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Senior civil servants working within the top political committee were advised of the potential cost increase of the hospital modernisation project at the end of 2023, but waited a further two months before informing their political masters.
An estimated £30m in cost for phase two of the hospital redevelopment project was withheld from wider leadership or political knowledge by a small number of officers between February and November 2023.
But later the suspected 25% increase in costs to £150m were discovered in December by political members of Health & Social Care, although this wasn’t shared widely while investigations were undertaken.
Now its been revealed, through formal parliamentary questions submitted by Deputy Gavin St Pier, that P&R deputies weren’t briefed until 13 February 2024, a year after suggestions of a substantial cost increase were first received.
Some Policy & Resources officers had been told in November and December of the previous year that the cost increase had been discovered, and formal work was underway to validate the information. More non-political briefings took place at the end of January 2024 too.
This could’ve influenced key States decision into the funding of major building projects, which occurred at the end of 2023 and into January 2024.
Pictured: Deputy Gavin St Pier submitted the questions at the start of May.
“Initially, this was highlighted informally through line management channels as a risk, acknowledging that further work was being undertaken to better understand whether there was in fact a material challenge beyond price fluctuations which are to be expected throughout the programme cycle,” Deputy Lyndon Trott, President of P&R said.
“Some of these same officers were advising the Committee on its preparations for the GWP debate.”
It wasn’t until February, after the States had considered and passed substantial funding packages for the hospital project and later the post-16 education campus at Les Ozouets, did the cost increase become known politically and publicly.
Deputy Trott declined to answer questions on how many civil servants left the employment of the States, whether termination payments were made, or if “contracted staff or consultants” fell foul.
“The circumstances surrounding their departure are private to the States of Guernsey and those individuals and therefore, in accordance with established practice, no further details may be given,” he said.
But he did reiterate that those responsible for withholding the key information for months “fell significantly short of required standards and would stress that appropriate policies and procedures are in place to deal with matters of this kind”.
States members backed funding for the hospital project in October 2023, using cash from the capital reserve, up to £90m from a savings pot known as the Health Reserve, and some additional borrowing - but only for a maximum spend of £120m.
In January deputies also agreed a package to get at least the new Guernsey Institute building off the ground at Les Ozouets, and the foundations for a standalone sixth form centre, for a cost of £88m.
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