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Funding of BSI and Standards Development

Our work in this area covers

• the Government's general policy on matters relating to standards-making (but not on individual standards); and
  
  
• the Government's relations with the British Standards Institution (BSI) and its funding of BSI's standards development work, including support for delegations representing the UK at overseas standards meetings and for consumer representation in standards-making activities.

BSI itself is an independent body, established by Royal Charter in the 1920s, although its origins go back to 1901. Its HQ is at Chiswick. More information can be found on BSI's own website.

BSI and the Department recognise that, whilst the process of standards development facilitated by BSI in the UK is a voluntary activity, there is a public interest in standardisation per se.

A joint statement of the public interest has been agreed between BSI and the Department: this paper is available in English, French and German. Click on one of the links on the right to download your preferred version.

A new Memorandum of Understanding (MoU) between BSI and the Department was signed on 20 June 2002. The main changes from the previous MoU include:

• incorporation of key points from the joint statement of the public interest
• recognition that BSI now has significant commercial businesses outside its NSB functions, and focus on the relationship between the NSB and non-NSB sides. In particular, this has meant defining a ‘ring-fence’ both in terms of the use of public funds and in terms of the precedence of the NSB as a whole
• an indication of a willingness in principle to provide government support if the NSB runs into major difficulties
• strengthening of the international and European context, including a specific reference to standardisation policy developed by the Council of the EU
• clear encouragement to BSI to develop their standardisation business beyond traditional ‘full’ standards in response to new technology, globalisation, etc, coupling this with a specific obligation to avoid ‘new products’ spreading at the expense of full standards in circumstances where the features of full standards are still required.

The MoU provides a framework for BSI and the Government to meet the challenges to the UK’s standards-making infrastructure.

The new MoU can be downloaded from link on the right.

Funding

The Government's funding of BSI standards work is provided in two main ways:

• firstly as direct financial support to BSI which is linked to specific deliverables including a prioritised work programme developed by the members of BSI's technical committees responsible for the preparation of standards; and
• secondly as schemes of assistance to those involved in the standards preparation work.

Schemes

• Assisted International Travel Scheme provides a contribution towards the travel costs of the leaders of committee delegations to overseas standards meetings
• Consultancy Drafting Scheme which allows the BSI technical committees to use an outside expert to assist prepare the first draft of a standard that is needed quickly
• Consumer Travel Expenses Fund which contributes to the travel costs of consumer representatives in national and overseas standards committees

As a condition on approval of funding of BSI and standards-making activities in 2000-2001, the Secretary of State for Trade and Industry requested that a study be carried out of the economic benefits of standardisation, in particular from the perspective of the Government’s financial support for standardisation.

Professor Peter Swann, Manchester Business School, was accordingly engaged to conduct this study, beginning with a review of the literature in this particular field.

The report of his study may be found here. It is available in English, French and German. Click on one of the links on the right to download your preferred version.

Following on Professor Swann's report, we, CBI and BSI recognised the need to develop a National Standardisation Strategic Framework (NSSF). See our NSSF webpage for further information.

Contact Radhika Sriskandarajah, Department for Innovation, Universities and Skills, Bay 410, Kingsgate House, 66-74 Victoria Street, London SW1E 6SW. Tel: 0203 300 8626.