Local collaborative schemes fail to convince, say CFOs

8 Jun 10
There is widespread scepticism about the effects of Total Place and other initiatives to integrate public services, according to a CIPFA survey of 435 chief financial officers
By Mark Smulian

08 June 2010

There is widespread scepticism about the effects of Total Place and other initiatives to integrate public services, according to a CIPFA survey of 435 chief financial officers.

They say the schemes will lead to better collaboration at local level, but doubt much will change at national level or in relations between national and local tiers.

The survey, sponsored by software and outsourcing firm Civica, was launched at the conference. It found that 62% of respondents thought Total Place would give better local collaboration and 51% said it would reduce wasteful duplication.

But just a quarter expected better collaboration between central and local government, or that more decision-making would transfer to local levels as a result.

Only 12% thought co-ordination across central government would improve.

The survey showed just 2% of finance functions were shared across different parts of the public sector. Shared chief finance officers were rare, with only 16 bodies sharing one in the same sector and just three with a different sector.

Asked about the expectations of having to implement efficiency measures, 85% of health respondents anticipated redesigned services, 81% fewer back-office staff and 71% fewer senior staff. This is despite ministers’ intention to protect the bulk of NHS spending.

Local government respondents were slightly more optimistic, with 71% expecting service redesign, 71% reduced back offices and 59% fewer senior staff.

CIPFA policy director Ian Carruthers said: ‘It’s clear that CFOs from across the public services are expecting reductions in both services and jobs as a result of the squeeze on the public finances.
‘It is therefore more important than ever that finance teams work to reduce the impact of cuts on frontline services.’

Tom Lane, financials local government director at Civica, added: ‘Public sector finance directors will have to consider radical innovations such as service redesign and process improvements, larger scale collaborations and sharing of services, to transform overall service costs.’

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