The government’s flagship efficiency programme is set to fall significantly short of its £10 million annual savings target in its first full year, the Public Accounts Committee has heard.
Chief Minister Alf Cannan confirmed the shortfall, saying: “We started this really effectively in April 2025.”
He reported that only around £2.5 million in realised savings is expected by the end of March 2026.
Chief Executive Mark Lewin provided further detail, explaining the total value of ideas identified.
“By the end of March from what we currently see, that will be up to about two and a half million pounds of physical stuff that’s been realised,” he said.
He added that a separate £14.6 million in potential savings had been identified, but only £6 million of that had been formally agreed with departments and Treasury.
The £10 million target was originally set as a “starting point,” roughly equivalent to 2% of non-health government pay and non-pay spending.
When asked by the committee chair Juan Watterson SHK if the target would be met, Mr Cannan’s reply was blunt: “No.” The government expects the programme to gain traction in future years as more projects are fully implemented.