Minister says adviser did not raise state spending

Foreign Minister Þorgerður Katrín Gunnarsdóttir says the cost of hiring Heiða Kristín Helgadóttir as a temporary adviser did not increase state spending, mbl.is reported. The ministry offset the cost by not hiring another assistant while the advice was being provided.

The issue was raised by Nanna Margrét Gunnlaugsdóttir, an MP for the Centre Party, during an unscheduled question period in parliament. She asked whether public funds had paid for party-political work and whether Viðreisn should reimburse the state.

Nanna said the Foreign Ministry had given 10 million krónur each to the yes and no campaigns ahead of the referendum on EU membership, to support informed debate and ensure balance. She contrasted this with the ministry’s payment of 14 million krónur to Nebraska, a private limited company, for Heiða Kristín’s advice.

Nanna said the ministry had described the work as strategic advice for the foreign minister in connection with the referendum, while Heiða Kristín had also said she supported Viðreisn’s parliamentary group and that political discussions were part of the assignment. Nanna argued that the accounts did not match and said some of the payment may have supported the political yes campaign, potentially upsetting the balance between the sides.

Þorgerður said she had sought advice on extensive foreign affairs matters, primarily the referendum and the preparations for it, and that such advice was not unusual. She recalled that the arrangement lasted about five months and reiterated that no additional assistant was hired during that time.

Þorgerður also said the government had reduced the number of ministries from 12 to 11 and that ministers needed to manage their operations prudently. She added that the former prime minister had, for a time, had a seven-person team around him.