The cost implications of Public Order Events

Report: 14
Date: 19 July 2007
By: Director of Strategic Finance on behalf of the Commissioner

Summary

This report sets out the policing costs associated with major public order events between 1 January 2006 and 31 March 2007.

A. Recommendations

1. That the Committee note the Report.

B. Supporting information

Introduction

1. The purpose of this report is to provide an update on the cost of policing events from 1 January 2006 to 31 March 2007. The MPS reports on costs associated with public order events requiring more than 300 police officer shifts. Future public order reports will mirror the financial year, as opposed to the previous method, which focused on the calendar year. This transitional report covers the period from 1 January 2006 to 31 March 2007.

2. The largest events during the reporting period included:

• State Opening of Parliament
• State Visits by the President of Brazil and the Prime Minister of Pakistan
• Notting Hill Carnival
• New Years Eve Celebrations
• London Marathon
• Trooping the Colour

Costing methodology

3. In policing such events, resource requirements are assessed and procured by Public Order Branch and deployed through preparation of an Operational Policing Order. Typically, this document will set out the numbers of officers and support personnel to be deployed and will provide detailed operational instructions to govern their deployment. The operational policing order forms the basis of public order costs reported to this committee.

4. The costing information reported to this committee is prepared using a standard costing methodology so that input factors, for example, hours worked by police officers assigned to the event, are costed at an average rate per unit of input. Actual costs incurred may differ marginally from the standard costs but based upon previous comparisons the overall effect has proved not significant.

5. In the table (see Appendix 1), the column entitled “Opportunity costs” refers to those resources diverted from other policing activities to be deployed on Public Order duties. “Additional Staff Costs” relate to overtime and allowances and “additional other costs” refer to all other support costs and unplanned expenditure (e.g. Transport and Catering).

Opportunity costs

6. Members are asked to note that, with the exception of overtime and other additional costs, a large proportion of costs quoted do not represent additional costs to the MPS. Rather, the officers and other staff assigned to a given operation would be assigned to other policing duties or operations. A significant element of the costs incurred in policing these events is regarded as ‘opportunity costs’ although this will probably impact upon operational resources available elsewhere and thus the MPS’s achievements of its performance targets.

Regular annual events

7. It is difficult to compare the cost of policing between years because of the varied amount and type of events that occur. There are several events that occur annually and the following ten events have been included in the annual MPA reports each year since 2003:

• New Years Eve celebrations, the London Marathon, Mayday Demonstrations, Trooping the Colour (General’s Review), Trooping the Colour (Colonel’s Review), Trooping the Colour (the Queen’s Birthday Parade), the Notting Hill Carnival, The Festival of Remembrance, Remembrance Sunday and the State Opening of Parliament.

Appendix 2 compares costs and the number of officers deployed between 2003 and 2006 in relation to the regular events listed above (the Defence Systems and Equipment International Arms Exhibition occurs bi-annually and has also been included).

Deployment levels are based upon the number of people expected to attend the event, historical information, the latest available intelligence and the potential risk of disorder. This can vary significantly from one year to the next.

C. Race and equality impact

There are no issues which impact upon race and equality.

D. Financial implications

1. The MPS resources involved in the 82 public order/ceremonial events where 300 or more officer shifts were involved (recorded in Appendix 1), amount to 57,638 police officer and 2,702 police staff shifts at a total estimated cost of £19,391,000. Police staff include PCSOs, traffic wardens, communication officers, catering staff, drivers, engineers etc.

The largest and most costly policing operations included:

• The Notting Hill Carnival at an estimated cost of £5,075,000
• The Three Trooping the Colour ceremonies at a combined estimated cost of £1,096,000
• New Years Eve celebrations 31 December 2006 at an estimated cost of £1,009,000

2. Further costs, not included in the list of events at Appendix 1, have been incurred due to MPS resources deployed in relation to the following Operations/incidents/events:

• Operation Overt and Operation Overamp were undertaken in response to the MPS uncovering a major terrorist plot to blow up aircraft in mid-flight and in reaction to the anti-terror raids at an Islamic School in Sussex and a Chinese Restaurant in South London. The estimated cost of Operation Overt and Operation Overamp, to the MPS up to the 31 March 2007 is £37,663,000 (including £14,611,000 estimated opportunity costs and £23,052,000 estimated gross additional costs before inclusion of counter terrorism grant (£2.5m) resulting in net expenditure of £20.55m). It has not been possible to identify and separate the cost of each operation due to the overlap in deployment between Operation Overt and Overamp in respect of MPS officers and officers from other Forces providing mutual aid.
• New Years Eve celebrations 31 December 2005 (details of these costs were not available at the time of publication of the 2005 public order report) – 2,788 police officer shifts and 126 police staff shifts were dedicated to the event at an estimated total cost of £773,000. £681,000 of the estimate is in relation to opportunity costs, £43K is estimated overtime costs and £49,000 relates to support costs. The relatively large number of officers deployed is mainly due to the larger geographical area covered because of the addition of new events in recent years (e.g. the firework display held on and around the London Eye).

Cost recovery

3. A total of 49 football matches were held between 1 January 2006 and 31 March 2007, which individually required the deployment of more than 300 police officer shifts. The estimated total cost of policing these events is £5,894,000 of which the MPS recovered £1,889,000. The discrepancy between costs incurred and costs recovered in relation to football matches is due to the cost recovery arrangements currently in place. Cost recovery is allowed under Section 25 of the Police Act 1996 (Provision of Special Services). This is explored more fully in paragraph 4 below. Additionally, Chelsea Football Club made a voluntary contribution of £72,000 towards the cost of policing the Chelsea Victory Parade, held on 14 May 2006.

4. Under current arrangements the charges levied against football clubs are based upon the hourly rates for the special services of police as per Section 25 of the Police Act 1996. The costs recovered reflect the number of officers deployed inside of the stadium on match days. Under current arrangements with the football clubs the MPS cannot claim reimbursement for officers deployed outside of the stadium.

Legal cost implications

5. The MPS Directorate of Legal Services has confirmed that no damages were paid in relation to public order events between 1 January 2006 and 31 March 2007.

E. Background papers

None

F. Contact details

Report author: Sharon Burd, Director of Finance Services, MPS

For more information contact:

MPA general: 020 7202 0202
Media enquiries: 020 7202 0217/18

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