Government credits cards frozen in crackdown on wasteful spend

Thousands of government credit cards are to be cancelled under plans to cut spending.

The cabinet office is to instruct departments and their agencies to freeze almost all of the around 20,000 Government Procurement Cards in circulation.

Civil Service card holders will be forced to reapply and justify that they really need them.

A minority of cards, such as those used by diplomatic staff working in unstable environments, will be exempt from the mass freeze.

A new application process will be introduced, with departments told approve the minimum number of new cards possible. It is expected that the number of cards will be reduced by at least 50 per cent.

Civil servants will also be banned from using cards where there is either a departmental or cross-Government procurement route. These procurement routes deliver better value for money by procuring at scale for common goods and services, like booking official travel, training, or office supplies.

Chancellor of the Duchy of Lancaster Pat Mcfadden said: "We must ensure taxpayers’ money is spent on improving the lives of working people.

"It’s not right that hundreds of millions of pounds are spent on government credit cards each year, without high levels of scrutiny or challenge. Only officials for whom it is absolutely essential should have a card.

"Our clampdown on government credit cards will deliver savings that can be used to drive our Plan for Change - securing our borders, getting the NHS back on its feet and rebuilding Britain."