets 2006-07

TSol's performance against target is outlined below:

| Performance Measures                         | Latest Outturn     |
|----------------------------------------------|--------------------|
| Client Satisfaction                          |                    |
| Client satisfaction ratings as measured by % | Target:            |
| of clients rating TSol 'Good' or 'Excellent' | Achieved: Advisory |
| Cost                                         |                    |
| Maintain corporate staff overhead costs at   | Target:            |
| no more than 14% of total staff costs        | Latest Outturn:    |
| Recover full operating costs of chargeable   |                    |
| services                                     | Met                |
| Government Productivity & Efficiency Targets |                    |
| Pay all undisputed supplier invoices in      |                    |
| accordance with terms or within 30 days      | Latest Outturn:    |

## Tsol'S Work

TSol is structured to meet the needs of its clients. The work of each Division is summarised below.

## Litigation And Employment Group

Provides civil litigation services to the majority of Government Departments and many other publicly funded bodies. It is one of the largest civil litigation practices in the country. Activity is recorded against some 21,000 cases annually. The Group has been restructured along client lines to improve the client focus of services particularly for TSol's three major clients. The Group recovers the majority of its costs by billing client Departments for its time, through hourly fee charging.

## Advisory Divisions

Provide legal advice and legislative drafting to Ministers and officials of the Departments for Culture, Media and Sport; Education and Skills and HM Treasury. Each of these Divisions is colocated with their principal client. The Cabinet Office and Central Advisory Division (COCAD), based at TSol's headquarters, provides legal advice and legislative drafting to the Cabinet Office and to a number of smaller Departments and publicly funded bodies. There is also a small team within COCAD which provides advice to, and is co-located with, OGC. The full cost of advisory work is recovered from clients, through a mixture of per capitation and hourly fee charging.

Litigation:
92%

## European Division

Provides and co-ordinates legal services in support of the Government's policies in relation to the European Union. It advises the European Secretariat of the Cabinet Office, conducts all litigation on behalf of the UK in the European Court of Justice, and co-ordinates approaches to questions of Community law across Government Departments. The cost of the Division's work is primarily met by the Estimate, but from 2006-07 a levy on client departments has been introduced to meet part of the costs of the European Litigation team. 

## Bona Vacantia Division

Acting on behalf of the Crown, the Division identifies, collects and disposes of ownerless assets left by dissolved companies and people who die without a will or blood relatives entitled to inherit their estates. This involves handling some 10,000 new cases each year. The costs of the Division are met from income generated. In 2006-07, the Division undertook a major review of its working practices at the request of its client, HM Treasury.

## Government Legal Service Secretariat (The Secretariat)

The Secretariat is a separate unit within TSol whose purpose is to provide effective advice and support to the GLS and to the Treasury Solicitor as Head of the GLS to assist him in his role of providing leadership and strategic direction to the Service. The cost of the GLS Secretariat is met from the Estimate.

## Directorate Of Corporate Strategy (Docs)

DOCS has responsibility for planning and implementing strategic, business and policy development throughout TSol. It also provides Finance, HR, IT and Facilities Management Services to TSol. The cost of DOCS is apportioned over the operational areas of the Department and recovered, as appropriate, through charges to clients and from the Estimate. 

## Supporting The Attorney General'S Vision

TSol supports the Attorney General's vision through providing excellent career opportunities with skilled and committed staff, strengthening the capability to deliver and by building strong relationships across government. 

## Excellent Career Opportunities With Skilled And Committed Staff

As at 1 April 2006 there were 708 staff in post in TSol and AGO of which 41% were male and 59% were female. 107 staff were recorded as non-respondents or non-participants in the disability and ethnic origin surveys. Of those who participated in those surveys, 6.5% declared a disability and 23.6% were from ethnic minorities. There were 24 promotions in the period 1 April 2006 to 31 December 2006. Of those promoted 33% were male and 67% female. Of those promoted who declared their origin 79% were white and 21% were from ethnic minorities. None had declared a disability. These figures do not include HMCPSI, who run their own equal opportunities policy and race equality scheme under the Race Relations Amendment Act 2000.

## Paybill And Senior Civil Service (Scs)

More than 71% of the total gross administration costs for the Department are pay related. The paybill figure includes salaries paid to members of the SCS. At December 2006 the SCS salaries were as follows:

| Salary Band £k    |   No. of Staff |
|-------------------|----------------|
| 55,000 - 59,999   |              6 |
| 60,000 - 64,999   |              6 |
| 65,000 - 69,999   |             11 |
| 70,000 - 74,999   |              8 |
| 75,000 - 79,999   |             13 |
| 80,000 - 84,999   |              8 |
| 85,000 - 89,999   |              3 |
| 90,000 - 94,999   |              4 |
| 95,000 - 99,999   |              3 |
| 100,000 - 104,999 |              2 |
| 105,000 - 109,999 |              1 |
| 110,000 - 114,999 |              0 |
| 115,000 - 119,999 |              4 |
| 120,000 - 124,999 |              1 |
| 125,000 - 129,999 |              0 |
| 130,000 - 134,999 |              0 |
| 135,000 - 139,999 |              0 |
| 140,000 - 144,999 |              0 |
| 145,000 - 149,999 |              1 |
| TOTAL             |             71 |

## Recruitment Information

| Grade          |   Number |   Male |   Female |   Ethnic Minority | Disabled   |
|----------------|----------|--------|----------|-------------------|------------|
| Grade 6        |        2 |      1 |        1 |                 1 | 0          |
| Grade 7        |       26 |      8 |       18 |                 1 | 2          |
| Legal Officer  |       24 |      5 |       19 |                 5 | 1          |
| Legal Trainee  |        6 |      1 |        5 |                 0 | 0          |
| Administrative |       22 |      9 |       13 |                12 | 3          |
| Grades (SEO,   |          |        |          |                   |            |
| HEO, EO, AO,   |          |        |          |                   |            |
| PS and SGB)    |          |        |          |                   |            |
| TOTAL          |       80 |     24 |       56 |                19 | 6 (7.5%)   |

To the end of December 2006, exceptions to the Office of the Civil Service Commissioners (OCSC) Recruitment Code were used on only two occasions, in both cases on re-instatement. TSol is fully supportive of the Attorney General's vision of becoming an employer of choice, and in 2006 developed a Workforce and Pay Strategy to support this. TSol relies on and values its staff, wants them to contribute fully, and have the opportunity to develop. The Agency is proud to be recognised as meeting the IiP (Investors in People) standard, and to hold the two-tick Disability Symbol. TSol achieved IiP re-accreditation in 2006. TSol is committed to ensuring all its people have the opportunity to acquire the competencies necessary to perform effectively in their current role and to meet the challenges of changing business needs as well as the chance to develop and grow. Managers have a key role to play and TSol support in this area includes learning and development, guidance and advice, facilitated by HR Account Managers - senior members of HR who offer advice to senior managers on day-today management issues. TSol is also continuing to implement the Civil Service 10 Point Diversity Plan championed by the Head of the Civil Service. Human Resource activities are co-ordinated through the HR Programme Board. This work in 2006 has included:
G Professional Skills for Government Professional Skills for Government (PSG) core skills have been incorporated into key HR policies. Progress towards targets is measured by a skills audit. This also provides useful information to direct learning and development projects.

