High quality financial management is key to ensuring that the government meets its spending plans and spends taxpayers’ money as efficiently and effectively as possible within them.
HM Treasury, acting on behalf of Parliament, is the historic guardian of financial management in government and serves as the government’s central finance function.
This document looks at the evolution of the Treasury’s role in spending control and financial management within the history of increasing public accountability for how taxpayers’ money is spent; and sets out how the current framework operates, including recent developments. It provides the backdrop to a review that the Chancellor and Chief Secretary have announced to look at how to strengthen financial management further in central government. The review will report to them by the end of the year.