News

Government spending lacks clarity and accountability

The Corporate Services Scrutiny Panel has published a report examining the Council of Ministers' proposed Government Plan 2022-25. The Panel is unsatisfied with most programmes within its remit and the rationale for next year's funding bids, having assigned seven IT programmes a red 'RAG' rating due to concerns about budget increases and alterations. The report features 28 findings, in addition to its four amendments, which include:

• The Government Plan does not adequately clarify the purpose of policy and rationalise past and future spending
• The cost of living and household survey, a key indicator of inequality, has not been published since 2015
• There is no clear justification to support Commercially Let Property Tax Relief
• No plan has been proposed to address the future rise in taxes

The Panel has recommended that:

• The Council of Ministers deliver the updated results of the 'cost of living' survey to the Assembly by 31 March 2022
• The Minister for Treasury and Resources proposes the removal of Commercially Let Property Tax Relief by the end of 2022 and addresses the rise in taxes in a timely manner
• Before the end of this political term, the Chief Minister must deliver outcome-based accountability for digital and IT investment across Government

Chair of the Corporate Services Scrutiny Panel, Senator Kristina Moore, said: "After thorough examination of the Government Plan, we have identified several key areas of concern, particularly in relation to budget accountability, transparency in the transfer of funds, and the increased costs and delays of a number of capital projects. Overall, the Government Plan lacks clarity about the rationale for policy making and how public money is being efficiently used and measured. We hope that the Council of Ministers consider our recommendations and amendments when proposing the Government Plan to the States Assembly next week."