G Improving Leadership in TSol The People Development Team have embarked on a project to address the leadership development of SCS and Grade 6 staff in TSol. Drawing on available programmes and new material, the aim is to provide a range of solutions to meet the needs of TSol's top managers.

G Achieving IiP re-accreditation TSol's IiP Progress Group continues to build on the success of re-accreditation in 2006 through the development of an action plan addressing strengths and areas for improvement raised in the report. A staff survey will be conducted in 2007 to track progress and inform further improvements.

G Workforce and Pay Strategy (WPS)
During the course of 2006 a WPS was drawn up that identified the likely staffing requirements in terms of numbers and skills of staff over the next few years, and the consequent issues around recognition and reward. The HR Programme Board oversees this strategy. The strategy formed part of the business case submitted to the Treasury in support of the pay remit for 2006, and following the implementation of the pay award covering 2006 - 2008, will be revised and updated during 2007. A sub-group is reviewing the revised staff appraisal system introduced during 2005. 

## G Equal Opportunities Tsol Published Its Disability Equality Scheme In 2006 And Work Has Commenced On The Tsol Gender Equality Duty To Meet The April Deadline.

TSol enjoys a good working relationship with trade unions under a Partnership Agreement. This agreement is currently being reviewed and a revised version will be agreed in 2007. The continuous recruitment campaign for Government lawyers has enabled TSol to recruit high quality lawyers to meet its business needs. TSol continues to use temporary staff in both legal and administrative areas both to manage gaps during recruitment and to manage volatility in the demand for its services. The ratio of permanent to temporary staff and the degree of flexibility required to maintain services will be reviewed in 2007-08 as part of the development of TSol's longer term business strategy. TSol's administrative staff continue to provide an important support service. TSol recognises opportunities for administrative career progression within TSol are limited compared with what it can offer lawyers. TSol continues to focus on enabling its administrative staff to develop transferable skills and encouraging movement between teams to gain broader experience. The Personnel Group held discussions on each of the different administrative grades during the year to ensure that their development needs were being considered by managers.

Staff numbers show an increase as demand for TSol services grows. By introducing efficiencies however, TSol has ensured that numbers have not increased at the same rate as demand, and there has been no staffing increase in the corporate services areas.

## Modernising Tsol

The focus for modernising TSol has been:

G Strengthening the capability to deliver
G
Improving governance
G
Improving Information Systems
G Building strong partnerships with clients
Underpinning this is a commitment to maintaining the quality of advice and service at a time of rapid workload expansion.

## Strengthening The Capability To Deliver Governance

TSol has continued to review its governance structures to simplify and rationalise existing networks of committees, and clarify roles and responsibilities. The role of the Executive Board has been clarified and strengthened and a new corporate approach to risk identification and management has been introduced across Executive Board, Programme Boards and DOCS. The Executive Board has three NEDs who have particular focus on TSol's three key objectives - satisfied clients, satisfied people and best practice systems. The establishment of three Programme Boards to oversee key elements of the work programme linked to TSol's main objectives has improved monitoring and control. In 2006 an Efficiency Programme Board and Information Systems Strategy Programme Board were created to oversee the work needed to deliver efficiency savings. In 2007 the Boards will be merged to form a single Change Steering Committee. The Business Systems Programme Board will become the Change Board so that all change initiatives are monitored and reported more effectively through one reporting line. The Departmental Audit Committee and Internal Auditors have acknowledged the improvement this will make.

## Is Strategy

TSol IS Strategy was agreed in October 2005. The strategy focuses on procuring off the shelf packages reflecting Cabinet Office best practice. The focus in the first phase is to deliver better billing information for clients, improved time recording, better management information and greater pro-activity on Freedom of Information (FOI) in respect of Bona Vacantia:

G A new time recording system, Carpe Diem, has been implemented which will improve time
recording and facilitate improved understanding of costs and provide additional billing
information to help TSol's clients.
G Work is underway on procuring a shared HR database system in joint co-operation with CPS
and others. 
G Electronic Document and Records Management: A project to deliver electronic records
management to the non-litigation part of the business was successfully implemented in May 2006. This will contribute to the Modernising Government requirement that all documents created electronically can be stored and managed electronically. 

## Quality Standards

Lexcel is the Law Society's quality standard for solicitors' practices. TSol Litigation Group were assessed and accepted by the Law Society in 2006. Accreditation is for three years. 

## Regulatory Reform Action Plan

TSol is not a regulatory department and has no actions to be completed in the Action Plan.

## Building Strong Partnerships: Client Care

High quality, added value client care is a priority for TSol and achieving the objective of satisfied clients is vital to maintaining its high reputation. The Client Care Programme Board was created to focus on client issues, and manage the strategic risk of potential damage to TSol's reputation. TSol has:

G Issued annual reports to three major clients - Immigration and Nationality Department, Home
Office and Prison Service;
G Provided 14 newsletters for a number of clients covering a range of issues from employment
cases to public inquiries;
G Created a network group for client care managers to share best practice and support the
Client Care Programme Board in delivering improved client care;
G Continued to develop the client care intranet site, which gives client care managers and all
TSol staff access to information such as TSol's client care principles and standards on managing clients, Lexcel compliant processes for handling complaints and information on client feedback and how to obtain it; and
G Provided training to clients to identify further opportunities to add value.

## Client Feedback

TSol's primary method of receiving feedback is via the client satisfaction survey. Informal feedback is also received at all levels from Case Officers to The Treasury Solicitor. In 2007-08 TSol will develop further formal measurements. TSol consistently achieves high ratings in its client satisfaction surveys. The 2006 ratings are, however, less than the level of over 97% rated excellent or good in 2005. The Advisory Legal Teams achieved 96% and the Litigation & Employment Group teams achieved 92%. Our target is 95% rated as excellent or good. TSol is committed to improving the service provided and aims to achieve or exceed, once again, the 95% target in the 2007 survey.

## 2007-08 Resource Estimate

The overall Net Resource Requirement for 2007-08 is £14.32 million. This includes provision for the net administration costs of the Treasury Solicitor's Department Agency, and the costs of the Attorney General's Office and HMCPSI. The public interest work undertaken by TSol for the Attorney General, the costs of European Division which are not met from the Levy, and the costs of the GLS Secretariat are met from the Vote.

