Sir Philip Green has been appointed to lead an efficiency review of government spending.

Topshop tycoon Sir Philip Green will seek efficiencies

The Arcadia owner’s remit is to scrutinise government spending since 2007 and identify inefficiencies and potential savings. He will review the progress being made with the recommendations of the government’s Operational Efficiency Programme, and look at what lessons can be learnt for the future. He will report to Minister for the Cabinet Office Francis Maude and Chief Secretary to the Treasury Danny Alexander.

Green - who publicly backed David Cameron prior to the general election - is renowned for running his businesses efficiently and driving a hard bargain with suppliers. “I have discussed this project fully with my Group CEO Ian Grabiner who is supportive, excited and engaged in aiming to make a difference,” he said.

The government is committed to making savings of £6.2bn this year, but Maude stressed they would come from the centre rather than front-line services. “Sir Philip has made clear to the government the importance of his business remit which has always been that efficient operating is different from cost cutting and removing jobs.”