Analysis to inform ORR's RIS3 Efficiency Review

Description

Later in 2023, the government will publish its draft RIS. This includes the proposed requirements to be delivered by National Highways, and the financial resources to be provided by the Secretary of State (the SoFA). National Highways' Draft Strategic Business Plan (SBP) details its plans for delivering the requirements set out in the Draft RIS.  

During the Efficiency Review, we undertake a detailed review of the Draft SBP to confirm that National Highways' plans will deliver the governments requirements (as set out in its Draft RIS) and do so in a way that represents an effective and efficient use of public money.  

The Efficiency Review will consider whether National Highways' plans have been appropriately costed and will deliver the government's requirements in an efficient manner.  However, our advice is not limited to cost, and efficiency. We will also evaluate the quality of National Highways' plans to ensure they provide a robust basis for delivery.  

Furthermore, we advise government on the performance requirements and targets included in the RIS3 Performance Specification. It is our role to ensure that requirements and targets are sufficiently stretching, supported by appropriate plans and that the RIS package as a whole is challenging and deliverable with the funding available.  

For context, the second Road Investment Strategy - containing the RIS2 Performance Specification - can also be found on the Department for Transport's website (Road Investment Strategy 2 (RIS2): 2020 to 2025 - GOV.UK (www.gov.uk)) 

This commission will inform ORR's advice in each of the areas set out above. To meet ORR's requirements, this commission has been subdivided into the following five lots: 

Lot 1: Operations, maintenance, renewals and digital 

Lot 2: Enhancements 

Lot 3: Safety  

Lot 4: Environment 

Lot 5: Economic advice 

Successful bidders will be responsible for scrutinising aspects of the Draft SBP and providing expert advice and analysis. For each lot, the final deliverable will be a report setting out the consultant's findings. ORR will draw on these reports when developing its advice to the Secretary of State. The advice itself, and the opinions it contains, remain the responsibility of ORR. 

The ORR project team and consultancy teams will need to work in an integrated manner during the Efficiency Review. In some cases, the boundaries between various lots are overlapping. Therefore, consultants will also need to liaise with each other during the process.  

Direct engagement with subject-matter experts within National Highways will be required. National Highways and ORR will facilitate interviews and workshops for this purpose. Meetings will typically be attended by both consultants and ORR. The ORR will submit requests for data and information to National Highways on the consultants' behalf via an agreed process for the Efficiency Review.