Merged NVWA has not achieve its planned savings

Pros and cons of merging inspectorates inadequately studied in advance

The merger of the Food and Consumer Product Safety Authority (VWA), the General Inspectorate (AID) and the Plant Health Authority (PD) has not produced the expected savings. The government thought in 2007 that the budget for the three inspectorates could be cut by €50 million if they operated as a single organisation rather than as three separate ones. Economies of scale and other methods of supervision, however, did not lead to the expected savings at the Netherlands Food and Consumer Product Safety Authorities (NVWA). The advantages and disadvantages of merging the three government bodies were not thoroughly analysed in advance. Predictable risks, e.g. regarding IT, were not anticipated. It is also thought that additional savings targets for 2018 and subsequent years will not be achieved.

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