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Improve public sector efficiency through the generation of 2% cash releasing efficiency savings per annum

Improve public sector efficiency

Why is this National Indicator important?

The Government is committed to improving the quality of public services and the productivity of the public sector in Scotland by reducing waste and duplication. By operating more efficiently, public bodies can release cash and other resources (such as staff time and buildings) which can be ploughed back into delivering better services. Our target of increasing 2% cash-releasing efficiency savings will deliver £1.6bn of efficiency gains in 2010-11.

What will influence this National Indicator?

Each public body in Scotland can, and should, continually look for ways in which they can work more efficiently and effectively. The Government believes that all public bodies, even those that are already working in an efficient way, can work more efficiently still. Action to improve efficiency includes: focusing staff time on activities which make a positive difference to people's lives; getting better value from purchases through improved public procurement arrangements; and managing buildings and other assets more effectively.

What is the Government's role?

The Scottish Government recognises the duty upon us to operate in an efficient way. The Government has a role in fostering a culture and behaviours within public bodies, which help them to focus on their key purpose of delivering high quality services, which improve lives for people in Scotland and which also value efficient ways of working. We can take steps to reduce the burdens on public bodies. A good example of this is our work on reducing the demands of inspection on public bodies in a way which ensures that the quality of services are maintained or improved. We can also encourage bodies to achieve efficiencies together, for instance by sharing services and working together to achieve better outcomes for people in Scotland.

More fundamentally, the Government can take action to ensure that public services as a whole operate as efficiently as possible. This Government is committed to simplifying public services in Scotland. We are reducing the 199 national public service organisations by at least 25%, stopping activity that no longer contributes to the public purpose and bringing together bodies that fulfil similar purposes.

How are we performing?

A baseline has been established using the 2007/08 DEL budget and therefore cash-saving targets have been set of £534 million in 2008/09, £1,068 million in 2009/10 and £1,603 million in 2010/11.

In 2008-09 efficiency savings of £839m were made against the target of £534m. This represents 3.1% of the 2007-08 DEL baseline compared to the target level of 2%.

Further details can be found in the full Efficiency Outturn Report 08-09 published on the Scottish Government website.

Methodology

This evaluation is based on the following: if the efficiency savings meet or exceed the target figure given above for the relevant year then it suggests that the position is improving, whilst if this target is not met the position is worsening.

For more information see Scotland Performs Technical Note

For information on general methodological approach, please click here.

Who are our partners?

All bodies providing public services

Related Strategic Objectives

Wealthier and Fairer



Improve public sector efficiency

Key

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Performance Improving

level

Performance Maintaining

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Performance Worsening

no info

Performance data currently being collected

Page updated: Wednesday, November 25, 2009