Public Finances
Public sector financing has become an increasingly important issue in the delivery of public services. With growing demands to provide better, innovative services with greater choice, governments have attempted to find new avenues to finance public sector activity and servicing. This section looks at some of the key papers that present new ideas in financing the public sector.
(Please note: links on this page will open the page in a new browser window)
Time for Action: Reforming public services and balancing the budget (PDF) Confederation of British Industry (CBI), 2010 A government deficit reduction plan for the UK based around comprehensive public sector reform. The report focuses in particular on freezing labour costs, reducing waste through collaboration and competition and re-engineering public services to improve productivity. UK
A Review of Collaborative Procurement across the Public Sector (Web Page) National Audit Office (NAO)/Audit Commission, 2010 This report argues that the UK public sector is not maximising its significant purchasing power. Public bodies must work together much more effectively to maximise savings from procurement activities. This link connects to a web page featuring the full report, price analysis, key results and case studies. UK
Total Place: A Whole Area Approach to Public Services (PDF) HM Treasury/Department of Communities and Local Government, 2010 The final report of a 13 regional UK pilot studies to test whether efficiency savings can be made by joining up public service funding in the areas where it is spent. UK
The Cost of Public Service Pensions (PDF) National Audit Office (NAO), 2010 A new report analysing the cost of the UK's public sector pensions programme. UK
Road To Recovery (PDF) Bosanquet, Professor Nick; Cawston, Thomas; Haldenby, Andrew; Nolan, Patrick; Parsons, Lucy and Truss, Elizabeth, 2009 Reform This report argues that UK infrastructure is in need of radical overhaul while acknowledging that fiscal tightness is an inevitable restriction over the next decade. It lays out a framework for future infrastructure projects along these lines, including a presumption for private rather than public finance; charges favoured over taxes; and economic policy prioritised over social or industrial policy. UK
Power to Build (PDF) Reform Scotland, 2009 This paper puts forward some a new idea for infrastructure funding as an alternative to PFI and the publicly funded Scottish Futures Trust. You could include this as part of an infrastructure section with NLGN 'Capital Contingencies' and NAO report on PFI construction. UK
Capital Contingencies: Local capital finance in an era of high public debt (PDF) Symons, Tom and Leslie, Chris, 2009 New Local Government Network This report outlines how local councils could raise infrastructure investment if, amidst a sever public sector downturn, UK central government reduces support for typical capital expenditure. ISBN: 978 1 903 447 84 0 UK
Doing More With Less: A credible strategy for restoring the public finances (PDF) CBI Public Services Strategy Board, 2009 Confederation of British Industry (CBI) This report proposes radical reform of public service operations to save over £100bn in public expenditure over the next five years without crude cuts to service provision. Recommendations include use of technology and inefficiency, eliminating waste and addressing high pensions. UK
Britain's Fiscal Squeeze: the choices ahead (PDF) Robert Chote, Rowena Crawford, Carl Emmerson and Gemma Tetlow , 2009 Institute for Fiscal Studies
This briefing paper argues that spending on public services as a proportion of national income may have to revert to pre-1997 levels with tax rises or welfare cuts.
UK
Tackling the Fiscal Crisis: A recovery plan for the UK (Web Page) Vince Cable , 2009 Reform
This policy proposal puts forward nine specific areas for potential savings as the UK government addresses its deficit in the economic downturn. These include aggressive reductions in public sector pay, a radical review of public sector pensions, scrapping several major IT projects, reducing centralisation of the NHS and education, overhauling defence procurement, and considering potential sale of public sector assets including the Highways Agency.