TSol also receives Voted funds to meet costs arising from its conduct of clients' legal work. These are known as operational costs and include payments to Counsel, expert witnesses and solicitor agents. The majority of these costs, estimated at £35 million in 2007-08, are recovered from client Departments and the proceeds are Appropriated in Aid. Where such costs are incurred on cases undertaken in the general public interest, and are not therefore attributable to specific clients, they are charged to the Estimate (£2.7 million in 2007-08). Staff numbers show an increase as demand for TSol services grows. By introducing efficiencies, TSol has ensured that numbers have not increased at the same rate as demand. The levels of staff and the expenditure against each sub-heading in the Estimate are summarised below. These numbers include all those working in the Department and other bodies included in the Departmental Resource Account:

## Treasury Solicitor'S Department

| 2001-02                         | 2002-03   | 2003-04   | 2004-05   | 2005-06           | 2006-07   | 2007-08   |
|---------------------------------|-----------|-----------|-----------|-------------------|-----------|-----------|
| Outturn                         | Outturn   | Outturn   | Outturn   | Outturn Estimated | Plans     |           |
| TSDA                            |           |           |           |                   |           |           |
| Core staff numbers              | 625       | 664       | 729       | 765               | 771       | 803       |
| Permanent staff                 | 487       | 528       | 605       | 652               | 641       | 645       |
| Others                          | 138       | 136       | 124       | 113               | 130       | 158       |
| Gross administration costs      | 31,724    | 37,318    | 43,731    | 48,406            | 52,706    | 58,837    |
| AGO                             |           |           |           |                   |           |           |
| Core staff numbers              | 33        | 39        | 42        | 47                | 51        | 53        |
| Permanent staff*                | 32        | 35        | 37        | 43                | 46        | 46        |
| Others                          | 1         | 4         | 5         | 4                 | 5         | 7         |
| Gross administration costs      | 2,712     | 3,116     | 3,387     | 3,976             | 4,080     | 5,223     |
| HMCPSI                          |           |           |           |                   |           |           |
| Core staff numbers              | 41        | 45        | 45        | 48                | 46        | 44        |
| Permanent staff                 | 40        | 44        | 44        | 46                | 44        | 43        |
| Others                          | 1         | 1         | 1         | 2                 | 2         | 1         |
| Gross administration costs      | 3,005     | 3,283     | 3,490     | 3,382             | 3,737     | 3,971     |
| TSol's TOTAL Core staff numbers | 699       | 748       | 816       | 860               | 868       | 900       |
| Permanent staff                 | 559       | 607       | 686       | 741               | 731       | 734       |
| Others                          | 140       | 141       | 130       | 119               | 136       | 166       |
| Gross administration costs**    | 37,441    | 43,717    | 50,608    | 55,764            | 60,523    | 68,031    |

* Includes Ministers. ** This is in line with the Administration Expenditure core table.

Outturn

## Departmental Investment Strategy

The Department's investment strategy is directly linked to achieving its objectives. The total net book value of the Department's fixed assets at 31 March 2006 was £5.465 million, comprising IT infrastructure and developments, furniture and fittings. In 2006-07 TSol has continued its policy of investing in improving and developing systems to support its business. In particular, investment has been made in the initial projects identified in the first phase of its IS Strategy "Fixing the Basics" in relation to time recording and better billing; and the delivery of TSol's Electronic Document and Records Management System (EDRMS).

## Forward Look

2007-08 will be another financially challenging year. TSol's core clients are under greater financial pressure than ever, but, at the same time, the number and complexity of their cases increases. To improve business performance and deliver tangible benefit to clients, TSol will continue to reduce the costs of the business, be creative about work organisation and deliver more from finite resources, whilst maintaining its reputation for providing high quality legal services and work. Outstanding elements of Phase 1 of the IS Programme will be delivered. The Efficiency Programme initiatives will deliver benefits in 2007-08, including agreed headcount reductions in the final year of SR 2004, exploitation of accommodation resources, achievement of ITIL® assessment in the delivery of information and streamlining procurement processes. This will help TSol to minimise the rate of increase in charge-out rates in the future. The development of a longer term business strategy, based on the improved client and cost information captured, will focus TSol on the areas where it can add most value for its clients. TSol will also develop and align its finance, pay and workforce, IS and IT, Communication and Change Strategies to enable the Agency to meet forthcoming challenges. In 2007-08, Litigation and Employment Group will develop a programme of change which will investigate different service delivery and charging models to take TSol through to the end of the next Spending Review. This will be a large programme of change which will require investment in new IS services. These will be included in Phase 2 of the IS Strategy. Successful delivery of this change programme will enable TSol to continue to deliver excellent value for money legal services, meet increasing demand and provide satisfying work for TSol people.

## Further Information

Further information on the work of the Treasury Solicitor's Department may be obtained at www.tsol.gov.uk or from:
Business Strategy Unit Treasury Solicitor's Department One Kemble Street, London WC2B 4TS Telephone 020 7210 3571
www.tsol.gov.uk

## Attorney General'S Office Introduction Role

The Attorney General's Office (AGO) is a separate department, for which the Treasury Solicitor is the Accounting Officer. It supports the Attorney General and Solicitor General (the Law Officers) in discharging their wide-ranging responsibilities for civil and criminal law and policy and on matters of finance and performance.

The Law Officers have a statutory duty to superintend the Directors of Public Prosecutions for England and Wales and for Northern Ireland and the Directors of the Revenue and Customs Prosecutions Office (RCPO) and Serious Fraud Office (SFO). AGO has responsibility for criminal justice policy as one of the trilateral criminal justice departments (with the Home Office and Department for Constitutional Affairs (DCA)). The Law Officers are the government's chief legal advisers. They are also the Ministers responsible for the Treasury Solicitor's Department (TSol) and have oversight of the Government Legal Service. They deal with questions of law arising on Government Bills and with issues of legal policy. They are concerned with all major international domestic litigation involving the Government. On occasion - where it does not conflict with their government role - they advise Parliament on procedural questions, matters of standards and privileges, and on the meaning and effect of proposed legislation. The Law Officers also exercise a range of public interest functions, independently of Government, in both the civil and criminal fields.

## Legal Advice

The Law Officers' legal advice to Government is (like any other legal advice) confidential and subject to legal professional privilege. In addition, the Ministerial Code provides that neither the fact nor the content of Law Officers' advice may be disclosed outside Government without their consent. In the course of 2006, as in past years, the Law Officers have advised a wide range of Government Departments on various important and sensitive issues of international, EU and domestic law.

