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Full Breakdown

Delays to Palace of Westminster Restoration Could Add Up to £420 Million Annually

6/16/2026, 1:22:53 AM

The Cost of Postponement

The National Audit Office (NAO) warns that every year the restoration of the Palace of Westminster is delayed adds £320 million to £420 million to the programme’s total cost. The NAO’s updated forecast, released on 15 June 2026, estimates that postponements could increase the final bill by £420 million (€485 million) per year. Current maintenance spending is about £1.5 million (€1.7 million) a week and is projected to rise to £2 million (€2.2 million) a week by 2029-30.

Background and Governance

Restoration plans have been under discussion for more than a decade. In February 2026 the Restoration and Renewal (R&R) Client Board presented two primary options: a full decant—relocating both chambers for 20-25 years at a cost of up to £15.6 billion (€18 billion)—and a semi-decant lasting up to 60 years at just under £40 billion (€45 billion). The NAO notes that the client board, answerable to the clerks of the House of Commons and House of Lords, lacks the authority of a typical government accounting officer, creating a weak decision-making structure.

Key Figures and Decision-Making Bodies

  • National Audit Office (NAO) – independent spending watchdog issuing the cost warnings.
  • Restoration and Renewal Client Board – includes MPs and Lords; responsible for recommending the restoration pathway.
  • Clerks of the House of Commons and House of Lords – oversee the client board but do not hold direct delivery authority.
  • UK Parliament spokesperson – conveys the government’s response to the NAO report.

Data and Financial Outlook

  • Full decant: 20-25 years, up to £15.6 billion.
  • Semi-decant: up to 60 years, just under £40 billion.
  • Phase 1 works (proposed seven-year start): up to £3 billion (€3.4 billion) covering temporary accommodation, a river jetty, underground construction, and design procurement.
  • Weekly maintenance: £1.5 million now -> £2 million by 2029-30.
  • Historical reference: The Great Clock (Big Ben) restoration (2017-2022) cost £80 million (€92 million).

Official Statements & Responses

A UK Parliament spokesperson said the NAO’s report confirms an urgent need to reduce fire, asbestos and structural risks at the Palace. The spokesperson described the seven-year initial-works proposal with capped costs as a sensible approach and noted that both Houses will debate the options before deciding on a way forward. The spokesperson also welcomed the NAO’s scrutiny, stating the report provides sufficient information for a parliamentary decision.

Criticism of the Governance Model

The NAO criticised the current governance arrangement, arguing it is “designed for parliamentary engagement and developing options, rather than clear accountabilities and decision-making for delivery.” It warned that “in the absence of any one organisation or body being ‘in charge’, and with the need for consensus across Parliament, decision-making becomes more complex and increases the risk of delays, cost increases and scope changes.”

Conflicting Reports & Gaps

The NAO highlighted a lack of clarity over who will ultimately decide or be held accountable if delays or trade-offs arise. No single organisation currently has statutory authority for the programme, leaving a gap in responsibility that could further inflate costs.

Verbatim Quotes

  • “‘The current governance model is designed for parliamentary engagement and developing options, rather than clear accountabilities and decision-making for delivery,’ it said.” — National Audit Office
  • “‘It is not clear who will make decisions or who is accountable should there be delays or trade-offs required on these projects,’ it said.” — National Audit Office
  • “A UK Parliament spokesperson said: ‘The NAO concludes the Restoration and Renewal programme addresses a clear and urgent need to reduce risks to the home of Parliament and there is no way forward that does not incur cost and risk.” — National Audit Office
  • “‘The proposals put forward by the R&R Client Board, which includes MPs and Lords, include a recommendation for seven years of initial works with capped costs, which the NAO has recognised as a sensible approach.” — National Audit Office

What’s Next

Parliament must reach a decision on the restoration pathway by mid-2030. If approved, Phase 1 works could commence this year, lasting up to seven years and establishing temporary accommodation, a river jetty and underground infrastructure. The outcome will determine whether the full or semi-decant option proceeds, shaping the financial and operational future of Britain’s historic seat of government.