How to Save £50billion: Reducing spending for sustainable public finances (PDF) Corin Taylor, Ben Farrugia, John O'Connell, Mike Denham and Matthew Sinclair, 2009 Institute of Directors & the Taxpayers Alliance This report sets out a case for drastic reductions in UK government spending in light of prevailing economic conditions. The document come in two parts: first the authors lay out the justification for spending and deficit reduction; secondly they issue a detailed list of where specific cuts might be made. UK
A Question of Balance: Reforming pensions practice in public services contracting (PDF) CBI Public Services Strategy Board, 2009 Confederation of British Industry (CBI) Public sector pensions policy is one of the main obstacles to levelling the public services playing field and attracting a diversity of independent providers. This report uses case studies to illustrate the problems independent providers face and sets out a series of solutions. UK
Exploding Public Sector Pensions Myths: A briefing for trade union members (PDF) Trades Union Congress (TUC), 2009 This briefing is a response to public, media and political criticism of public sector pension levels in the UK. (Some such, including 'A Question of Balance' by the CBI, are also available in this library). It argues that private sector pension levels ought to rise to end so-called "pensions apartheid" rather than public sector levels falling. UK
'Public Service Reform Needed Now More Than Ever' (PDF) Richard Lambert, 2009 Confederation of British Industry (CBI) This speech, delivered by the CBI Director-General to the third CBI Public Services Summit on 16th June 2009, calls for greater urgency in UK public service reform with wider use of competition among suppliers to drive up quality and control costs. UK
Managing Financial Resources to Deliver Better Public Services (PDF) House of Commons Committee of Public Accounts, 2008 The Stationery Office A report which assesses the improvement and effectiveness of financial awareness and financial management skills across government. HC 519 UK
Managing Public Money (PDF) Her Majesty's Treasury, 2007 The Stationery Office This document looks at the main principles in dealing with resources used by public sector organisations in the UK. It discusses most aspects concerned with the use of public money including the powers to use public money, whom they are available to and procedures for using public money by specific governmental organisations and sectors in governance and partnerships. ISBN 978 0 11 560 126 2 UK
Charging Ahead? Spreading the costs of modern public services (PDF) The Social Market Foundation, 2006 This collection of essays and case studies seeks to inform debate on the use of co-payments anduser charges in the UK public Services. UK
Financing and Managing Public Services: An Assessment (PDF) Grout, Paul. A and Stevens, Margaret, 2003 Centre for Market and Public Organisation This paper looks at the features defining the effectiveness of public service delivery and financing. The characteristics examined include the role of the private sector with privatisation and regulation. The paper concludes that public services have specific characteristics, and so one cannot assume that a certain sector is better than another in financing and delivering public services. Furthermore, it asserts that the public and private sector both have important roles to play in public services. UK
Modern Public Services for Britain: Investing in Reform The Stationery Office, 1998 This White Paper sets out the spending plans for each department for the next three years. The Government's aim in the paper is to reallocate money to priority areas to limit wasteful spending. As well as stating the spending plans for each department, the paper also details the achievement that is expected from the plans. Also incorporated are ways to ensure universal access to high quality services and increases in efficiency. Cm 4011 UK
The Financing and Accountability of Next Steps Agencies Her Majesty's Treasury, 1989 The Stationery Office This document outlines how the Next Steps Executive Agencies will be financed. It details the procedure for financing agencies and provides information on how the agencies will remain accountable to Parliament. Cm 914 UK
The Financial Management Initiative The National Audit Office (NAO), 1986 The Stationery Office This report reviews the progress of the Finance Management Initiative (FMI) in twelve government departments upon instruction of the House of Commons. Examining the progress of the departments, the report covers aspects such as management plans, the monitoring of achievement and the effectiveness of the FMI. The report concludes that the FMI has not been in place for long enough to take full effect and there also remain some difficulties in measuring output. HC 588 UK
Progress in Financial Management in Government Departments The Stationery Office, 1984 This White Paper looks at the progress made by government departments in improving financial management. It reviews the initiative to examine each department observing whether they have met the objectives set such as improving value for money and strengthening their management systems. The paper states that a good level of progress has been made so far, but greater concentration should be applied to creating linkage between public expenditure planning and control. ISBN 0 10 192970 6 UK
Financial Management in Government Departments
The Stationery Office, 1983
This White Paper outlines plans concerning the financial management of government departments. The ideas involved include the introduction of management techniques into government departments, a more efficient use of resources, better budget control and the creation of greater accountability with the allocation of public funds through performance measurement. This paper looks individually at each government department providing instructions for more effective financial management.
Efficiency and Effectiveness in the Civil Service: Government Observations on HC 236 The Treasury and Civil Service Committee, 1982 The Stationery Office This report provides the Government's response to the recommendations of the Treasury & Civil Service Committee's third report on the Efficiency & Effectiveness in the Civil Service. The report also outlines proposals for extending financial management in government departments. These changes include introducing managerial organisation with good information systems and management accounting as a part of the performance measurement of these departments. ISBN 0 10 186160 5 UK

