The JEP has invited the 21 Senatorial candidates to answer a series of questions covering a wide range of key topics in the election

Question:
Should States spending be reduced? If so, how?

Deputy Peter Troy
In theory, yes, but in practice if we wish to have adequate services or introduce new services they have to be paid for. It is a fine financial tightrope that has to be walked, and what tends to happen in most governments is that they spend in economic boom periods and contract spending in recessionary periods. There’s no right answer to this one. One has to measure up whether a service is essential or just nice to have.

Deputy Alan Breckon
States spending should be more closely monitored and the public should be given access to robust information. The present accounting and reporting system is confused. The Business Plan sets finances and targets, but these are never the same as the outcomes. There are many areas where the States finances can become more focused and savings can be made without affecting essential services and people who need support. As a member of the Public Accounts Committee, I am aware of some of the challenges and believe that with access to the correct information presented in an understandable way, targeted savings can be made.

Jeremy Maçon
The States accounts are so complex that no one really understands where the money goes and mysterious ‘pots’ of money appear every now and again. The concept of shifting deficits and surpluses means that departments do not have to stick to their annual budget and it is a total farce. We continue to see taxpayers’ money being wasted on things we neither want nor need, yet have to travel to the UK or Guernsey for medical treatment and scans. It isn’t just a case of reducing States spending, it is also a case of getting their priorities right.

Deputy Alan Maclean
It is essential that States spending is controlled. It’s the only way to keep unwelcome taxes as low as possible, for as long as possible. Controlling public expenditure is all about efficiency savings and delivering the same service at a better price. Some services that are carried out by the States should be turned into private / public partnerships or given to the private sector to reduce costs and increase efficiency. I would give more resources and strong political support to the Comptroller and Auditor General who have identified £30 million of short-, medium- and long-term opportunities for savings.

Nick Le Cornu
A general statement about whether the government should reduce spending is almost like saying to someone, ‘You should reduce breathing’. The States have certain duties to perform on the public behalf and those duties involve expenditure. If the States are spending money for things other than public services, those expenditures must be critically examined, and if of no utility then they need to be stopped and resources redirected to perform proper public duties. Extravagant capital projects are the critical source of state budget expansion. A strategic plan is needed to determine essential expenditure.

Chris Perkins
It would be difficult to reduce the States spending, but they are certainly profligate. The recent report of the Public Accounts Committee has shown that the Treasury has failed to control States expenditure and there has been misleading accounting and poor financial management. One of the first tasks of the new Council of Ministers in December must be to take control of States spending.

Cliff Le Clercq
Definitely. We seem to have developed a flair for doing things the most expensive way possible, for example resurfacing Bel Royal corner, and even this week we are hiring more ‘experts’ on £100,000 a year to start. We are then asked to believe that a recent survey said our staff and spending were all right. I don’t believe it. Even when savings are made, they are not saved but spent on yet something else we could do without. A long, honest look and open publication of what is actually spent would be a serious deterrent to overspends that could no longer be hidden.

Deputy Geoff Southern
Basically no. We must remember we are a low-tax low-spend economy. The report of the Auditor General suggested that there is little scope for further trimming and efficiency savings. He pointed out that many smaller States departments were understaffed at middle-management level. He strongly suggests that any further cuts would mean major cuts in service. The only areas that might be explored are either cutting numbers of staff (with consequent service cuts) or reducing terms and conditions, including pensions, in the public sector. This is not a route I can recommend.

Ian Le Marquand
No. The level of overall States expenditure is about right. However, what I want to see is better value for money. Closer control is needed, with annual decisions about which items are the most important. Firm but realistic financial targets should be set. Difficult decisions will need to be made which may involve not doing some activities in order to do more important new activities. Before capital projects are approved, there must be proper consideration of the future running costs. The States must not see increased taxes as the easy way out of making difficult decisions.

Daniel Wimberley
Green policies reduce spending. They conserve resources instead of burning them or throwing them away. Investing in a tip-top bus service, insulating every building and not throwing stuff away will generate massive savings. On the other hand, I believe in public services and amenities. It costs money but it benefits us all, and in particular is the best way to tackle poverty and exclusion. I deplore the niggling cut-cut campaign waged by some States Members and candidates. Having no feather-bedding and having proper accountability go without saying, but should not be used as a covert route to a mean-minded agenda of cuts.

