$10 billion for contractors in procurement stats
Australian Public Service procurement spending soared by $10 billion in the past financial year, new figures show.
Finance Department stats have this week revealed Commonwealth agencies spent around $60 billion of taxpayers' cash in 2014-2015.
Nearly $10 billion of that went to external “management and business professionals” and on “administrative services” after the sacking of thousands of full-time public servants.
$13 billion was spent on “politics and civic affairs”, while $39 billion was spent on external services, just under two-times the $20 billion spent on goods.
In total, the figures from contracts notified on the AusTender website show APS procurement spending is up by nearly 100 per cent since 2010-2011, erupting from $32.6 billion to more than $59 billion in 2014-2015.
In the same period, the number of public servants has been cut from 166,000 to 152,000, with more expected.
The now collapse Defence Materiel Organisation was the biggest spender in 2014-2015, pouring $17 billion into contracts while Defence itself spent about $13 billion.
The Department of Employment spent $8.5 billion on goods and services in 2014-2015, Social Services nearly $5 billion, and Immigration and Border Protection just over $4 billion.
The good news from the big numbers is for Australia's small and medium-sized businesses, which were able to secure more than 41,000 contracts, worth nearly $17 billion.
Just $7.7 billion of the procurement bill went to overseas operations.
While SMEs had a win, larger firms still control the more lucrative deals, taking 72 per cent of the total spend - over $42 billion.