Quangos could be forced to close or merge under Whitehall review

Quangos could be forced to close, merge, or have their functions taken back by Whitehall departments under a new Government review.

Cabinet Office minister Pat McFadden has written to departments telling them that every arm’s-length body will be examined, and could be shut down if its existence cannot be justified.

It comes after Sir Keir Starmer announced that NHS England would be abolished, as ministers look to free up more money for frontline services.

The review will look at four areas across each organisation, including whether policy areas are of national importance and should therefore be looked after by ministers, and looking to improve efficiency by reducing duplication of work.

It will also take into consideration whether there is a clear need for regulation or advice independent of ministers. Bodies which are just advisory will not be considered justified.

Chancellor of the Duchy of Lancaster Mr McFadden said: “We are taking action to ensure decisions of national importance that affect everyone in this country are made by those who have been elected to do so.

“Only by fundamentally re-wiring the state, can we deliver our Plan for Change – kick-starting economic growth, rebuilding the NHS and strengthening our borders.”

Announcing the closure of NHS England last month, the Prime Minister said that he could not “honesty explain to the British people why they should spend their money on two layers of bureaucracy”.

Sir Keir said that duplication was one of the reasons the body would be closed, telling a patient at his speech that “we are duplicating things that could be done once.

“If we strip that out, which is what we are doing today, that then allows us to free up that money to put it where it needs to be, which is the frontline.”