## Casework

Casework covers items such as:

G Referring unduly lenient sentences to the Court of Appeal; G Consenting to prosecutions; G Bringing proceedings for contempt of court; G Taking action against vexatious litigants; G Intervening in the public interest in certain charity and family law cases;
G Appointing advocates to act for the Crown, as well as appointing; 'advocates to the court',
and 'special advocates' to represent the interests of appellants in cases involving sensitive
material.

## Northern Ireland

AGO has continued to support the Attorney General in his sponsorship of the establishment of the Public Prosecution Service in Northern Ireland and to complete the drafting of international human rights guidance to the criminal justice agencies of Northern Ireland in accordance with the provisions of the Justice (Northern Ireland) Act 2004. The Attorney General has also taken a lead in the last year in reducing delay in the CJS in Northern Ireland.

## Policy, Finance And Performance

Working with the Law Officers' Departments, the team identifies and leads or co-ordinates action on new policy initiatives e.g. fraud and international strategy and on those arising within the CJS (e.g. Lord Carter's Review of Legal Aid and the Simple, Speedy, Summary Justice Review12), new legislative proposals (e.g. in the Serious Crime and Criminal Justice Bills). It is also the point of liaison with CJS agencies and the Office for Criminal Justice Reform (OCJR), particularly in relation to the CJS initiatives for which the Attorney General and Solicitor General act as champions (e.g. Criminal Case Management Programme, confiscation order enforcement, diversion, ensuring defendants appear at court) and on European and expert witness issues. In October 2005-06, the Attorney General and the Chief Secretary to the Treasury jointly commissioned a wide-ranging review of fraud which reported in July 2006. After a period of public consultation, the Government's response was published on 15 March 2007 and a major programme of work is being taken forward to give effect to the main recommendations of the Review. The Attorney General and the Law Officers' Departments have also been working with other government departments on a more strategic approach to international issues. This work will be reflected in the international strategy for the Law Officers' Departments being developed. In co-operation with the Law Officers' Departments Finance Directors' Groups, the team coordinates action on cross-Departmental finance and performance matters including those arising from the Comprehensive Spending Review (CSR) 2007 and which have cross-CJS impact e.g. asset recovery. Significant, following the Spending Review 2004, has been concerted action in delivery of the Law Officers' Departments' efficiency programmes. The CSR 2007 settlement for the Law Officers' Departments was announced on 21 March 2007 in the Chancellor of the Exchequer's Budget Report.13

## Organisation

AGO is headed by the Director General, Jonathan Jones and has three separate areas of business which work closely together: policy and administration, civil law and criminal law.

## Treasury Solicitor'S Department Constitutional Affairs Committee

In February 2007, the House of Commons Constitutional Affairs Select Committee of Parliament commenced an inquiry into the constitutional role of the Attorney General. The Attorney General gave evidence to the Committee and provided Memoranda on his role. Copies of these Memoranda are available on the AGO website (details below).

## Ministry Of Justice

On 29 March the Government announced the creation of a Ministry of Justice, re-allocating responsibilities within the CJS as between the Home Office and DCA. These changes did not alter the role of the Law Officers, of the Attorney General's Office or of prosecutors. The changes preserved the existing system of trilateral co-operation with the Attorney General retaining his responsibility as one of the three criminal justice Ministers.

## Management Structure Aim

AGO contributes to the Attorney General's aim for all his departments of providing a first class public service. In its support of the Law Officers, it contributes to all six service and developmental priorities of the Attorney General's strategy.

## Objectives

AGO's strategic objectives are:

G To provide high quality and timely legal advice to the Law Officers to enable them to advise
Ministers and other government departments;
G To provide high quality and timely policy advice, through a process of constructive engagement
with other departments;
G To support the Law Officers' ministerial responsibilities in the CJS (in both England and Wales
and Northern Ireland), including the delivery of policy initiatives and trilateral performance targets;
G To deal with casework in a timely and appropriate way;
G To drive the joining up of the Law Officers' Departments so as to increase efficiency and
effectiveness;
G To support the Law Officers in their oversight of the Government Legal Service; and in their
general superintendence of prosecution work across government departments; and
G To support the Law Officers in developing and explaining their activities and responsibilities in
the media.

## Targets

The nature of the Office's work is to respond to high and often immediate demand in respect of both casework, policy advice and correspondence. Targets have not therefore been set but this aspect was considered in 2006-07 and will be kept under review.

## Performance People

At the end of December 2006, AGO had 54 staff, of which 18 were lawyers, 7 advising on policy matters or handling correspondence, and 7 working in the Ministers' Private Offices.

## Workload

Overall the workload pressure on the Office increased again during 2006-07, particularly in relation to Ministers' involvement in the work of the CJS.

## Correspondence

In the calendar year 2006, 1643 items of correspondence were answered, of which 1266 were from members of the general public and 377 from Members of Parliament.

## Finance

As part of the CSR 2007, the Attorney General received a settlement for all four of the Law Officers' Departments. From 2008-09 onwards, their respective shares of this provision will be reflected in the Estimates of  each of the Law Officers' Departments. In common with other Government Departments, the Law Officers' Departments are expected to achieve efficiency savings of 3.5% year on year over the CSR period. The AGO itself is funded as part of the Treasury Solicitor's Department Estimate. Its total provision for 2006-07 was some £5.5m resource and £1.5m capital, which, subject to final figures, is likely to be fully committed. A small proportion of the £3m increase over 2005-06 is due to new staff but the majority relates to the need to fit out new office premises for occupancy in May 2007 following the expiry of the lease on current premises.

## Information Technology

During 2006-07 the Office took up the services of a new IT Supplier following shared negotiation with the SFO.

## Treasury Solicitor'S Department Further Information

Further information can be obtained from:
The Attorney General's Office
9 Buckingham Gate
London SW1E 6JP

From 21 May 2007: 20 Victoria Street London SW1H 0NF Telephone: 020 7271 2400
Website: www.attorneygeneral.gov.uk

## Hm Crown Prosecution Service Inspectorate Introduction

HMCPSI was originally established as an internal quality assurance unit within the Crown Prosecution Service (CPS) Headquarters in 1995. Following recommendations in a review by Sir Iain Glidewell, it became an independent statutory body under the CPSI Act 2000. The Chief Inspector of HMCPSI is appointed by and reports to the Attorney General who is responsible to Parliament for the CPS, the Revenue and Customs Prosecutions Office (RCPO) and for the Public Prosecution Service of Northern Ireland (PPS (N.I.)).

## Purpose

HMCPSI exists to enhance the quality of justice through independent inspection and assessment which improves the effectiveness of prosecution services, providing assurance to ministers, government and the public. In order to achieve this the department endeavours to be an organisation which:

G Performs to the highest possible standards; G Inspires pride; G Commands respect; G Works in partnership with other criminal justice inspectorates and agencies but without
compromising its robust independence;
G Values all its staff; and 
G Seeks continuous improvement in all it does.

