What is a standard for conducting economic appraisals?

The HM Treasury Green Book guidance serves as an essential standard for conducting economic appraisals in the UK. It provides a comprehensive framework for assessing the costs and benefits of government projects and investments, ensuring that decisions are made based on a robust analysis of economic impact. This guidance emphasizes the importance of value for money, offering methodologies to assess the economic efficiency, effectiveness, and equity of proposed interventions.

By using the Green Book, practitioners can ensure that their appraisals are consistent, transparent, and aligned with national policy objectives. It contains detailed instructions on how to measure the economic impact of projects, taking into account various factors such as social and environmental considerations. This makes it a vital resource for anyone involved in planning and executing public sector projects, allowing for informed decision-making that maximizes public good.

The other options, while relevant in broader contexts, do not specifically offer a standardized approach for economic appraisals in the same way that the HM Treasury Green Book does. Local government guidelines may vary significantly and are not universally applicable. EU financial regulations focus on compliance and funding mechanisms rather than economic appraisal methodologies. ISO standards, although they cover quality and efficiency in various fields, do not specifically address the nuances of economic appraisal in the context of public projects.