THE Island’s Comptroller and Auditor General, Chris Swinson, is not a man to mince words. His recent report on the management of public-sector finances fires a broadside at those responsible for the appropriate application of funds which, ultimately, come from the pocket of the man in the street.
Specifically, Mr Swinson says that for all the talk from States departments about increasingly sophisticated systems and processes of joined-up government intended to lead to greater efficiency, there is a shortage of truly able people in key positions and that the public sector has been slow to take advantage of the latest computer technology. In addition, departments and their political masters stand accused of short-termism in financial planning.
If these charges sound abstruse and
abstract, the consequences of the shortcomings that they highlight are anything but difficult to understand. Departments, it seems, are able to ‘cook the books’ to the extent that it is hard to determine where money is actually being spent.
It is, of course, significant that Mr Swinson’s report was researched and compiled against a background of promised States economies and cost-savings. Those promised savings are, in fact, part of the very foundation of the plan to mitigate the
effects of forecast shortfalls in revenue in coming years.
Sadly, it is hard to appreciate how effective savings programmes can be followed through if financial controls are so fuzzy that no one really understands fully which funds are being applied to which purposes.
It is also significant that this evidence of poor control comes at a time when a great many Islanders are being hit by tax
increases. Any administration will be aware that a higher tax burden is never going to be popular with the electorate, but it does not require great political intelligence to understand that it is always easier to persuade people of the necessity of tax hikes if they can see that their money is being spent wisely.
Mr Swinson has spoken and attention must now be paid to what he has said. States departments, and in particular their senior staff, clearly have a role to play in tightening up deficient financial control. It is, however, to States Members, and particularly the Council of Ministers, that we must look for the firm guiding hand which will be necessary if the
impression of ruthless efficiency which they are so eager to project is to be
transformed from fantasy into fact.
Controls on States spending
THE Island’s Comptroller and Auditor General, Chris Swinson, is not a man to mince words. His recent report on the management of public-sector finances fires a broadside at those responsible for the appropriate application of funds which, ultimately, come from the pocket of the man in the street.
Specifically, Mr Swinson says that for all the talk from States departments about increasingly sophisticated systems and processes of joined-up government intended to lead to greater efficiency, there is a shortage of truly able people in key positions and that the public sector has been slow to take advantage of the latest computer technology. In addition, departments and their political masters stand accused of short-termism in financial planning.
If these charges sound abstruse and
abstract, the consequences of the shortcomings that they highlight are anything but difficult to understand. Departments, it seems, are able to ‘cook the books’ to the extent that it is hard to determine where money is actually being spent.
It is, of course, significant that Mr Swinson’s report was researched and compiled against a background of promised States economies and cost-savings. Those promised savings are, in fact, part of the very foundation of the plan to mitigate the
effects of forecast shortfalls in revenue in coming years.
Sadly, it is hard to appreciate how effective savings programmes can be followed through if financial controls are so fuzzy that no one really understands fully which funds are being applied to which purposes.
It is also significant that this evidence of poor control comes at a time when a great many Islanders are being hit by tax
increases. Any administration will be aware that a higher tax burden is never going to be popular with the electorate, but it does not require great political intelligence to understand that it is always easier to persuade people of the necessity of tax hikes if they can see that their money is being spent wisely.
Mr Swinson has spoken and attention must now be paid to what he has said. States departments, and in particular their senior staff, clearly have a role to play in tightening up deficient financial control. It is, however, to States Members, and particularly the Council of Ministers, that we must look for the firm guiding hand which will be necessary if the
impression of ruthless efficiency which they are so eager to project is to be
transformed from fantasy into fact.
Article posted on 6th July, 2009 - 3.00pm