## Organisation & Management Structure

HMCPSI operates from two locations and, as shown in the Organisational Structure Chart, is split into two inspection teams Southern Group and the Northern & Wales Group. Each team comprises of Legal and Business Management Inspectors. The current staffing level is 47, with 13 staff based in the York Office (United House) and the remainder housed in London (26-28 Old Queen Street). In the past year seven new inspectors have been recruited to the teams and seven new staff have joined the Corporate Services Group or Inspection Support Group replacing those on loan or who were leaving the service. The costs of HMCPSI are met from the Estimate of the Treasury Solicitor's Department. HMCPSI's provision for 2006-07 was £4.16 million of which £3.069 million represents staff costs. 

The provision for 2007-08 has not been confirmed at the time this report went to print, but any increase is likely to be confined to a modest uplift in relation to unavoidable increases in staff costs and increases in rent on the London property. 

## Internal Control Changes To The Structure Of The Management Team

In April/May 2006 the management team was expanded (without the creation of additional posts) following the break up of the support services into two distinct teams - Corporate Services Group (CSG) and Inspection Support Group (ISG). The ISG team has been progressively built up, including its operational role, with particular emphasis on joint inspection work. Additionally a new position was created of Training & Development Co-ordinator to work with the HR Manager in ensuring the department optimises the use of the training budget and meets training/development needs. Both the Head of ISG and the Training & Development Co-ordinator combine these roles with their day-to-day duties as inspectors. At the time of the above changes the Inspection Management Team (IMT) was expanded to six members who, in addition to the Chief Inspector and two Deputy Chief Inspectors (York and London), now include the Head of CSG (an individual new to post in April 2006) the Head of ISG and the Training & Development Co-ordinator.

## Organisational Structure

| Southern Group     | Northern and       |
|--------------------|--------------------|
| Wales Group        |                    |
| Deputy Chief       |                    |
| Inspector          |                    |
| Deputy Chief       |                    |
| Inspector          |                    |
| Personal Secretary | Personal Secretary |
| HM Inspectors      | HM Inspectors      |
| Legal              | Bus. Mgt           |
| HM Asst Inspectors | HM Asst Inspectors |
| Legal              | Bus. Mgt           |
Inspection
Support Group
Corporate
Services Group
Head of Corporate
Services
Head of Inspection
Support
Personal Secretary
Research & Analysis
Human Resources
Casework Inspectors
Finance
Facilities
Administrative
Support
Communications

## Hmcpsi Aims & Objectives

HMCPSI aims to achieve excellence in all aspects of its activities and, in particular, to provide customers and stakeholders with consistent and professional inspection and evaluation processes together with advice and guidance, all measured against recognised quality standards and defined performance levels. The principal role of HMCPSI is to focus on outcomes that promote the effectiveness, efficiency and value for money of the CPS and other inspected prosecuting authorities within a joined-up Criminal Justice System (CJS). HMCPSI achieves this strategic objective by:

G Bringing about improvement through acting as a major driver for increasing performance in
the prosecution authorities that it is responsible for inspecting;
G Encouraging joined-up working within the CJS; G Providing assurances to the Attorney General, Director of Public Prosecutions (DPP) and CPS
Chief Executive as to the performance of the CPS and other prosecution authorities; and
G Contributing to greater value for money within the prosecution service and the CJS as a
whole.

## Role & Responsibilities

The primary role of HMCPSI is to promote the effectiveness and efficiency of the CPS whose statutory function is to prosecute the majority of criminal cases in England and Wales. The CPS is organised into 42 geographical Areas, each under the leadership of a Chief Crown Prosecutor. Within CPS Headquarters there are six Directorates and three casework divisions with staff based in London, Birmingham and York. The Inspectorate's remit for single agency inspection has been broadened to include the RCPO.

Also, the Chief Inspector of Criminal Justice in Northern Ireland has invited HMCPSI in accordance with the Justice (Northern Ireland) Act 2002, to conduct statutory inspection work in relation to the new Public Prosecution Service which came into being in June 2005. In January 2007 the Inspectorate began a non-statutory inspection of the Army Prosecuting Authority. HMCPSI carries out its remit through a programme of single agency inspections, reviews of specific themes, joint inspections with one or more of the other four criminal justice inspectorates, and with other bodies such as OFSTED, the Commission for Social Care Inspection and the Audit Commission. In addition HMCPSI has now developed an audit function looking at various systems and procedures with Direct Communication with Victims (DCV) being the first undertaking with Case Management Panels currently under consideration for a future audit.

## Services Delivered In 2006-07 Special Project:

Publication of HMCPSI report of the Review of the Investigation and Criminal Proceedings relating to the Jubilee Line Case - June 2006.

## Thematic Reports:

Joint Thematic Reports:
G The Investigation and Prosecution of Rape; G Thematic review of the Investigation and Prosecution of Offences alleged to have been
committed by Persons Serving with the Police.
Single Agency Thematic Reports:
G Review of Equality and Diversity in Employment Practice in the CPS; G British Transport Police Review (BTP) follow up report; G Review on the use of Compass Case Management System; G Thematic review of Disclosure (evidence gathering in progress at end of year).

## Development Of The Area Effectiveness Inspections Framework; Methodology And Handbook

The first half of the year saw the development of the new Area Effectiveness Inspections (AEI). This involved the development of the framework, standards and criteria, the preparation of a handbook, setting out the associated methodology and the subsequent familiarisation of inspectors to the whole process. After putting the framework into effect there was a full evaluation of its operation at the Staff Conference in December.

## Cps Area Effectiveness Inspections

CPS AEIs were undertaken in Essex, Gwent, Hertfordshire, Bedfordshire, Cumbria, Devon & Cornwall, Surrey, Northamptonshire, Gloucestershire, and work was ongoing in relation to Leicestershire and Derbyshire at the end of the year. With the forthcoming Overall Performance Assessment (OPA) programme in May-December 2007 those Areas subject to effectiveness inspections undertaken in 2006-07, whilst being included in the OPA programme, should be completed in a shorter timescale than the other Areas.

## Cjs Area Inspections

HMCPSI works collaboratively on CJS Area Inspections with the other four criminal justice inspectorates and the Quality Standards Unit of Victim Support to produce a comprehensive report on the workings of the CJS in a specific area/region. CJS Joint Inspections were undertaken in Devon & Cornwall, Cleveland, and West Midlands.

