WRAP confirms escape from bonfire of the quangos

The Waste and Resources Action Programme has confirmed that it has escaped the government's ‘bonfire of the quangos', but does expect to see its £91 million budget cut as a result of next week's Spending Review.

Question marks have hung over the future of the resource efficiency body given its absence from yesterday's Cabinet Office list of 901 quangos – non-departmental public bodies funded by government – that had been subject to review (see letsrecycle.com story).

However, a spokeswoman for WRAP today said it had escaped the review process because it was “not a quango” and went on to indicate that it would also not be abolished in next week's Spending Review. Instead, she said budget cuts were expected. WRAP is largely funded by Defra but also gets in substantial sums from DECC and the devolved administrations.

“WRAP was not part of Francis Maude's review of arm's length bodies as it is an independent body, not an NDPB (Non Departmental Public Body),” she told letsrecycle.com.

“WRAP is an independent delivery body, advising government on resource efficiency issues. Our chief executive and chair are appointed independently by our Board and not by ministers.”

But, she added: “Defra has reviewed all its arm's length bodies and WRAP was included in this work. WRAP expects to be subject to budgetary cuts as part of Whitehall's Comprehensive Spending Review that will be announced on 20 October.”

Despite the expected cuts, WRAP's continued existence is likely to be welcomed by recycling and reuse bodies in both the public and private sectors who have received funding, advice or communications support from it.

Priorities

Signs of the government's support for WRAP have been evident in its strong endorsement of voluntary producer responsibility deals, with environment minister Richard Benyon applauding WRAP's work in this area to date (see letsrecycle.com story).

And, waste and recycling minister Lord Henley attended the inaugural meeting for the second phase of the grocery sector's voluntary agreement the Courtauld Commitment in July 2010 (see letsrecycle.com story).

The coalition has also called for a “huge increase” in anaerobic digestion infrastructure – something WRAP has played a key role in allocating funding for in the past – as well prioritising small- and medium-sized enterprises' (SMEs) waste – an area WRAP has expertise in thanks to projects such as running bring bank trials for businesses.

The scheduled appearance by environment secretary Caroline Spelman at WRAP's annual conference next month (November 9) also indicates ongoing support for its activities.

Business plan

However, with WRAP facing cuts to the £90.93 million budget it has this year, it's ability to run the diverse range of programmes it has traditionally been involved is set to be come under pressure.

WRAP chairman Peter Stone has already said that prior spending cuts faced by Defra have contributed to the body's business plan for 2011 to 2014 focusing on fewer priorities (see letsrecycle.com story), and next week's announcement looks set to exacerbate that situation.

Friends of the Earth waste campaigner Michael Warhurst was quick to highlight the important role WRAP has played in developing recycling industries, and in particular, helping to support the development of infrastructure for recycling PET plastics.

“It would be very, very, very short-sighted to throw that away,” he told letsrecycle.com, adding that “The best outcome is a cut but one that's not too big so they can still do their work”.

Environment Agency

Yesterday's announcement did include confirmation that the Environment Agency will face “substantial reform”, raising the potential for the body to be merged with Natural England.

One local authority source today told letsrecycle.com that Defra officials had said the regulatory body was going to be “turned upside down” and would be “heavily cut”, with a focus on developing regional bodies. The Cabinet Office yesterday said there was potential for the Agency in Wales to become run by the Welsh Assembly Government.