Montfort Tadier
I do not favour cuts for the sake of cuts. There will always be a minimum cost to running the basic infrastructure of the Island and state apparatus. However, I think if there are savings to be made, it is by cutting waste in the civil service. The anecdotal evidence is that there are ‘too many chiefs and not enough Indians’, in the civil service. I would start by cutting the budget for the Chief Minsiter’s department – or as it has come to be known, ‘the Ministry of Spin.’

Mark Forskitt
States spending should be properly controlled. Eschew big schemes and reject any project described as ‘iconic’. Concentrate on getting the nuts and bolts of government working properly. Move to GAAP (generally accepted accounting principles) as soon as practical, and ensure that the budget setting and reporting and accounts reporting are aligned so we can see where money has been spent. Until we do that, we do not really have the information to properly manage or control expenditure or set meaningful zero base budgets.

Adrian Walsh
States spending should be massively reduced. The States’ accounting system is a tool to hide the enormous amounts of money that are wasted each year. I would like to see GAAP accounts and GAAS auditing from 2009 from all States departments, and a separate account on inter-departmental spending, which is where I believe the majority of the money is being unwisely used. Replacement of the final salary pension for all new employees would also save many millions in years to come and would allow States employees to take their pension with them should they decide to move outside States employment.

Mike Higgins
The level of States spending should not be reduced because it provides the essential services that we require – health, education, police, fire etc. This is not to say it can’t be spent more wisely. There is waste, but there are also pressing needs. The States’ financial accounting system is in a mess, as revealed by the Controller and Auditor General and in PAC reports. We may find that we can get much more for the money we are already giving the States, obviating the need for further or higher taxes and duties.

Trevor Pitman
In the light of the Auditor General’s report I think it better to focus on cutting obvious waste and ensuring that we achieve the best possible value for taxpayers’ money. One area I believe we could make significant savings in would be with regard to use of over-priced UK ‘consultants’. It seems that government needs a ‘consultant’ for almost everything. Improved, publicly accessible accounting practices may well be another mechanism to promote this. Judging over the first term of ministerial government, we could make a well-merited cut by removing the executive use-only Communications Unit – cost: £300.000+.

Mick Pashley
I would not be looking to reduce States spending as a whole. I would rather the money that is spent be used in a more constructive manner. If residents are paying taxes and social security payment they will, and rightly should, expect to see something for their money. And this should be other than follies that only a few wish to see in the Island.

Senator Mike Vibert
States spending on essential services should be maintained at a level to ensure such services meet Islanders’ needs. Serious consideration should be given to whether the States should continue to offer all the non-essential services it currently does and if these could be provided more economically and efficiently outside States ownership. Efficiencies should always be taken where possible but continued cutting of services is not in the Island’s best interests.

Nick Palmer
GAAP accounting standards are scheduled to be introduced. The sooner, the better. Until we can compare and contrast States expenditure with other jurisdictions on a level playing field, it is very difficult to see the wood for the trees. When GAAP is introduced I think we will be surprised, as it will be much easier to see where value for money truly lies. We must try to resist the egotistical pursuit of projects calling themselves ‘world-class’ and ‘iconic’, as this is a sure way for empire builders to pad their budgets

Senator Paul Routier
Having examined the States budgets and spending in depth over the years, I have become acutely aware that efficiencies and savings have been and are being made. I do not consider that the overall spending should be reduced, but we should have long-term balanced budgets and also should save for the future. The emphasis of spending should be focused on ensuring that we have economic prosperity and that the Island community can share in that prosperity by having first-class public facilities and services.

Senator Philip Ozouf
The key is value. When I was vice-president of Finance and Economics in 2002-5 we reduced spending. The Comptroller and Auditor General has reported that further savings are possible. Some of these are going to be challenging to achieve without affecting essential services. I have proved that savings can be made at Economic Development and believe that a similar strategy can work in other departments. In addition, the States work out of numerous sites, and consolidating these would increase efficiency and reduce cost. I am tough but realistic and fair on spending and I have shown I focus on delivering best value.

Deputy Sarah Ferguson
 Improve financial management and control. Implement the provisions of the Spending Review, which has estimated that at l east £30 million of savings and efficiencies are possible. The Public Accounts Committee is already on the case. I want it to have a louder voice when discussing States spending. An all-Island mandate will give me that voice.