## Introduction Of Liaison Inspector Role

In 2006 CPS Areas were for the first time offered the opportunity to draw on a Liaison Inspector to act as mentor. Liaison Inspectors build relationships with the Areas that are constructive and mutually informative, with Inspectors drawing on experience and good practice from other inspections. This proposal was warmly accepted by the Areas and a pilot project was started in the summer.

## Direct Communication With Victims And Witnesses Audit

An audit role is being developed by the Casework Inspectors with the first project concentrating on DCV. This first undertaking is expected to be completed by the end of April 2007.

## Involvement In The International Association Of Prosecutors

At the Annual Conference held in Paris, Christian Raysseguier, the Inspecteur Général des Services Judiciaires (IGSJ), Stephen Wooler and Ian Yates (on behalf of HMCPSI) gave a presentation on how their respective organisations inspect the prosecuting authorities and the benefits of such systems. HMCPSI continued to build the relationship with the IGSJ culminating in the opportunity to shadow a French Prosecution Inspection in November 2006.

## Recruitment Information April 2006 To March 2007

| Grade          |   Number |   Male |   Female |   Ethnic Minority |   Disabled |
|----------------|----------|--------|----------|-------------------|------------|
| Grade 6        |        5 |      3 |        2 |                 0 |          0 |
| Grade 7        |        3 |      2 |        1 |                 0 |          0 |
| Administrative |       10 |      1 |        9 |                 2 |          1 |
| Grades (SEO,   |          |        |          |                   |            |
| HEO, EO, PS,   |          |        |          |                   |            |
| AO and AA)     |          |        |          |                   |            |
| TOTAL          |       18 |      6 |       12 |                 2 |          1 |

There were no exceptions to the OCSC Recruitment Code; however there were two promotions within the Administrative Grades, one being temporary promotion at EO grade and the other a permanent promotion post JEGS. 

## Strengthening Capability To Deliver

With the changing shape of criminal justice inspection HMCPSI's decision to be proactive and innovative in enhancing cross cutting work and driving improvement is seen as placing HMCPSI in a strong position to deliver the results required by Ministers. Within two years HMCPSI is confident, based on initiatives and procedures put in place, that it will have:

G Measured the extent of improvement in CPS against baseline;
G Established a baseline for performance in RCPO;
G Delivered a programme of work with other CJS inspectorates which contributes to
improvement in the quality of criminal justice overall;
G Broadened its remit by conducting inspections of certain other prosecuting authorities and
working with other review bodies;
G Conducted focused inspections on issues relating to quality, timeliness and value for money on
the following:
G
Case preparation and handling;
G
Professional standards e.g.:– sensitive cases;
G
Standards of advocacy;
G
The services to victims and witnesses;
G
Effectiveness of new structures (operational effectiveness); and
G Developed other means of contributing to improvement.

## Police And Justice Bill

In conjunction with changes to the Police and Justice Bill, consequent upon the Government's decision in October 2006 not to proceed with the establishment of a single inspectorate, there was an exchange of letters between the Chief Inspectors of the five inspectorates and the three Ministers heading the respective CJS ministerial departments. Agreement was reached that the Ministers would bring forward amendments in the Police and Justice Bill which would focus on arrangements to support joined-up working rather than structural change. Specifically the Chief Inspectors agreed to commit to work together:

G To develop a business plan for joint inspection work, based on priorities indicated by the
Ministers (the first such plan will be for 2007-08). Early priorities are expected to include joint work on criminal case management and enforcement as well as an enhanced thematic programme. The plan will also show how HMCPSI intend to mainstream the inspection of end to end processes across agency boundaries.
G In developing options for the Ministers the Chief Inspectors will work with a wide range of
stakeholders, including agency heads to identify areas of greatest concern, risk and opportunity for improvement.
G To share services and back office support as far as possible and review the use of resources
generally to identify efficiency gains which can be redeployed to resource the enhanced joint working. To consider the creation of a common secretariat drawn from existing staff.
The Chief Inspectors are to report on progress to Ministers every three months, to allow Ministers to keep the need for further legislation, including merger, under review.

## Account Is Also Taken Of Public Service Agreement Targets

Public Service Agreement (PSA) targets were set for the CJS in the Spending Review 2004 for 2005-08. These were revised targets to those set in the Spending Review of 2002.The targets (detailed below) are the responsibility of the Home Office, Department for Constitutional Affairs, and the CPS.

G **PSA1** To improve the delivery of justice by increasing the number of offences for which an
offender is brought to justice to 1.25 million for 2007-08.
G **PSA2** Reassure the public, reducing the fear of crime and anti-social behaviour, and building
confidence in the CJS without compromising fairness.
Progress against these targets features in most inspections and reviews. However in reviewing the longer term approach to inspection HMCPSI will take account of the need to focus more on the user perspective and the outcomes which relate to public confidence, developing as appropriate its own measures, rather than over reliance on PSA targets and CPS–generated measures.

## Forward Look Proposed Inspection Programme For 2007-08 Opas

During HMCPSI's second cycle of inspections (2002-04) the Attorney General asked that consideration be given to a scheme of overall performance assessments leading to a standard assessment which might be published. 

The process was to produce a straightforward assessment of the quality of the public services being delivered in each CPS Area. It provided an opportunity to revise HMCPSI strategy by creating a baseline by which to compare and measure performance. Within the overall performance assessment, 14 key performance aspects were identified. These were divided into five critical aspects, which provided the basis of a combined assessment, together with nine other defining aspects of performance. This work was completed with HMCPSI publishing 46 individual reports in two tranches - in December 2005 and in March 2006. As well as providing a snapshot overview assessment of the performance across the Service the OPA process identified the Areas where further work was likely to give the biggest return on increased value for money. It is intended to undertake another OPA assessment of the 42 CPS Areas in the period May- December 2007. This will give a good opportunity to compare current performance with the earlier assessments and will be important for both the CPS and HMCPSI to be able to identify the extent of the improvement over that period.

It will be important to maintain as much of the 2005 framework and criteria as practicable so that the 2005 assessment will form a reliable benchmark, although it is also essential to reflect changes since then within the CPS and CJS. As with the 2005 OPA series it will be inappropriate to visit the CPS Areas for a significant period after the 2007 OPA programme. This period of time will therefore allow for the development of a substantial statutory programme for joint inspection work as well as more ambitious thematic work. 

## Thematics

Following the exchange of letters between the Chief Inspectors and the Ministers discussion has taken place to consider a suitable programme of joint working for 2007-08. As some inspectorates were already well advanced on their plans for 2007-08 the potential list of Joint CJS Inspections 2007-08 gives due consideration to the single agency work already under consideration for the period. A working party has been set up by the Criminal Justice Chief Inspectors' Group to prepare a robust structured programme for 2008-09. 

