2007 PROPERTY PLAN

Press Release of the Comptroller & Auditor General
November 2006
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STRICTLY EMBARGOED UNTIL 0001 ON SATURDAY 4 NOVEMBER 2006

SIGNIFICANT SAVINGS TO BE MADE THROUGH STATES PROPERTY PLAN

Latest report from Comptroller & Auditor General Issued

The latest report issued by the Comptroller & Auditor General (C&AG) Chris Swinson, is on the States 2007 Property Plan.

Commissioned following questions in the States regarding the Plan, through his powers under the Public Finances (Jersey) Law 2005, the C&AG has examined the manner in which the programme of property disposals was prepared and other matters rising to questions being asked in the States.

Following several reviews which highlighted shortcomings in the way the States managed its property assets, and integrated approach to property management was confirmed by the States in June 2005, with the formation of ‘States of Jersey Property Holdings’.  Under the then States of Jersey Strategic Plan, it was designed to assist in achieving the Strategic aim

“…to balance the States of Jersey income and expenditure and improve the delivery of public services.”

With annual targets agreed and incorporated into the States Business Plan, Jersey Property Holdings has three core objectives:

·         To develop a programme of property disposals

·         To create efficiencies within States properties- particularly with regard to office space

·         To re-invigorate under utilised properties.

In his report, Christopher Swinson highlights that, having only been given six months to prepare a programme since its establishment, Jersey Property Holdings has identified an achievable target of ₤20 million by the end of 2008.  However, he points out that the properties in the programme are only properties already identified for some time by the States as ready for disposal.

“Whilst this cautious initial approach is sensible, bearing in mind the lack of States’ track record of property disposals, this is nevertheless just the beginning of what needs to be done.

“Additionally, and of equal importance - one of the core objectives of the Office of the Comptroller & Auditor General is to recommend where efficiencies can be made.  The results of the review demonstrate that the States’ Business Plan assumes that no properties will be freed for disposal as a result of more efficient use of the States’ office space. In that regard, I would therefore urge the Council of Ministers to review the current programme – and pursue the assessment of office spacing and current under-utilisation of properties to maximise further efficiencies and to achieve the savings that were forecast when Jersey Property Holdings was established.”

ENDS

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