Sir Philip Green’s appointment by the new coalition government to delve into Whitehall spending certainly raised a few eyebrows a couple of months ago. However, proving his critics wrong, the UK’s 9th richest man, who owns the hugely successful Arcadia fashion group under which Topshop, Miss Selfridge, Evans and Dorothy Perkins sit, has just released his efficiency report that could save the Government billions of pounds.
In a damning account of spending by Whitehall departments, the billionaire businessman said today that the “Government would be bankrupt if it was a business”. However, the retail magnate has revealed in his assessment that he could save the Government an enormous £25bn in just one year without cutting one public sector job.
Green said that he had uncovered a “staggering” waste of money due to Whitehall using numerous contracts with different suppliers for the same goods and urged government ministers to use centrally negotiated contracts for energy, computers, travel and property to dramatically cut costs. He pointed out one case where £84m is spent on office supplies, using five suppliers and 83 different contracts with prices for a box of paper ranging from less than £10 up to £73. In another, he states that fixed line telecommunications costs the Government £2bn a year, but insists that he can cut this by around £800m through centralised procurement.
And today, Prime Minster David Cameron backed Green’s plans for tighter financial controls with the findings of his report set to be implemented before 20 October.
Green was appointed by Cameron in August to publish a review of government spending using his business acumen, which has seen him run some of the British high street’s most successful shopping brands and building a fashion empire that has generated him a personal fortune worth around £4.43bn.
Picture: Sir Philip Green and long-time Topshop collaborator Kate Moss at a party during London Fashion Week.
Watch our video to see all the backstage action from Topshop Unique's spring/summer 2011 show.
