[UNCLASSIFIED]

Thank you for your request under the Official Information Act 1982, which
was received on 14 May 2024. A response will be provided in accordance
with the Act.

 

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[UNCLASSIFIED]

Dear Mr Roe,

Please find attached our response to your request for information under
the Official Information Act 1982.

Kind regards
George

Ministerial Advisor | Te Tai Ôhanga – The Treasury
Email: [email address]
Visit us online at [1]https://treasury.govt.nz/ and follow us on Twitter,
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-----Original Message-----
From: Mike <[FOI #26768 email]>
Sent: Tuesday, May 14, 2024 8:37 AM
To: Ministerial Services Inbox [TSY]
<[The Treasury request email]>
Subject: Official Information request - Inclusion of contractor and
consultant spend in modeling of government savings on staff cost

Dear Treasury,

Under the Official Information Act, please provide the following
information:

In the Minister of Finance's 2024 pre-Budget speech, she indicated that
proposed tax cuts would not add to net core crown debt as a result of cost
savings. Can you please advise, in relation to the modeling and
calculations used to produce the estimates of cost savings noted in her
speech:

1) Was the reduction in public sector permanent staff headcount included
in the estimated cost savings? If so, what was the total the estimated
savings from this reduction? If not, why not?

2) Was the cost of redundancy payments to public sector staff factored
into the modeling of cost savings? If so, what is the estimated cost? If
not, why not?

3) Was any anticipated change in the total gross cost of contractors and
consultants to the public sector factored into the modeling of cost
savings? If so, what is the estimated change? If not, why not?

4) What time horizons were modelled for, and were changes to public sector
headcount and contractor and consultant spend factored in at different
time horizons? If so, what is the estimated amount for each, at each time
horizon? If not, why not?

5) Please provide a copy of any briefings, reports, and documents provided
to the Minister of Finance's office that specifically reference:
       - Estimated cost-saving amounts and sources;
       - Uncertainty in estimates and trade-offs of cost-savings

Yours faithfully,

Mr Roe

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