OAG Calls for Urgent Reform of Government Performance Reporting

The Office of the Auditor-General (OAG) has called for urgent reforms to how the New Zealand government reports on its performance, finding that current practices do not provide enough transparency about the value of public spending.

In a report released this week, the OAG observed that whilst governments have begun to set well-being objectives to guide budget decisions, they do not report on what is achieved or how progress is measured.

Additionally, there are gaps in reporting on cross-agency arrangements and initiatives, making it difficult to track spending and assess progress.

The OAG has urged legislative reform to put in place a system of public accountability that focuses on what matters to New Zealanders, shifting away from a focus on inputs, activities and outputs, and fostering collaboration between public organisations to achieve better outcomes.

The OAG has also recommended that an inquiry be conducted into performance reporting to examine and recommend changes to legislation. 

The report comes as the New Zealand government faces several significant and long-term challenges, including climate change, child poverty, and inequity.

The OAG has stated that these issues require a focus on the long term and collaboration between public organisations to achieve better outcomes for New Zealanders.

Full report: Observations from our central government work in 2022/23