GOVERNMENT SPENDING REVIEW - 12TH JUL 2004

The principle feature of the spending review is the start of the proper implementation of Information and Computer Technology to many public services. Traditional delivery of these services over recent years has been achieved at considerable administrative cost, with an increase in associated jobs in the civil service, some of which have actually been to do with preparing for computerised storage, access and delivery. Teething problems and even downright failure in several major government IT programmes has made the public sceptical that such systems can ever work and allow better delivery with fewer administrators. However, we should not forget that before air travel became the safe and cheap form of travel it is today, it was expensive and very dangerous. IT disasters are just part of the process of trial and error by which all things proceed. There have been successes, there will be more, and disasters have been learned from. To a very real extent, failures have not been money down the drain.

Although many existing jobs will go in the departments affected, there is no reason why this should affect overall employment. The money saved is to be spent on the front-line services that are needed. This will not mean the instant retraining of tens of thousands. There is natural wastage and turnover, and reduction of recruitment to the old positions to take into account.

As the process moves forward, the delivery of services should, in theory, improve. But if the savings are NOT made in the reduction of the classic admin 'backroom' positions, then the new front line positions that are needed will NOT be filled. There will then be no improvement in delivery. The government has taxed and spent, now is the time to get the benefits.

The Unions kick up a protest because that is seen by some to be their job: to make sure none of their members who have given long years of service are thrown precipitately out of work and suffer as a consequence. But many of them will be glad of a change, many will be retiring anyway and (as pointed out earlier) recruitment to the old positions will cease. It should be perfectly possible to handle all this without recourse to strike action which can only hurt those in whose name it is done. Unions can be important, well-run organisations that look after their members and their industry in the long term, but in the UK this has only too rarely been the case.