ONS Economic Forum #ONSeconomy Website: involved/events/events/economic-forum/index.htmlhttp:// involved/events/events/economic-forum/index.html 10 July

National Statistics Quality Review No 2 National Accounts and the Balance of Payments Kate Barker Lead Reviewer July ONS Economic Forum 2

Rationale and Terms of Reference Commissioned by ONS (not UKSA) Time elapsed since last review of this type Terms of reference: - user needs and priorities - basic compilation following Pickford - risks in coverage and collection - existing quality assurance at ONS Not a review of recent data trends 3

People and Process Statistical lead – Art Ridgeway, ex Stats Can ONS: Adrian Chesson, Priya Mistry ONS discussions/UKSA consultation User consultations – city, academics, journalists Messages positive and negative – but also lack of knowledge about ONS and methods 4

Previous National Accounts Reviews Key: Pickford 88/89; Allsopp 03/04; Caplan 03 Pickford – merger of economic statistics, survey improvements Allsopp – improvements to regional data, further survey recommendations Caplan - integrated supply/use framework, common deflators Some recommendations adopted then reversed Positive developments on service sector coverage 5

National Accounts Estimates Urgent reinstatement of Purchases Survey or alternative data source With SUT at PYP develop double deflation Adjust more than services industries to bring output measure into line Consider ways to reduce workload of quarterly estimates and annual benchmarking 6

Other statistical issues Work with BoE on Flow of Funds Support new unit focused on deflation Improve deflators for GFCF Improve the IDBR Improve access to administrative data Importance of systems constraints 7

Quality Assurance and Communication Users complimentary about response to inquiries/press releases Economic Forum and preparation for ESA10 Need to be transparent if QA not adequate Stronger sign-off procedures for outputs Consider all users not just key ones The website

Summary Work of National Accounts inevitably complex and needs to be continuous focus on methods Processes not always well-explained to users Workload pressures with ESA10 and other new demands Overall the National Accounts of a good standard Important that improvements not reversed 9