Government Saves $915 Million on Consultants, Boosts Frontline Roles

In the past two years, the New Zealand government has reduced spending on contractors and consultants by $915 million, exceeding their savings target of $400 million. This reduction has been accompanied by a decrease in the size of the public service by nearly 5%, with a focus on increasing frontline roles while cutting back-office positions. The emphasis has shifted towards prioritizing savings in back-office functions to protect and enhance frontline services, resulting in 1533 redundancies and $80.4 million in redundancy payments in the past year.