Financial Strategy

Financial Strategy

BTP passed through two contrasting phases in its recent financial history; one in the late 1990s through to the early 2000s where it suffered from a lack of investment and had, in real terms, budget reductions, and more recently it has been through a major investment programme, addressing a range of legacy issues.

While some of this investment funded issues such as pension shortfalls and VAT liability, much of it provided the opportunity for significant efficiency gains to help meet growing demand, for example an improved standard of accommodation and premises, the further implementation of NPTs and improved technology systems. As BTP moves into a new phase of its development, with charges to PSA holders with respect to BTP’s revenue budget capped at RPI, it views this next era, as among other things, one focused on making sure the benefits from the investment that has already been made are realised.

To deliver this plan successfully will require BTP to secure 6% efficiency savings to reinvest in order to meet growing demand and to continue to modernise. This provides a very challenging scenario for BTP and the BTPA, which will be monitored and managed through the Frontlinefirst Programme.