National's consultancy culture is out of hand

An explosion in the cost of state sector consultants and contractors over the last five years clearly shows that the National Government has failed to live up to its promise of a more efficient public service focused on the frontline,  says Labour's State Services spokesperson Chris Hipkins.

"Between 2006/07 and 2010/11 the total spend on consultants and contractors leapt from $336 million to $525 million. The biggest leap came in National's first year in office when it  imposed its arbitrary 'cap' on the number of staff the public service can employ.

"National's cap on staff numbers has caused this blowout in consultants and contractors costs, plain and simple,” Chris Hipkins said.

“They're not delivering more efficient public services, in fact quite the opposite - Kiwis are paying more to get less.

"It can't possibly be more efficient to make someone redundant one day and then pick them up as consultants a few days later.

"National's supposed drive for greater efficiency in the public service has failed miserably. They've failed to adequately monitor the effect of their cuts, failed to stop cost blowouts in other areas, and failed to live up to their promise of a more efficient and effective public service.

"The consultancy culture has gotten so out of hand under National that Bill English's own department, the Treasury, even hired a consultant to write a review on the use of consultants.

"In these tight economic times, Kiwis want to know that the government is spending their tax dollar wisely. A more efficient and effective public service should be a major priority for any government. National has failed to deliver it," Chris Hipkins said.