Every government department is expected to make savings as
chief executives go through line-by-line reviews, Prime
Minister John Key said today.
The Government ordered the reviews soon after winning the
election, looking to save money as its revenue drops because
of the recession.
He said today it was too early for results and the cabinet
committee in charge of the cost-cutting was still sitting.
"You'll get a sense by portfolio, over time, where savings
have been achieved," he said at his post-cabinet press
conference.
"We would expect there will be savings in every department
but there will be new initiatives in line with the new
government's priorities."
Mr Key said all departments had been given significant
increases over the last nine years.
"I would be very surprised if, after that, there isn't some
fat in the system."
Mr Key was asked about the Corrections Department, which has
said it is short of parole officers and needs more funds to
meet its commitments.
"That's for the chief executive to explore all the options,"
he replied.
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