15th July 2025
By Jo Gibson – Strategic Lead for Business Cases at the TU
If you’ve ever found yourself wondering whether to develop a Programme Business Case (PBC) or follow the more familiar Strategic Outline Case (SOC), Outline Business Case (OBC), and Full Business Case (FBC) route, you’re not alone. It’s a common area of confusion, especially when working on complex change initiatives in health, care, or public services.
This article aims to clarify the difference between the two approaches and help you decide which is right for your situation.
Understanding the Programme Business Case
A Programme Business Case is designed for large-scale, multi-project initiatives. These are often complex programmes of work that aim to deliver a broad set of outcomes over time. Rather than focusing on a single, defined intervention, a programme brings together a range of related projects under one strategic umbrella.
The Programme Business Case still follows the Five Case Model (Strategic, Economic, Commercial, Financial, and Management), but it does so at a programme level. It sets out the overarching vision, the case for change, and the anticipated costs and benefits across the programme. It also outlines how the programme will be governed and delivered, and how individual projects will be developed and appraised in more detail later on.
This approach is particularly useful when you need to secure early investment to set up a programme, establish governance, or begin work on enabling projects before the full scope of delivery is known.
What About the Economic Case in a Programme Business Case?
One area that often causes confusion is the level of detail required in the Economic Case for a Programme Business Case. It’s sometimes assumed that because a programme is high-level or strategic, the economic analysis can be similarly broad. In fact, the opposite is true.
The Programme Business Case must still follow the Green Book’s standards for economic appraisal. That means providing a robust, evidence-based comparison of options, including:
- Whole-life costs and benefits
- Risk adjustments
- Optimism bias
- Value for money assessments
Even though some elements of the programme may still be in development, the Economic Case should be detailed enough to justify the overall investment and demonstrate that the programme offers the best use of public resources. This often involves bottom-up costing of early projects or workstreams, supported by assumptions and modelling where necessary.
The key is proportionality. The level of detail should reflect the scale, complexity, and stage of the programme but it must still be sufficient to support informed decision-making and Treasury approval.
When to Use SOC, OBC, and FBC
The SOC–OBC–FBC process is more appropriate when you are developing a single, well-defined project. This could be a capital investment, a service redesign, or a procurement exercise. The three stages allow you to build the case in a structured way:
- The Strategic Outline Case sets out the case for change and explores a longlist of options.
- The Outline Business Case develops the preferred option in more detail, including economic appraisal and delivery planning.
- The Full Business Case finalises the commercial and financial arrangements and confirms readiness to proceed.
This route is ideal when the scope, costs, and benefits of the project can be clearly defined from the outset.
How the Two Approaches Work Together
In many cases, the two approaches are not mutually exclusive. A Programme Business Case may be used to secure approval for a broader transformation programme, with individual projects within that programme each going through their own SOC–OBC–FBC process.
Think of the Programme Business Case as the strategic blueprint, and the SOC–OBC–FBC process as the detailed design and delivery plan for each component.
Do You Always Need a SOC if You Have a Programme Business Case?
Not necessarily. If the Programme Business Case has already established the strategic context and case for change for a particular project, and that project is clearly defined within the programme, you may be able to move straight to an OBC.
However, a SOC may still be needed if:
- The project was not clearly scoped in the PBC
- There are multiple delivery options that still need to be explored
- The context has changed significantly since the PBC was approved
- The project is new or sits outside the original programme structure
In short, if the PBC has done the heavy lifting in terms of strategic alignment and early options appraisal, you can often go straight to the OBC. If not, a SOC helps ensure the project is still viable and aligned with current priorities.
Final Thoughts
Choosing the right business case approach depends on the nature of the change you are trying to deliver. If you are working on a complex, multi-faceted programme with interdependent projects, a Programme Business Case is likely to be the right starting point. If you are delivering a single, clearly scoped intervention, the SOC–OBC–FBC route will provide the structure and assurance you need.
Getting this right not only helps secure investment but also sets the foundation for successful delivery and measurable impact.
Further Reading: https://www.gov.uk/government/publications/business-case-guidance-for-projects-and-programmes