Committee publication · Estimate memoranda · 13 May 2026
Main Estimates Memoranda 2026-27 - Cabinet Office
From: Public Administration and Constitutional Affairs Committee
Summary
The Cabinet Office's Main Estimate memorandum for 2026-27 details a Resource DEL increase of £30.564m (2.8%) and Capital DEL increase of £122.216m (23.5%). Major drivers include the £580.220m machinery-of-government transfer of the Integrated Security Fund from the FCDO, increased Infected Blood Compensation Authority funding (£33.250m), and new investments in G7/G20 Presidency costs (£25m), ROSA IT system development (£28m), and a York hub (£129.700m). The department plans £67m in staff and accommodation savings by 2028-29.
Key findings
- Resource DEL increases by £30.564m primarily due to machinery-of-government transfer of the Integrated Security Fund (£580.220m inbound, £443.057m transferred outbound), partially offset by £254.532m depreciation reclassification to AME.
- Capital DEL rises by £122.216m (23.5%), driven by £28m for ROSA IT system, £129.7m for York hub development, £33m for Digital ID costs, and £12.7m for Queen Elizabeth II Memorialisation, partially offset by £100m reduction in civil service pension hardship support.
- Infected Blood Compensation Authority provisions decrease significantly: Resource AME down £2,205.934m and Capital AME down £807.304m, reflecting updated payment schedules and reduced claimant valuations.
- Administration costs decrease 40% (£224.084m) year-on-year, mainly due to £210.098m reclassification of depreciation costs to Resource AME, with planned £67m efficiency savings from workforce reductions and estate rationalisation.
- New programmes include Government Skills (£13.4m Spending Review funding plus £17.341m in-transfers from other departments), G7/G20 Presidency (£35m), and Public Service Fraud Authority Enforcement Unit (£4m from Autumn Budget).
Tone
ProceduralTopics
Key actors
Cabinet Office, Foreign and Commonwealth Development Office (FCDO), Infected Blood Compensation Authority, Department of Health and Social Care, Department for Science, Innovation and Technology, HM Treasury, Cat Little (Permanent Secretary, Cabinet Office)
Notable line
“By 2026-27 the Cabinet Office will deliver £67m savings from staff reductions savings from reductions in reliance on contingent labour …”
Key Quotes
“The Cabinet Office objectives are as follows: 1. Drive delivery of the PM and Government priorities; 2. Strengthen international partnerships; 3. Strengthen the foundations of good government; 4. Keep the country safe; and 5. Reform the civil service to drive a citizen focused state”
“The information in this Estimates Memorandum has been approved by myself as Departmental Accounting Officer.”
“By 2026-27 the Cabinet Office will deliver £67m savings from staff reductions savings from reductions in reliance on contingent labour and external consultancy and accommodation rationalisation.”
“Machinery of Government transfer inwards of £580.220 million to reflect the transfer of function of the Integrated Security Fund from the Foreign and Commonwealth Development Office.”
Source · parliament.uk record ↗