Public Bodies Act 2011—contractual implications
Public Bodies Act 2011—contractual implications

The following Commercial guidance note provides comprehensive and up to date legal information covering:

  • Public Bodies Act 2011—contractual implications
  • Reform background
  • Guidance from the Cabinet Office and the Efficiency and Reform Group
  • Contractual implications

Reform background

On 14 October 2010, Francis Maude, the Minister for the Cabinet Office stated in a written ministerial statement that 'the landscape for public bodies needs radical reform to increase transparency and accountability, to cut out duplication of activity, and to discontinue activities which are simply no longer needed.'

To this end, the Public Bodies Act 2011(PBA 2011) received Royal Assent on 14 December 2011. The PBA 2011 is designed to allow the government to 'simplify the public bodies landscape' by, among other things, abolishing so-called quangos (ie quasi-autonomous non-governmental organisations). Quangos include non-departmental public bodies (NDPBs) (a term commonly used by the government).

The PBA 2011 is an enabling Act which gives ministers the power (by secondary legislation) to:

  1. abolish any of the public bodies set out in the PBA 2011, Sch 1

  1. merge any of the public bodies set out in the PBA 2011, Sch 2

  1. modify the constitutional arrangements of any of the public bodies set out in the P