Independent Budget Review Report

The Independent Budget Review reported back on 29^th July 2010, outlining a series of options for delivering public services within a significantly constrained public expenditure environment.

The report makes uncomfortable reading, and warns that it may take us 15 years to return to 2009 levels of spending, and the financial difficulties we are currently facing are urgent and cannot be addressed by efficiencies alone. The level of employment in the public sector is expected to fall and there are no quick fixes. However it acknowledges that the radical approach that is needed offers scope for increased voluntary sector involvement and collaboration in the delivery of public services.

Recommendations

Recommendations are made on a range of areas from pay restraints to pensions to redesign of services, and the report includes the following:

• That politicians and civil society need to engage in a debate about transformation of the organisation and delivery of public services in Scotland.

• A protected areas approach, ring-fencing budgets (eg NHS) against cuts is not recommended, but if this is adopted then we need a broader interpretation of health spending, which includes non-NHS services that support the health and well-being of the community.

• Under these circumstances, we need to have the debate about the universality principle (eg regarding concessionary travel, abolition of prescription charges, free personal care, free eye examinations…).

• Considering efficiencies will be increasingly challenging, and may, in some instances, require radical redesign in the way that services are provided.

• While wholesale restructuring to reduce the number of public service bodies would be counter-productive, we need progressive changes and joint actions/ shared services.

• The panel envisaged mainstream roles for the private and voluntary/ third sectors as collaborative partners in the delivery of public services.

Make sure your views are heard

SCVO has released its initial response to the report. Martin Sime comments:

"This review sets out a clear vision for radical reform of our public services.  We strongly welcome the recommendation that the voluntary sector must play a much bigger role in the future.  Such a move would allow us to do more of what we do best.  From caring for older people in their own home to inspiring and training young people, the voluntary sector excels at preventing bigger problems arising – something that’s needed now more than ever.

If politicians genuinely want to deliver for the people of Scotland, they must start doing things differently."

The Scottish Government has promised wide public debate following the publication of the Independent Budget Review report and before it publishes its budget plans in November.

SCVO strongly encourages its members to respond to this critical debate, which will include public meetings, online tools, and Committee evidence sessions. See Have your say on public spending in Scotland

SCVO is also keen to hear your views to inform its own detailed response highlighting the interests of the voluntary sector in this debate. Please send your views to ruchir.shah@scvo.org.uk 

Background

The Independent Budget Review was commissioned in February 2010 to conduct a review of public expenditure in Scotland.

The purpose of the Review was to inform public and Parliamentary debate in advance of the next UK Comprehensive Spending Review (which will cover the four years 2011-15) about the challenges and choices which will exist in a significantly constrained public spending environment.

The Review panel was Crawford Beveridge CBE (Chair), Sir Neil McIntosh and Robert Wilson.