By Richard Johnstone | 7 November 2013
The coalition’s Whitehall efficiency drive saved £5.4bn in the first half of the current financial year, including £2.3bn from cutting the size of the civil service and reforming central government pensions, the Cabinet Office has claimed.
The department’s Efficiency and Reform Group said today it was on track to hit the £15bn savings target in 2013/14.
Among the savings, £1.8bn has been found by linking departmental procurement processes together and restricting the use of consultants. Around £700m has also been saved through reviewing large-scale government projects to find efficiencies, and £600m through rationalising government property and introduction of better online services.
Cabinet Office minister Francis Maude said today’s figures showed the ERG was making progress towards its £20bn total savings target by 2015.
‘Thanks to the relentless work of many civil servants and our tough but sensible spending controls, we are now on track to reach our target of saving taxpayers £15bn this year,’ he said.
‘We still have a long way to go to meet our ambitious and stretching target by the end of the year.’
Financial secretary to the Treasury Sajid Javid said the Whitehall efficiency programme showed what could be done to revitalise the economy and stimulate growth.
‘Civil servants across government are radically rethinking the way they operate to increase productivity and support SMEs – the lifeline of our economy. The deficit is already down a third since the general election but there is still much more to do.
Jonathan Isaby, political director of the Taxpayers’ Alliance, praised the government’s saving efforts.
‘It is essential that a culture of delivering best value for money exists at all levels in the public sector, all the way from the biggest departments in Whitehall to the smallest parish council,’ he said.
The £15bn target for savings for 2013/14 is a combination of cash released from back office savings and cracking down on fraud, error and debt.
The Efficiency and Reform Group reports to Maude, and is overseen by a board chaired jointly by Maude and the Chief Secretary to the Treasury Danny Alexander.
