Oh lovely, fast tracked spending

The Chief Secretary to the Treasury said that the plan for the £1bn state-backed business bank was \”top priority\” and would be sped through the legislative procedure in the same way emergency requests for military equipment are processed.

\”Just as in defence procurement, we have Urgent Operational Requirements, I see this [Business Bank] as an \’Urgent Growth Requirement\’ and it will be fast tracked,\”

Just a thought, but where are they going to get the bankers to make sure this is all spent properly?

And the idea that it must all be done very quickly indeed doesn\’t lead to the thought that it will be done carefully, does it? After all, military procurement when done this way is notoriously expensive, isn\’t it?

10 thoughts on “Oh lovely, fast tracked spending”

  1. Off topic, here’s one for you, Tim:
    http://www.theverge.com/2012/9/24/3381238/microsoft-power-waste-quincy

    “Grant County Public Utility District” makes large customers estimate their usage, and the customer has to pay a fine if they are significantly above or below predicted usage.

    Unfortunately, Microsoft’s fine for not using as much electricity as they predicted was more than the extra electricity would have cost.

    So they hired giant heaters and wasted $70k worth of electricity.

  2. Most military men might aver that UOR’s are actually both better value and more effective, since the MOD cannot endlessly interfere in the procurement spec and because the focus is on the equipment rather than which political or European interest is being served…

  3. I’m sure they’ll get lots of those lovely selfless civil servants to make competent decisions, and they will not in any way be a bunch of conflicted incompetents doling out other people’s money to their (and politicians’) pet projects.

    After all, as the Murphmeister tells us, public choice economics is a nasty neoliberal myth and there isn’t a single economic problem to which the solution isn’t “more spending “investment”, more civil servants and more taxation”

  4. One motive that Danny Alexander has for the state backed bank idea is that the London based elite just loves the idea of the plebs having to come begging to the London based elite when the plebs want money. The alternative, namely to boost the economy by simply giving the plebs more money would never do. The latter scenario would boost demand and firm’s cash flows, and there is nothing a banker likes more when considering a loan than a decent cash flow. So under the latter scenario, the market would sort out how much to lend to who.

    But the snotty economically illiterate Westminster elite think they know better than the market.

  5. “would be sped through the legislative procedure” gets translated by my cynical side as “we will twist arms to bypass the legislative procedure”.

    Not that avoiding procedure is necessarily a bad thing – show me the engineer who hasn’t done it from time to time and I’ll show you one who has never delivered anything. Rupert Fiennes’ point is valid too (for much the same reason).

  6. Mind you, I’m very hard on juniors who whine about procedure/paperwork. I tell them you have to have done it to know (1) *how* to avoid it (comes after about 5-10 years experience), and so much more importantly (2) *when* it’s safe to do so (minimum 15) 🙂

Leave a Reply

Your email address will not be published. Required fields are marked *