The chief executive of the Met Office has stepped down from his role with immediate effect, amid reports of concerns about governance at the public body, and will be replaced on a temporary basis by the chief financial officer (CFO)
Rob Varley, who has been chief executive since 2014, has left at the request of the Department of Business, Energy and Industrial Strategy (BEIS).
Nick Jobling, currently deputy chief executive and CFO, is now interim chief executive with immediate effect, pending the appointment of a permanent chief executive in due course.
In a statement, BEIS said: ‘This will ensure continued leadership of our world-class national meteorological service.
‘Met Office operations and services are wholly unaffected by this decision.’
The most recent annual report included an entry from the Met Office accounting officer in the section titled ‘significant governance and control issues’.
This stated: ‘ During the year, an issue occurred with a particular product development and a bid which resulted in incorrect pricing and specifications for some key services. I consider these to be significant control issues. The specific issues have been addressed but these processes are being analysed to identify the root causes and to develop appropriate remedial actions.’
The report by the internal audit function included the statement: ‘Seven engagements undertaken by the team found issues connected to immature governance arrangements or frameworks, leading to the identification of one key theme: “Governance at a time of transformational change”. Management are undertaking actions to address these issues and challenges. The internal audit team is tracking progress of these actions.’
The Met Office became an executive agency of BEIS in 2011, having moved from the Ministry of Defence. As a trading fund, it is required to operate on a commercial basis and meet targets agreed by the Met Office board and approved by BEIS.
According to its annual report, total Met Office revenue in 2016/17 was £226.8m. The agency is implementing its ‘transformation and efficiency’, a multi-year exercise to transform the way the Met Office works in order to make operations simpler and realise cost savings.
Met Office operating costs increased from £218.7m in 2015/16 to £221.9m in 2016/17, while total dividends payable to BEIS dropped from £500,000 to £400,000. The agency had £34m in loans outstanding to BEIS (31 March 2016, £20m).
Met Office annual report and accounts 2016/17
Report by Pat Sweet
