Labour government spending on quangos soars

Labour ministers have authorised a huge increase in spending on quangos despite having promised to reduce their cost.

New figures released by the Cabinet Office show that the overall cost of the so-called “arm’s length bodies” fell only because of the transferring of one of the biggest ones into a Whitehall department.

The winding down of the Strategic Rail Authority, whose work is now carried out by the Department for Transport, resulted in a saving of £2.5 billion. Spending on the remaining quangos rose by £1.7 billion, leaving a net saving of £830m.

Gordon Brown promised a “bonfire of the quangos” before Labour came to power, claiming that they were “often government in secret, free from full public scrutiny”. But 13 out of 16 Whitehall departments failed to reduce their spending on quangos and seven departments created new ones, with more in the pipeline this year.

Francis Maude, shadow minister for the Cabinet Office, said: “People are crying out for more accountability and transparency in government. These figures confirm that Labour’s unelected, unaccountable quango state is not only alive and well but increasing at an alarming rate.

“Cutting quangos is yet another of Gordon Brown’s broken promises.”

Quango chairmen and consultants, many closely connected to Labour, often earn huge sums for part-time roles.

The biggest rise in staff was in quangos linked to the Home Office, which expanded by 1,671 employees last year, followed by Department of Health quangos, which added almost 600 workers.


Health Direct asks how many former Ministers, MP’s, former MP’s and people with links to Labour work in these quangos? No wonder people are sick and tired of unelected people who mismanage a portfolio waste tax payers money and are not accountable.

This is just another of Labours “third way” policies that is a sham.

Dr Gerard Bulger has a really comprehensive list of health quangos at:

It is shocking in it’s size and cost. It lists the organisations, ALBs, Quangos, directly sponsored organisations and free floating departmental organisations that now dominate the NHS.

They come and go and morph. The NHS Modernisation Agency was so 2004; it died having spawned other organisations. We now have NHS Improvement Agency.

An investigative team, such as Insight should look at the cost, who knows who, and their associations with consultancy companies.

All these organisations set about producing acres on management speak verbiage to such little effect. When it is obvious they are achieving nothing everyone moves onto the next political fad organisation.

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