Fine Gael calls for reform of public spending

Fine Gael has claimed that increased public spending on health, justice and transport has not produced a matching improvement…

Fine Gael has claimed that increased public spending on health, justice and transport has not produced a matching improvement in service quality due to the lack of reform.

The party's Dublin spokesman, Senator Brian Hayes, said yesterday that the measurable improvement in service in these areas was very small compared to the "massive increase" in spending.

For the purpose of this analysis, Fine Gael picked what it said was the "core, measurable service" and measured improvement since 1998.

In health, it said that while spending increased by 125 per cent between 1998 and 2003, the number of patients treated in hospitals as inpatients or day cases increased by 25 per cent. The average cost per patient has risen by 81 per cent over this times.

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In justice, the party said, spending increased by 34 per cent between 1998 and 2002 while the number of crimes detected rose by 8 per cent (2002 was used for comparison as there were no detection rates for 2003 available at the time the comparison was done, according to Fine Gael). The budget for transport rose by 139 per cent from 1998 to 2003, while the number of journeys taken on public transport rose by just 8 per cent.

Mr Hayes acknowledged that these calculations involved a "very basic" measure of service, but he said it showed the Government was getting a poor return for its public spending.

"While budgets in these three important areas increased by up to 139 per cent between 1998 and 2003, the most that any service provided increased by was just 25 per cent in the period in question," he said.

"Put another way, five years of budget increases have left us 'paying' €9,249 to treat each patient, €21,699 to solve every crime and supporting every journey by public transport to the tune of just under €1. These figures compare to the equivalent figures in 1998 (1999 for transport) of €5,112 per patient, €17,281 per crime solved and 43 cent for each journey by public transport.

"These figures, even in their basic format, highlight the fact that budgets increased by an average of 114 per cent (from €4,896 million to €10,463 million) in the period examined by this survey.

"Services on the other hand increased by 25 per cent, 8 per cent and 8 per cent respectively in health, justice and transport."

Mr Hayes said there must be reform in the way key public services were delivered. "A lot more needs to be done before the service user can be fully satisfied that the Government is using their money as effectively and efficiently as possible."

In the last five years there had been "a massive increase in tax take" and in public spending by the Government in those important areas. "However, in the absence of a rigorous reform agenda, there is a real risk that this money will not achieve significant improvements in service for the customer. Too often with this Government, one gets the impression that spending plans are merely an extended element of their election strategy.

"Instead of seeking real reform in how services are provided, they take the easier option of handing over ever increasing sums of taxpayer's money, without securing improvements in service."