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Saturday, March 29, 2025

David Farrar: $800 million less on consultants


Judith Collins announced:

The Government’s move to cut public sector spending on consultants and contractors is on track to save $800 million over two years – double the initial target, Public Service Minister Judith Collins says.

“We set a two-year target to cut $400 million in spending on consultants and contractors across the public sector by 2024/25,” Ms Collins says.

“The latest update anticipates savings will come in at more than $800 million by the end of June.

“That’s $800 million that can be spent on delivering core services to taxpayers, in areas such as healthcare, law enforcement and education.

This is great news. This is a huge amount of savings. It shows how out of control it got under Labour.

In 2022, spending on contractors and consultants was 14.5% of workforce expenditure. It has now dropped to 4.8%. Again, a huge reduction.

David Farrar runs Curia Market Research, a specialist opinion polling and research agency, and the popular Kiwiblog where this article was sourced. He previously worked in the Parliament for eight years, serving two National Party Prime Ministers and three Opposition Leaders.

3 comments:

Anonymous said...

Thanks Judith - that's really good to hear and much appreciated. Now cut the massive bloat out of the public service. Nearly 18mths since the last election and we’re still paying for 16,000 more public servants than we had and not seeing anything for it. Meantime politicians of various stripes talk of wealth taxes, capital gains taxes and asset sales. Tighten your belts first. There’s way too much fat in the public service payroll.

Anonymous said...

And way too much frittered away on spurious Māori Treaty Settlements!

Anonymous said...

Never mind the Treaty settlements, it's Maori 'welfare' that's scoffing many times that each and every year.

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