Government pledges to cut spending on consultants as public-sector ‘resizing’ begins

Chief Minister Lyndon Farnham in the Royal Square. Picture: James Jeune (38351633)

THE government has begun a consultation with staff on public-sector “resizing” and will cut expenditure on consultants, Chief Minister Lyndon Farnham told business leaders yesterday.

“Shaping the future of the central functions of government” – involving reviewing the operation of the Cabinet Office created by his predecessor Deputy Kristina Moore – had already begun, Deputy Farnham said.

And he added that they were on schedule to deliver savings this year through vacancy management, reducing the use of consultants and decreasing non-staff spending.

Speaking at this month’s Chamber of Commerce lunch, the Chief Minister described the task facing the government he formed at the beginning of the year as “getting back to basics”.

“Measures have been taken to ensure that the Council of Ministers have full transparency of spending under consultancy headings and where and how monies are currently being spent. Don’t get me wrong, specialist consultancy can be essential as it is impossible to carry all of the skills and expertise we need on the payroll but we have become a little too reliant on it,” he said.

Deputy Farnham also pledged to implement the decision to raise the minimum wage to around two-thirds of average median earnings by the end of our term in office in 2026.

“I know this will not be an easy transition for everyone, but it is a change which will give help to those in our community who are struggling the most,” he said, promising up to £20m in support across 2025 and 2026 and beyond if necessary.

“Rather than a direct subsidy, this will be in the form of support schemes to promote productivity and skills development, with targeted support across sectors, including for retail, agriculture, and the visitor economy,” he said.

Deputy Farnham said Jersey’s biggest long-term challenges related to the forecast reduction in working age population and potential changes to Jersey’s workforce through the acceleration of advanced technology and AI.

“We are not going to allow population changes to be unmanaged or unplanned. We will need more workers. For example, potentially as many as 4,000 additional care workers by the 2040s. This will need careful planning to ensure we provide a balanced workforce for the whole economy,” he said, promising a “a roadmap” in the forthcoming annual population report.

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