Government spends more on advisers, despite cost crackdown

Although the bill for outside help has fallen by almost a third since curbs were introduced following a damning watchdog report in 2006, totals are starting to creep up again.

At least seven government departments increased the amount they spent on consultants during 2008-9, while the overall figure rose by 22.6 million compared with the previous year.

The true figure is likely to be even higher, as two departments have yet to declare their consultancy costs, leading to accusations that ministers have "lost control" of spending.

The Treasury increased spending by 126 per cent, up to 54.6m in 2008-9 from 24.1m the year before – with the rise mostly going on consultants for the bank bailout.

The bill at the Home Office rose by almost 46 per cent, from 96m to 140m – despite having reduced spending by 52m between 2006-7 and 2007-8.

Annual reports for the former Department for Innovation, Universities and Skills, now part of Lord Mandelson's Business, Innovation and Skills department, also show its costs increased.

Liberal Democrat shadow cabinet member Julia Goldsworthy, who uncovered many of the figures through parliamentary questions, attacked the spending and said taxpayers deserved a "better politics for less".

"These astonishing sums of money spent on outside consultants beg the question of what the Civil Service is for," she said.

"At a time when budgets need to be tightened, it seems irresponsible for ministers to be throwing money around like this."

TaxPayer's Alliance chief executive Matthew Elliott said: "It's extremely disappointing that consultancy spending is still on the rise, despite all the talk of getting it under control."