## Further Information

Further information on the work of HMCPSI may be obtained from:
HMCPSI 26-28 Old Queen Street London SW1H 9HP Telephone:- 020-7210-1197
Website: www.hmcpsi.gov.uk

## Common Core Tables

|                       |         |         |         |         | Total public spending for the HM Procurator General and Treasury Solicitor   | £'000   |
|-----------------------|---------|---------|---------|---------|------------------------------------------------------------------------------|---------|
| 2001-02               | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                                                                      | 2007-08 |
| Outturn               | Outturn | Outturn | Outturn | Outturn | Estimated                                                                    | Plans   |
| Consumption of        | Outturn |         |         |         |                                                                              |         |
| resources             |         |         |         |         |                                                                              |         |
| TSDA                  | 4,410   | 3,226   | 2,063   | 8,455   | 6,861                                                                        | 3,405   |
| AGO                   | 2,712   | 3,116   | 3,387   | 3,960   | 4,080                                                                        | 5,184   |
| HMCPSI                | 3,005   | 3,283   | 3,490   | 3,307   | 3,737                                                                        | 3,971   |
| TSol Total Resource   |         |         |         |         |                                                                              |         |
| Budget                |         |         |         |         |                                                                              |         |
|                       | (1)     |         |         |         |                                                                              |         |
| 10,127                | 9,625   | 8,940   | 15,722  | 14,678  | 12,560                                                                       | 14,321  |
| Of which:             |         |         |         |         |                                                                              |         |
| Near-cash             | 8,225   | 7,926   | 6,957   | 10,902  | 12,419                                                                       | 11,060  |
| Total Resource DEL    |         |         |         |         |                                                                              |         |
| (1)                   |         |         |         |         |                                                                              |         |
| 10,127                | 9,625   | 8,940   | 15,722  | 14,678  | 12,560                                                                       | 14,321  |
| Of which:             |         |         |         |         |                                                                              |         |
| Depreciation          | 1,013   | 875     | 1,287   | 3,539   | 1,227                                                                        | 1,600   |
| Capital Spending      |         |         |         |         |                                                                              |         |
| TSDA                  | 1,155   | 1,704   | 2,060   | 2,213   | –29,195                                                                      | 1,400   |
| AGO                   | 17      | 103     | 89      | 14      | 70                                                                           | 1,600   |
| HMCPSI                | 17      |         |         |         |                                                                              |         |
| TSol Total Capital    |         |         |         |         |                                                                              |         |
| Budget                | 1,189   | 1,807   | 2,149   | 2,227   | –29,125                                                                      |         |
| (3)                   |         |         |         |         |                                                                              |         |
| 3,000                 | 4,000   |         |         |         |                                                                              |         |
| Total Capital DEL     |         |         |         |         |                                                                              |         |
| (1)                   |         |         |         |         |                                                                              |         |
| 1,189                 | 1,807   | 2,149   | 2,227   | –29,125 | 3,000                                                                        | 4,000   |
| Total Public Spending |         |         |         |         |                                                                              |         |
| TSDA                  | 4,575   | 4,110   | 2,916   | 7,197   | –23,502                                                                      | 3,237   |
| AGO                   | 2,711   | 3,169   | 3,401   | 3,906   | 4,091                                                                        | 6,762   |
| HMCPSI                | 3,017   | 3,278   | 3,485   | 3,307   | 3,737                                                                        | 3,961   |
| Total Public Spending |         |         |         |         |                                                                              |         |
| (2)                   |         |         |         |         |                                                                              |         |
| 10,303                | 10,557  | 9,802   | 14,410  | –15,674 | 13,960                                                                       | 16,221  |

(1) Departmental Expenditure Limits, set as part of the 2004 Spending Review. (2) Total public spending calculated as the total of the resource budget plus the capital budget, less depreciation.

(3) 2005-06 capital outturn is derived from capital additions of £3,942k from the resource accounts less the proceeds from the sale of Queen Anne's Chambers of £33 million and sale of fixed assets of £67k.

|                                |         |         |         |         | Capital employed for the HM Procurator General and Treasury Solicitor   | £'000     |
|--------------------------------|---------|---------|---------|---------|-------------------------------------------------------------------------|-----------|
| 2001-02                        | 2002-03 | 2003-04 | 2004-05 | 2005-06 | 2006-07                                                                 | 2007-08   |
| Outturn                        | Outturn | Outturn | Outturn | Outturn | Projected                                                               | Projected |
| Assets on balance sheet        |         |         |         |         |                                                                         |           |
| at end of year:                |         |         |         |         |                                                                         |           |
| Fixed Assets                   |         |         |         |         |                                                                         |           |
| Intangible                     | 348     | 1,041   | 173     | 590     | 658                                                                     | 975       |
| Tangible assets                | 28,170  | 27,493  | 28,522  | 28,269  | 4,807                                                                   | 5,400     |
| of which:                      |         |         |         |         |                                                                         |           |
| Freehold Land and Buildings    | 29,968  | 26,119  | 24,874  | 25,808  | 0                                                                       | -         |
| Leasehold Land and Buildings   | 571     | 550     | 522     | 538     | 0                                                                       | -         |
| Development under Construction | -       | -       | 2,423   | 1,046   | 240                                                                     | 600       |
| Development in use             | -       | -       | 106     | 52      | 1,291                                                                   | 1,200     |
| Computer Network               | 593     | 776     | 533     | 783     | 1,269                                                                   | 600       |
| Fixtures and Fittings          | 38      | 48      | 64      | 41      | 2,007                                                                   | 3,000     |
| Current Assets:                | 20,002  | 19,059  | 18,706  | 18,089  | 19,559                                                                  | 18,870    |
| Creditors (due <1 year)        | –13,516 | –13,506 | –9,427  | –8,978  | –10,759                                                                 | –11,455   |
| Creditors (due >1 year)        | -       | -       | -       | -       | -                                                                       | -         |
| Provisions                     | –4,062  | –3,811  | –3,261  | –3,123  | –3,250                                                                  | –2,840    |
| Capital Employed in Department | 30,942  | 30,276  | 34,713  | 34,846  | 11,015                                                                  | 10,950    |
| NDPB net assets                | -       | -       | -       | -       | -                                                                       | -         |
| Capital employed in Department | 30,942  | 30,276  | 34,713  | 34,846  | 11,015                                                                  | 10,950    |
|                                                                                                         |         |         |         |                   | Administration Budget HM Procurator General and Treasury Solicitor   | £'000   |
|---------------------------------------------------------------------------------------------------------|---------|---------|---------|-------------------|----------------------------------------------------------------------|---------|
| 2001-02                                                                                                 | 2002-03 | 2003-04 | 2004-05 | 2005-06           | 2006-07                                                              | 2007-08 |
| Outturn                                                                                                 | Outturn | Outturn | Outturn | Outturn Estimated | Plans                                                                |         |
| Outturn                                                                                                 |         |         |         |                   |                                                                      |         |
| Administration Expenditure                                                                              |         |         |         |                   |                                                                      |         |
| Paybill*                                                                                                | 24,458  | 28,269  | 33,208  | 35,811            | 39,296                                                               | 50,535  |
| Other**                                                                                                 | 12,983  | 15,448  | 17,400  | 19,953            | 21,227                                                               | 17,496  |
| Total***                                                                                                | 37,441  | 43,717  | 50,608  | 55,764            | 60,523                                                               | 68,031  |
| Administrative Income                                                                                   | –29,923 | –35,026 | –42,219 | –42,247           | –48,251                                                              | –58,168 |
| Total                                                                                                   | 7,518   | 8,691   | 8,389   | 13,517            | 12,272                                                               | 9,863   |
| Analysis by activity                                                                                    |         |         |         |                   |                                                                      |         |
| 7,518                                                                                                   | 8,691   | 8,389   | 13,517  | 12,272            | 9,863                                                                | 11,624  |
| Providing comprehensive & competitive legal services to government departments & publicly funded bodies |         |         |         |                   |                                                                      |         |
| Total Administration Budget                                                                             | 7,518   | 8,691   | 8,389   | 13,517            | 12,272                                                               | 9,863   |

