State Services Commission's freebie clampdown

Was today’s crackdown on gifts and hospitality at state agencies prompted by the heat on Westpac’s hosting of MPs during the Rugby World Cup?

State Services Commissioner Iain Rennie said today he will raise concerns about gifts and hospitality policies with some state services agencies to make sure they’re clear what’s acceptable and what’s not.

This follows his register review of a range of agencies, revealing most had a clear focus on limiting the acceptance of gifts and hospitality in order to avoid conflicts of interest, he said.

“However, I do have concerns about a number of instances where some agencies do not appear to have followed what I regard as appropriate practices, particularly around the acceptance of event-based hospitality unrelated to their core business.

“These instances have clearly not met the standards I and New Zealanders expect of an impartial State Services. There has already been public comment about some of the entries on the Treasury’s register of gifts, benefits and hospitality to this effect.”

The review follows heat on the Government mid-year over ministers accepting hospitality for Rugby World Cup matches from the Government’s banker Westpac.

Accepting the invitations were was seen to be by some as a conflict of interest while the government’s banking contract is up for tender.

It was revealed nine ministers accepted corporate hospitality from Westpac last year.

The government assured it intends to run a competitive tender process for its master-banking contract.

Treasury has already responded to Mr Rennie’s warning today, saying it would strengthen its gifts and hospitality policy following its own review by an independent auditor.

Accounting firm Deloitte was asked to audit Treasury’s gifts and hospitality policy after plans were made to regularly publish a register of gifts and hospitality received by staff in July.

Treasury said the Deloitte had found its gifts and hospitality policy was generally consistent with the State Services Commission and guidance from the Auditor General.

The policy stated Treasury staff should refuse gifts or hospitality unless there was a clear benefit to the Treasury that exceeded any private benefit.

Gifts that could reasonably be seen or perceived to undermine the integrity of staff, the Treasury or the wider state sector should also be refused.

Gifts or hospitality with a value of $50 or more would be recorded on the gift and hospitality register, irrespective of whether or not they were accepted.

Treasury secretary Gabriel Makhlouf said he had initiated the periodic publication of our register to promote greater accountability.

“The Treasury takes seriously its role as leader of best practice across the public service.”