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Fund for outcomes, procure for growth and innovation

We’re transforming how we fund, buy and manage technology so that public money delivers the best possible outcomes for people who rely on government services.

The State of digital government review sets out that while the public sector spends heavily on digital, our funding and procurement approaches are not always set up to deliver long-term transformation. Combined with inconsistent commercial and digital expertise across government, this can slow down delivery and make the services you use less effective. Improving how we fund and buy technology will help create more reliable, consistent and user-focused services.

To address this, we’re introducing funding based on performance, establishing the Digital Commercial Centre of Excellence, harnessing technology to understand how and why we’re spending money on digital and simplifying how we manage grants. Together, these reforms will give teams the skills, resources and incentives they need to improve public services continuously – ensuring better value for you and services that are faster, fairer and easier to use.

Smarter organisations
This work aims to create smarter organisations by introducing staggered, performance-based funding that supports teams to work in an agile and user-centred way. As well as this, we’re digitising and simplifying approvals processes so we can deliver new and improved services faster.
Higher productivity and efficiency
By getting better value for public money and supporting a more competitive and innovative tech marketplace, we also aim to deliver higher productivity and efficiency.
Faster growth
Through the Digital Commercial Centre of Excellence, we’re making it easier for companies of all sizes to work with government. This will contribute to faster growth by widening access to opportunities across the public sector.

Changing how we fund digital work to focus on outcomes

The Government Digital Service (GDS) and HM Treasury (HMT) are reforming how digital and data work is funded and tracked by moving away from sporadic investment in large projects. A new, flexible model will support continuous improvement and give leaders better insights through near real-time financial and performance data.

Simplifying spending and approval processes to deliver new and improved services faster

The Government Digital Service (GDS), Government Commercial Function (GCF), Crown Commercial Service (CCS) and Grants Management Function (GMF) are transforming how government manages public money by improving commercial, grants and spending approval processes.

Improving the public sector’s buying power through the Digital Commercial Centre of Excellence

The Digital Commercial Centre of Excellence (DCCOE), working closely with other functions like Crown Commercial Service (CCS), will coordinate how we buy and build digital solutions across government. We’re fixing fragmented spending to make it easier for companies to work with government and get better value for public money.