The interests of such firms are not always aligned with the public interest. This makes them a poor substitute for Treasury officials
of the Australian public service found the former Coalition government spent $20.8bn on consultants and external contractors in its final year.– in which a now-deregistered executive obtained confidential government information and shared it with colleagues to help clients make millions of dollars – raise serious questions, not least about the overuse of these firms and the need for greater scrutiny of their conduct when, or if, they are handed lucrative government contracts.
The government’s increased use of consultancy firms is concerning on many levels. Ask any of the talented public servants in Canberra and they’ll say it diminishes the important role of the public sector. Even when done responsibly, it can result in bad government decision-making.Put simply, the interests of consulting firms are not always aligned with the public interest. This makes consultants a poor substitute for government officials.
To avoid issues like this, Australia needs to strengthen the rules around the use of consultants. Consultancy firms employed by government agencies must have the highest standards of integrity and transparency. Groups such as the Uniting church of Australia and The Australia Institute are also right in calling for greater transparency around contracts and conflicts of interest.
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