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Service transformation is not about further increases in public spending or investing in new technology. Building on the work done in the 2004 Spending Review on efficiency, there is an opportunity to coordinate services more directly around the needs of citizens and businesses and to deal with more problems at the first point of contact. In the 2007 Comprehensive Spending Review (CSR) this approach could drive out efficiencies by improved performance and coordination of front-line e-services, contact centres and local offices and reducing duplication of business processes through shared use of an identity management system. Over the longer term further efficiencies and service enhancements could be made by reducing the back office functions that would no longer be required.

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