As the new government embarks on the latest cost cutting scheme, the responsibility for buying IT in-house has moved from the Treasury to the Cabinet Office.
The public sector procurement agency, Buying Solutions and the Office of Government Commerce (OGC) will both move to the Cabinet Office where they shall form part of the Efficiency and Reform Group.
The government announced the move earlier today and stated that operations such as procurement, project management, IT and Civil Service workforce and reform functions will all fall to this newly formed department.
The government stated: "The Efficiency and Reform Group will have a strong mandate at the centre of government to ensure departments work together to quickly tackle waste and improve accountability across all these areas."
Sir Peter Gershon who will be responsible for procurement issues said that the government "will need to be creative and innovative in order to make a real difference and look at new ways of working".
Dr Martin Read, who led a government IT review last year has also spoken out about the move, warning that cost reduction will become a fundamental management objective in the public sector.
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