Reducing error and fraud in the public sector, could offer the government a way to reduce deficits without the need to cut public sector funding.
Since the financial crisis the government has been forced to look at cutting public sector costs, while at the same time there has been an increase in demand for public services.
Billions could be saved each year by reducing fraud and error.
Francis Maude in the Cabinet Offices’ efficiency update, remarked that a large proportion of £20 billion that the government needs to save each year, could come from tackling public sector error, fraud and debt.
If the billions that are being wasted annually on error and fraud could be cut, deficits would be reduced and local government budgets would not be under such intense pressure. A reduction in waste could then allow local authorities to allocate their budget to providing and improving essential local services.
Public sector fraud is often seen as a harmless crime, but it affects us all.
Every error or instance of fraud reduces available funds for essential services. A reduction in available public sector funding means a reduction in a broad range of public services. This makes the need to implement prevention and detection measures to stem these losses paramount.
By looking to the private sector the government could see what innovative strategies it could implement to reduce fraud, such as the routine sharing of data across government departments. Through accurate data sharing, fraud and error could potentially be significantly reduced.
With Fujitsu’s vast experience of developing, implementing and managing error and fraud reduction services, we estimate that around £10 billion could be saved across government departments with a four year period.
Improved fraud and error detection means billions more could be spent on improving public sector services, which would be of benefit to the country as a whole.
For more information on Fujitsu’s public sector error and fraud detection go to http://www.fujitsu.com/uk/solutions/industries/government/fraud-and-error/.
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