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‘$7m rise in consultancy budget does not mean consultants will be hired’

MINISTER of Economic Affairs and leader of government business in the Senate Michael Halkitis
speaks during a media briefing at the Office of The Prime Minister on Friday.
Photo: Dante Carrer

MINISTER of Economic Affairs and leader of government business in the Senate Michael Halkitis speaks during a media briefing at the Office of The Prime Minister on Friday. Photo: Dante Carrer

By EARYEL BOWLEG

Tribune Staff Reporter

ebowleg@tribunemedia.net

EVEN though the budget for consultancy services will increase in the Ministry of Finance and the Ministry of Tourism in the next fiscal year, Economic Affairs Minister Michael Halkitis said this does not mean consultants will be hired.

Consultancy services in the Ministry of Finance will increase by $7m, from $20,175,000 to $27,175,000.

The budget for this service in the Ministry of Tourism will increase by more than $4m.

No other ministry or department will see a substantial budget increase for consultancy services.

Critics often highlight consultancy services as a vague line item in the budget with the potential for waste or political patronage.

During a press briefing yesterday, Mr Halkitis said: “Let me just make a clarification on that because every time you see this consultancy line, people think it’s consultants, think you’re hiring consultants, but that consultancy, when you see consultancy services, one of the biggest in the budget is the consultancy service for the landfill.”

“Also included in that is IT consultancy in the AG’s office. It has to do with when the AG, dealing with international matters, they might have to engage international council lawyers abroad to deal with certain matters. For example, US attorneys, UK attorneys, and so across the budget, you would see that, and a lot of that has to do with IT.

“A lot of it has to do with AG and then just various sums, you know, anytime you engage the private sector, for the most part that goes down as consultants. It does not mean that the government is hiring consultants, but sometimes it’s framed as the government hired consultants.”

In fact, the Office of the Attorney General and the Ministry of Legal Affairs have a line item for consultancy services that is separate from what is under the Ministry of Finance; that budget will increase from $2.25m to $3m in the upcoming fiscal year.  

Comments

ThisIsOurs 5 months, 3 weeks ago

This doesnt make sense. A consultant is a consultant, someone not a member of staff that you're paying for a service. If you hire an IT vendor that's hiring a "consultant". If you hire a foreign lawyer who has expertise in an area we dont that's a "consultant". Hiring someone to manage the landfill using an expertise we dont have or to offer advice os a consultant.

You could class them as a contractor or a vendor the category is up to you, at the end of the day it all means the same, the govt has found more people to give money to for "something"

"every time you see this consultancy line, people think it’s consultants, think you’re hiring consultants"

The people are correct

pt_90 5 months, 3 weeks ago

when you get into politics you have to park your brain for 5 years.

its like the Minister thinks a consultant is a guy who walks around with a sign saying "Hi, I'm a a Consultant"

moncurcool 5 months, 3 weeks ago

These dudes really believe we are dumb and stupid. Who increases and budget number if they do not plan to expense it?

bahamianson 5 months, 3 weeks ago

Which means consultants Will be hired.

hrysippus 5 months, 2 weeks ago

Can anyone point out the difference between a crony and and a consultant? Does one of them cost more than the other, and then get given a knighthood? Just curious......

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