Public sector reform has been bottled by the Stormont Executive
Words, of course, are cheap. It’s actions that make such aspirations become reality. And actions – especially when it comes to economic policy – require difficult decisions.
At the core of economic renewal for Northern Ireland must be a slimmer, fitter public sector – not least because this frees up resources for the investment in skills and reduction in corporation tax that nearly all politicians know are vital for growing the private sector.
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Hide AdRecently, we have received unfortunate proof that the Executive has failed in one important policy that would have made a contribution to this vision.
When the Voluntary Exit Scheme for the public sector was announced, there was every expectation that the £700million made available to the Executive by Westminster would be fully used to promote serious, meaningful reform of our public sector. Voluntary exit was meant to lead to a radically reduced wages bill, contributing to leaner, fitter public services.
Instead, we now have discovered that a significant proportion of the £700million (perhaps as much as 1/3rd) is going to be unused, that the savings produced are going to be much lower than expected, and that the impetus for real public sector reform is going to be lost, with only half of the expected number of public sector employees entering the Voluntary Exit Scheme.
Savings lost, public services neither as lean nor fit as they should be, and money that Westminster had made available to secure reform left unused. Add to this the failure to enact Transforming Your Care agenda in the health service, and the at best tame, unambitious tinkering with the education service, and it is difficult not to reach the conclusion that the Executive has bottled it when it comes to reforming the public sector.
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Hide AdIf we want world class public services and a growing private sector, the next Assembly and Executive must show much greater courage and vision in pursuing public sector reform.
With a First Minister who has served as both Economy and Finance Minister, there still is a chance. It is, however, going to take more than words.
We need an Executive with the political courage and economic common-sense to radically reform the public sector – and an Opposition determined to push the Executive at every point to deliver on this.
John McCallister is an independent unionist for South Down