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NAO Investigation Reveals Gov Department Using Outdated Tech

Graham Turner

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NAO investigation
A new report from the National Audit Office (NAO) has found that the Department for Environment, Food and Rural Affairs (Defra) is relying on aging IT infrastructure.

Across the whole of government, legacy systems have become an increasingly large pain point, creating inefficiencies and major constraints to improving and modernising systems.

An investigation by the NAO has revealed that Defrea – a government department that provides many digital services that are critical to the country’s trade, disease prevention, flood protection, air quality monitoring and many other aspects of our daily lives – are using outdated tech and IT infrastructure.

In 2020, the Cabinet Office reviewed the legacy systems of eight departments, including Defra. It identified that government had limited visibility and understanding of the risks, compounded by a historical lack of focus on legacy systems during the budgetary process.

In July 2021, the Cabinet Office reported that nearly half of all technology expenditure across government in 2019 was dedicated to keeping outdated legacy systems running. Basically, this isn’t a new problem but, as this investigation illuminates, it’s one that isn’t being wholly addressed.

According to the NAO, Defra has set out to tackle the urgent service risks and vulnerabilities caused by its previous under-investment in digital systems, and now has a well-designed plan. However, it does not have a plan for the wider digital transformation that is needed.

De-prioritising investment in digital technology means Defra’s legacy applications have increased in number. Nearly one third (30%) are unsupported, which means the developer is no longer issuing any software or security updates. This compromises the resilience of vital services and increases exposure to cyberattacks.

The NAO has previously investigated IT legacy issues and their effect on government departments’ operations and efficiency. In July 2021, they identified IT legacy systems as one of six key areas of concern across government, stating that digital programmes have shown “a consistent pattern of underperformance” over a quarter of a century.

Many government departments face the challenge of tackling their ageing technology and service issues, and according to the NAO, Defra has one of the most difficult challenges of all. The Department and its associated bodies are not expecting to fix its legacy systems until 2030. Defra’s own estimates put the cost of maintaining ageing digital systems at 76% of its total digital, data and technology spend.

The Department has made efforts to reduce the most immediate risks and has been trying to deal with its legacy issues for over a decade. It was not until the 2021 Spending Review that it received the necessary funding to start to tackle the problem in a strategic and planned way. HM Treasury agreed to provide £366 million for IT investment for the three-year period 2022-2025. This compares with £100 million provided for the three-year period 2016 to 2019.

Since the increase in funding, the NAO states that Defra has established a well-designed plan to act on its most pressing digital legacy challenges and is beginning to make progress.

However, the additional funds are not enough to reduce risks to an acceptable level, nor fund a broader digital transformation. Currently only one-third of Defra’s 21 million customer transactions each year are fully digital.


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In the report, the NAO recommends Defra maintain the momentum of its Legacy Applications Programme as it moves beyond stabilisation and into transformation of its digital systems.

The NAO also recommends that Defra – and indeed other government departments – develop a strategic digital vision, coupled with governance and management structures, which ensure digital and data considerations are central to business transformation plans.

Gareth Davies, head of the NAO, commented: “Government continues to rely on many outdated IT systems at significant cost. Defra faces a particularly challenging task in replacing its legacy applications and has begun to tackle it in a structured way.

“The full potential of technology in improving public services and reducing cost to the taxpayer can only be accessed if this programme and others like it across government are delivered effectively.”


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Graham Turner

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