Half of new jobs are created by the state

StevieJ

I think we need zero based budgeting here, that each years budget should be constructed from zero, it is important to analyse budget underspend as much as overspend.
A salesman for example has a 20k fuel budget but only spends 10k, you would want to know a) Has he been skiving or b) Has he found a wonderful new/cheap/ecological way of interacting with customers. His sales figures may provide part of the analysis.

The_White_Horse

the council needs to be set a budget. if they come in under the budget, they keep the difference to pay bonuses. If they come in over, they get no bonuses. Plus they need to explain to a higher authority why they have gone over budget.

lets see how they change their attitudes to spending when they have an interest in saving money rather than wasting it.

Graham_Devon

lemonjelly wrote: »

I'm quite in agreement with Graham here.

Problem is, whichever agency/authority is given the budget, if it isn't spent, it will be argued by the treasury that there never was the need for it, therefore they'll get a reduction next year.

In example. Council A is given £1million to spend on play areas for children.

Because council A uses resources well, & bargains hard with builders, they only spend £600k of the million.

When next years budget is calculated, treasury say "how did you do?" Council say "we saved £400k!" Treasury say "Aha! what you need per year is actually only £600k! That is your budget for next year! & seeing as you still have £400k, we'll knock that off the £600k we were gonna give you."

which means that council A's budget gets reduced by £800k. Through good management.

Bizarre.

My argument for letting them keep any excess would be the snow this winter, which has cost millions. Excess could be used in these sort of situations, of which there is always going to be situations that crop up.

Instead, they spend up to their budget, wasting in the process simply to get the same budget the next year, and now, it looks like the North West authorities are going to slap a snow levy onto the council tax.

The whole thing is plain stupid. But as with most things, once things are in place nationwide, it's very difficult to change them.

I know it would cost an absolute fortune, but sometimes I feel like it would be a worthwhile excercise to get some key business figures in to eyeball the countries books and how they spend the money, and re-write from scratch. The trouble with governments is whoever is in power always has the mentality of chasing votes....so if it aint broke, don't fix it, regardless of how wasteful it is.

Graham_Devon

StevieJ wrote: »

So you will put off doing an important job because you have spent your budget ?

Did I say, or even suggest that?

Sorry for coughing over you by the way, it's just I seem to have some words being shoved down my throat for effect.

StevieJ

Graham_Devon wrote: »

Did I say, or even suggest that?

Sorry for coughing over you by the way, it's just I seem to have some words being shoved down my throat for effect.

I don't know did you ? (that shruggy smilie, that no longer exists).

'Therefore £100 is what I have to spend.'

treliac

iamana1ias wrote: »

Half of new threads have already been posted

http://forums.moneysavingexpert.com/showthread.html?t=2242137&highlight=state

And these private v. public sector threads bring out all the same old hacks.