*
This relates to staff costs for permanent staff members only.

** Depreciation is included as it is now classified as administration expenditure. *** Due to the new recording of provisions, utilisation of provisions is included here from 2005-06 onwards.

|            |         |         |         | STAFF NUMBERS     | Staff-years   | £'000   |
|------------|---------|---------|---------|-------------------|---------------|---------|
| 2001-02    | 2002-03 | 2003-04 | 2004-05 | 2005-06           | 2006-07       | 2007-08 |
| Outturn    | Outturn | Outturn | Outturn | Outturn Estimated | Plans         |         |
| Outturn    |         |         |         |                   |               |         |
| Total TSol |         |         |         |                   |               |         |
| CS FTE     | 559     | 607     | 686     | 741               | 731           | 734     |
| Overtime*  | 0       | 0       | 4       | 3                 | 3             | 2       |
| Casuals**  | 140     | 141     | 130     | 119               | 136           | 166     |
| Total      | 699     | 748     | 820     | 863               | 870           | 902     |
| TSDA       |         |         |         |                   |               |         |
| CS FTE     | 487     | 528     | 605     | 652               | 641           | 645     |
| Overtime   | 0       | 0       | 2       | 1                 | 1             | 1       |
| Casuals    | 138     | 136     | 124     | 113               | 129           | 158     |
| Total      | 625     | 664     | 731     | 766               | 771           | 804     |
| AGO        |         |         |         |                   |               |         |
| CS FTE***  | 32      | 35      | 37      | 43                | 46            | 46      |
| Overtime   | 0       | 0       | 2       | 2                 | 2             | 1       |
| Casuals    | 1       | 4       | 5       | 4                 | 5             | 7       |
| Total      | 33      | 39      | 44      | 49                | 53            | 54      |
| HMCPSI     |         |         |         |                   |               |         |
| CS FTE     | 40      | 44      | 44      | 46                | 44            | 43      |
| Overtime   | 0       | 0       | 0       | 0                 | 0             | 0       |
| Casuals    | 1       | 1       | 1       | 2                 | 2             | 1       |
| Total      | 41      | 45      | 45      | 48                | 46            | 44      |

*
The methodology for calculating overtime has changed since the Spring Departmental Report publication last year.

** Agency staff have now been included in the 'Casual' figures. *** Includes Ministers.

These figures are consistent with the Department's Resource Accounts and the Core Staff numbers table earlier in this document.

## 5 Glossary Glossary

ACPO
Association of Chief Police Officers
AGO
Attorney General's Office
bona vacantia
Ownerless goods
BREEAM
Building Research Establishment Environmental Assessment Method
CJS
Criminal Justice System
CJSSS
Criminal Justice Simple, Speedy, Summary 
Code of Practice for
See Victims Code
Victims of Crime CoLP
City of London Police
Crown Prosecution
Prosecutes criminal cases within England and Wales
Service (CPS) DCA
Department for Constitutional Affairs
DFU
Digital Forensic Unit - a management unit of the SFO
DOCMAN
The DOCument MANagement system of the SFO
DTI
Department of Trade and Industry
During 2006
For the calendar year 01/01/06 - 31/12/06
EDRMS
Electronic Document and Records Management System
FOI
Freedom of Information
FSA
Financial Services Authority
HMCPSI
Her Majesty's Crown Prosecution Service Inspectorate
HMCS
Her Majesty's Courts Service
HMRC
Her Majesty's Revenue & Customs, previously Inland Revenue and HM Customs & Excise
IiP
Investors in People
IND
Immigration and Nationality Department
IS
Information Systems
ITIL® (IT Infrastructure
IT Infrastructure Library® is a Registered Trade Mark of the Office
Library)
of Government Commerce
ITIL® is the only consistent and comprehensive documentation of best practice for IT Service Management. Guidance on the provision of quality IT services, and on the accommodation and environmental facilities needed to support IT.
JVC
Joint Vetting Committee
L-CAT
(Legal Services Catalogue) is the series of framework agreements under which selected firms of solicitors can perform legal
services for government departments and other public bodies without the need for further competition.
Lexcel
The Law Society's quality standard for solicitors' practices
MLA
Mutual Legal Assistance - a management unit of the SFO, providing assistance to overseas governments and anti-fraud agencies.
NEDs
Non Executive Directors
NWNJ
No Witness No Justice; this project aims to provide a more customer focussed and responsive service to victims and witnesses of crime.
Office for Criminal Justice
A trilateral team drawn from Home office, DCA and CPS to
Reform (OCJR)
support criminal justice departments
OGC
Office of Government Commerce
OFT
Office of Fair Trading
Proceeds of Crime Act
In appropriate circumstances allows the confiscation of assets 
(POCA)
from convicted criminals
PPOs
Prolific and Priority Offenders
PSG
Professional Skills for Government
RCPO
Revenue & Customs Prosecutions Office, carries out criminal prosecutions for HMRC and along with the CPS prosecutes cases investigated by SOCA
SFO
Serious Fraud Office
SR 2004
2004 Spending Review
SLT
Senior Leadership Team

## Glossary 5

SOCA
Serious Organised Crime Agency
TSDA
Treasury Solicitor's Department Agency - TSol excluding HMCPSI and AGO
TSol
Treasury Solicitors Office
Victims Code
Code of Practice for Victims of Crime sets out the services victims can expect to receive from the CJS.
WCU
Witness Care Unit

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