Federal Council wants to save 4 billion francs Study shows: potential savings of 13.1 billion francs for the cantons
A study has identified a savings potential of CHF 13.1 billion for the cantons. The Federal Council's recently presented savings package only includes around CHF 4 billion.
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- A study has identified potential savings of CHF 13.1 billion in the cantons.
- Theoretically, over five billion francs could be saved annually in the education sector alone, as the analysis by the University of Lausanne and PWC showed.
- On September 20, the Federal Council presented its plans on how it intends to avoid the billions of francs in deficits that would arise without reforms.
- The group of experts appointed by the Federal Council and headed by former Federal Finance Administrator Serge Gaillard had presented its proposals for savings in the federal budget two weeks earlier.
According to an analysis by the University of Lausanne and PWC, more than five billion Swiss francs could theoretically be saved annually in the education sector alone. In order to save this amount in the education sector, the cantons would have to follow the example of the canton of Graubünden, according to a press release issued by PWC Switzerland on Sunday evening. The consultancy firm compiled the "Efficiency Monitoring" in collaboration with the Institute of Public Administration at the University of Lausanne. The "NZZ am Sonntag" newspaper first reported on the results of the study, which will be published next week.
According to the study, an optimization of CHF 2.8 billion would be possible in the social sector. The cantons and municipalities would have the second largest budget for this area after education. The cantons of Ticino, Fribourg, Valais, Glarus and Jura are good examples with their compensation funds, according to the communiqué.
In addition to education and social services, the study examined three other areas: In the road sector, more efficiency could save CHF 2.3 billion across all cantons. In public order and security, expenditure could be reduced by CHF 1.7 billion, and in culture by CHF 1.1 billion.
Hardly achievable potential
The authors of the analysis emphasized that the amounts are theoretical. The potential could hardly be fully exploited. Cantons are subject to factors such as geographical location or population density, which they can hardly influence. Rather, the aim is to scrutinize efficiency in comparison with exemplary cantons.
The analysis should show where the cantons and their municipalities could improve the relationship between the quality and quantity of their services on the one hand and their expenditure on the other. As the initial situation differs from canton to canton, the measures must be individualized accordingly. The authors of the study wrote that even if only half of the potential was exploited, it would exceed the recently published federal savings package.
The Federal Council wants to reduce the federal budget by CHF 3 to 3.5 billion by 2027 and by CHF 4 to 4.5 billion by 2030. The cantons expressed reservations about the savings proposals. Healthy federal finances are in the interests of the cantons, according to the Conference of Cantonal Governments following the publication of the proposal. However, in many areas that are jointly financed by the Confederation and the cantons, the cantons are bound by predetermined performance levels. The savings package is subject to an optional referendum and could therefore be decided by the people.
SDA