On track to achieve $110m annual savings in Government accommodation footprint

State Services Minister Jonathan Coleman says the latest Crown Estate Report shows the Government continues to reduce its nationwide office floor space, delivering considerable savings.

“The Government is making good progress on reducing its property footprint. We expect to reach annual savings of around $110 million by 2023,” says Dr Coleman.

“The latest Crown Estate Report shows the Government is taking up less office space, and using more modern and efficient floor space designs. For the 12 months to June 2013, our property footprint reduced by 14,782 square metres - the equivalent of over two rugby fields.

“Over the past year as part of a five-agency deal in Wellington, the Ministry of Business, Innovation and Employment achieved a footprint reduction of 36 per cent, and the Ministry of Health achieved a 19 per cent reduction. Overall the five-agency deal is expected to result in savings of over $300 million over the next 20 years.”

A similar consolidated approach is being taken in the CBD in Christchurch.

The Government’s National Property Strategy which was released in August 2013 sets out the overall direction, enabling agencies to deliver a more co-ordinated approach, achieving efficiencies and savings.

The Property Management Centre of Expertise, which manages public sector office accommodation, is developing a number of practical efficiency tools including standard government leases, building performance specifications, and a website where property managers can share best practice.

The Crown Estate Report to 30 June 2013 can be found at: www.pmcoe.govt.nz

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