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2  |  Decision-making within government
24.  The Manual also describes the Cabinet Secretary’s advisory role:
“The Prime Minister decides – with the advice of the Cabinet Secretary – the overall
structure of the Cabinet committee system, including … the terms of reference of
each Cabinet committee.”8
25.  The Manual, according to Sir Gus O’Donnell’s preface, records “the current position
rather than driving change”. It is quoted here on that basis.
PERMANENT SECRETARIES
26.  The Permanent Secretary (referred to in some departments as the Permanent
Under Secretary or PUS) is the most senior civil servant within a government
department. He or she is appointed Accounting Officer (AO) for that department.
27.  The Ministerial Code explained that an AO takes personal responsibility for
the propriety and regularity of public finances, for keeping proper accounts, for the
avoidance of waste and extravagance and for the efficient and effective use of the
resources for which they are responsible.9
28.  In addition:
“Accounting Officers have a particular responsibility to see that appropriate advice
is tendered to Ministers on all matters of financial propriety and regularity and more
broadly as to all considerations of prudent and economical administration, efficiency
and effectiveness and value for money.”
29.  The PUS of the FCO is also designated Head of the Diplomatic Service.
NO.10 CHIEF OF STAFF
30.  In 1997, Mr Jonathan Powell was appointed as the first Chief of Staff in No.10.
This was a new role for a political appointee.
31.  Mr Powell wrote:
“Robin [Butler, the Cabinet Secretary] told us we needed a special Order in Council
to allow Alastair [Campbell] and me to tell civil servants what to do. He thought
perhaps Tony would want another similar political appointee so he suggested we
allow for three positions with special powers.”10
32.  That proposal became the Civil Service (Amendment) Order 1997 which exempted
“up to three situations in the Prime Minister’s Office which are designated by him” from
the principle of selection on merit based on a fair and open competition, allowing political
8  Cabinet Office, The Cabinet Manual, October 2011, page 32.
9  Cabinet Office, Ministerial Code, July 2001, page 22.
10  Powell J. The New Machiavelli: How to wield power in the modern world. The Bodley Head, 2010.
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