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<p>The Treasury is responsible for ensuring there is proper accountability to Parliament
for the use of public money. It is responsible for setting the ground rules for the
administration of public money and is accountable to Parliament for doing so.</p><p>
</p><p>The guidelines for managing public expenditure have been set out in a number
of documents published by the Treasury, including <em>Managing Public Money</em><em><strong>[1]</strong></em><em>,
</em>the <em>Consolidated Budgeting Guidance</em><em><strong>[2]</strong></em> and
<em>Improving Spending Control</em><em><strong>[3]</strong></em>. They set out the
circumstances where the Treasury may impose fines or penalties on departments. In
all cases, the Treasury retains the right to apply whatever penalties are appropriate
to incentivise good financial management and value for money.</p><p> </p><p>Fines
imposed on departments have had a minimal impact on the Government's overall resources.</p><p>
</p><p>Accounting Officers are responsible for ensuring that their departments meet
specific standards, as set out in <em>Managing Public Money</em>. The Chief Secretary
will write to the Secretaries of State and the Head of the Civil Service where he
is concerned that Accounting Officers may fall short in fulfilling their responsibilities
for managing public money. Should an Accounting Officer fall short of the standards
required he or she may have their designation as Accounting Officer withdrawn, which
may lead to termination of employment.</p><p> </p><p> </p><p>[1] https://www.gov.uk/government/publications/managing-public-money</p><p>
</p><p> </p><p>[2] https://www.gov.uk/government/publications/consolidated-budgeting-guidance</p><p>
</p><p>[3] https://www.gov.uk/government/publications/improving-spending-control</p><p>
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