This item was published during the term of a previous administration that ended in April 2007
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£1.2 billion in efficiency savings identified
08/09/2005
The Executive has now identified more than £1.2 billion of efficiency savings which can be fully delivered by 2007-08, it was revealed today.
Minister for Finance and Public Service Reform Tom McCabe said:
"We are continuing to make good progress towards our efficiency targets and have now identified more than the £900 million of cash savings we aspired to. We have also identified £337 million of time-releasing savings to take the total to more than £1.2 billion of recurring annual efficiency savings by 2007-08.
"We will only publish targets and figures when we are convinced they are robust and, crucially, when we are convinced we can deliver. We have worked closely with Audit Scotland and they are content with the detailed plans we have published.
"We have now exceeded our aspiration for cash savings and will continue to work to identify more savings over coming months. We aim to identify and deliver £600 million of time-releasing savings by 2007-08, but we will only announce additional savings once we are satisfied that they are supported by robust technical notes, and are produced in liaison with Audit Scotland.
"Our approach to Efficient Government is not a big-bang approach, nor should it be. It should be about continual improvement and doing what is right for Scotland and Scottish circumstances.
"At the heart of Efficient Government is spending public money more effectively and efficiently. Every pound of savings made will be ploughed back into frontline services to ensure the people of Scotland enjoy more efficient public services, freeing up precious resources for wider strategic priorities. None of the savings Efficient Government will deliver will be used for the business rates reduction."
Mr McCabe added:
"I welcome the progress Health has made in identifying savings and in the real strides being made to put in place measures to allow the savings to be monitored and tracked.
"COSLA also deserve praise for agreeing a robust system for planning, monitoring and reporting local government efficiency savings. Planning actively and systematically for efficiency gains and telling the story in the plans will allow local government to take credit for improvements, which does not always happen today."
Health Minister Andy Kerr said:
"It is our aim to ensure that health services are delivered in the most efficient way possible. To date the NHS in Scotland has identified efficiency savings through a number of projects ranging from the reduction of sickness absence to the introduction of digital x-rays. I am determined to see through this ambitious challenge so that we cut out waste and maximise efficiency. All savings identified will be reinvested in front line services for the benefit of the Scottish public."
The original target for Efficient Government was £500 million of savings by 2007-08, announced by then Minister for Finance Andy Kerr on June 24 2004.
When the Executive formally launched its Efficient Government plans on November 29 last year, the target had been revised to deliver at least £745 million of annually recurring cash-releasing efficiency savings and at least £300 million of recurring time-releasing efficiency savings by 2007-08.
Technical Notes for £825 million of cash-releasing efficiency savings were released on March 31.
The revised edition, published today, includes technical notes for an identified £337 million of time-releasing efficiencies and for further cash savings, taking the total of identified cash savings to £912 million.