Role of the public debt management function (GDMF), public debt strategy, functional debt standard, debt center of excellence and debt equity principles.
The public debt management function was established in 2017 to provide strong functional leadership at the heart of government, with the right technical skills. Our vision is to create fair debt outcomes for all.
Good debt management is a key part of achieving government goals for fiscal policy. When debt arises, the government must deal with it efficiently and effectively.
The GDMF supports around 8,000 people working on debt management across government, participating in over 20 ministry departments, their ALBs and local authorities.
What are we doing?
The public debt management function is working to improve public debt management, which will increase following the COVID-19 pandemic.
GDMF interventions will limit the impact that COVID-19 fiscal stimulus measures will have on the growing public debt balance. It will also help maximize income for HMT in line with the Cabinet’s purpose of improving government efficiency.
Public debt strategy
The GDMF jointly developed and implemented a public debt strategy 2017-2020 to create a more coherent strategic approach to managing and resolving public debt, delivering savings.
The 2020-2023 strategy builds on this, outlining the government’s aim to refine its approach to debt resolution.
Functional standard of debt
The Debt Functional Standard has been developed to define expectations for managing and settling debt owed to government institutions, helping to achieve a consistent strategic approach and improving capabilities across government. Continuous improvement is driven by the assessment of organizational maturity in relation to the Debt Functional Standard.
Debt Center of Excellence
The Debt Center of Excellence (DCoE) is one gateway to professional and affordable debt services and a central resource for information and advice.
The DCoE supports functional leaders to ensure that government debt management capabilities are maximized, balancing it with the need to support vulnerable customers.
The GDMF is committed to developing functional debt capability through the professionalization of debt management. This vision for the future includes recognizing debt as a specialty and securing professional standards through the provision of bespoke accredited learning programs.
Principles of fairness and a call for evidence
The GDMF established the Fairness Group in 2016 to recommend improvements to government debt management practices. It is a partnership between central government, local government, the debt advice industry and industry experts. Its findings include a joint public statement on equity and contributing to the development of a call for evidence on public sector debt management.
The Joint Fairness Group Public Statement defines how the government works with the counseling industry to support vulnerable families.
The Call for Evidence, led by the GDMF, gathered insights into how the government can more effectively support vulnerable people in debt and manage debt arising from fraudulent activity. A summary of the responses to the document was published in February 2021 and its findings will inform future public debt recovery practices.