Consultant spend soars as cutbacks continue
State Services Spokesperson
Consultant spend soars as cutbacks
Official figures reveal that
Treasury’s spending on consultants has increased by a
“gob-smacking’” 1014 per cent over five years,
Labour’s State Service spokesperson Chris Hipkins
The figures, in responses to the supplementary
estimates questions, show that Treasury spent $1.968 million
on consultants in the 2007/200 year and is expected to spend
an estimated $21.927m in 2012/13 – an increase of
$19.959m, or 1014 per cent.
“On the one hand Treasury
is saying the figure is so high because $17m is being spent
in 2012/13 on consultants for the asset sale programme. On
the other it admits the $21.927m estimate could be on the
“The fact is, the money is being spent. Even
excluding the $17m Treasury has more than doubled its spend
on consultants since National took office.
“Unfortunately it’s not surprising. When you have a
Government determined to slash budgets across the state
sector and in the process lay off staff, it is inevitable
departments will find themselves in the position of being
forced to use consultants and contractors.
isn’t about value for money. We know that former staff are
being re-hired as external consultants at a much greater
cost to taxpayers.
“Labour is all for greater
efficiency and achieving outcomes in the public service, but
what we are seeing now is a Government that favours buying
in skills rather than keeping them in-house.
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