In questions to the Cabinet Office, I asked the Minister, Francis Maude, about the huge waste of public money under the last Labour Government and his plans for further savings.
Charlie: What estimate he has made of the savings arising from measures to increase departmental efficiency; and if he will make a statement.
Francis Maude: On 10 June, my right hon. Friend the Chancellor and I announced savings through efficiency reform of central Government of £14.3 billion for 2013-14, against a 2009-10 baseline. Those savings are both recurring and non-recurring items, and include £5.4 billion from procurement and commercial savings, £3.3 billion in project savings and £4.7 billion from work force reform and pension savings.
Charlie: Does the size of the savings being made not highlight the truly galactic waste of money by the previousLabour Government? Will my right hon. Friend set out his vision for further savings in the future?
Francis Maude: No good organisation gives up on pursuing efficiency savings year after year. The Office for National Statistics has shown that in the public sector productivity remained static during the Labour years while it rose by nearly 30% in the private services sector. If productivity had risen by the same amount in the public sector, the budget deficit that the coalition Government inherited could have been many, many tens of billions of pounds lower.
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