STATES spending will be probed for the first time to find out if departments are wasting public money. Following Guernsey Press enquiries, Treasury and Resources has now given more details of a fundamental review as it continues to attempt to rein in unnecessary expenditure.
The department will work on it with an independent body.
ﾓThe review is needed to be sure that we’re prioritising revenue expenditure appropriately, that the services we’re delivering are the right services and we’re delivering them in an efficient and effective manner,’ said chief officer Dale Holmes.
‘It’s never been done before and departments’ base budgets have never been tested before to determine if they are set at the right limits.’
The review was first mooted by Treasury minister Lyndon Trott during a speech on the Government Business Plan in July.
‘We’re expecting to identify some efficiencies, some savings in expenditure. That’s not to say they will be retained, but it will give the States the option to reprioritise those savings,’ said Mr Holmes.
Deputies will also have the chance to prioritise revenue expenditure as they have already done with capital expenditure, he added.
‘This is not something that Treasury wants to force on departments. That’s a recipe for failure,’ said Mr Holmes.
‘Treasury’s stance is to work with the departments to ensure the right outcomes. We intend to ensure departments have the opportunity to adopt the framework in which these reviews are carried out.’
He added that there was not the expertise within Treasury to carry out such a review alone.
‘We’re looking for some outside assistance. We’re not sure who yet, but the first stage is to develop the framework of how we do it, how it is carried out.’
The bulk of the work will inform the 2010 Budget, but some could be completed in time for 2009.
Article posted on 8th November, 2007 - 12.00am
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