Leadership contender Terry Lister has hit out at Government's "really shocking" overspending — and called for Cabinet to sign no more contracts until a new Premier is elected.

Mr. Lister bemoaned the Island's deficit in its current account for two years in a row, and asked why so much spending has been rushed through in the four years of Premier Ewart Brown's administration.

He said his concern over spiralling debt — from $240 million four years ago to more than $1 billion today including the Butterfield Bank guarantee — was one of the major reasons he left Cabinet last summer.

Mr. Lister said if elected Premier he would carry out a review of capital spending to see which projects can be postponed.

Finance Minister Paula Cox, the strong favourite to succeed Dr. Brown in October, says such a review has already taken place and some items, such as the rebuilding of the Causeway, are being deferred.

Ms Cox, who has her own plans to cut debt, defended Government's borrowing record by saying cash has gone towards vital initiatives such as making schools safe and health care programmes.

Both were speaking to The Royal Gazette on a variety of issues including the economy and crime, after officially announcing their bids to replace Dr. Brown (see today's pages nine and ten).

Mr. Lister said: "In four years, we have to question the intent and the execution of doing everything so quickly."

Warning that some contracts signed today may last for many years, he added: "I would like the present Cabinet to say we are suspending all decisions on contracts until November 1.

"There's a new administration coming in. Let's not sign anything, take a three-month hold. If the new Premier is Premier Cox and she decides to go ahead, she will be able to get on with the projects anyway. If it's Premier Lister ... he might not want to continue them.

"When I see pieces in the paper saying that we are about to sign off on this project and that project, that really bothers me."

Mr. Lister says he would also cut back on consultants, noting that the municipalities review could have been done much more cheaply locally than the $600,000 to $800,000 it's said to have cost.

The former Energy Minister says Government's initial plan was to take over the corporations, meaning an expensive report would have been sensible.

But after the proposal was scaled back to focus on electoral reform, such a costly study was no longer necessary, he argued.

He said those hundreds of thousands of dollars could have been better spent on education.

"There's a lot of other issues Bermudians want addressing, on the economic front, huge concern at the debt, concern at crime," he said. "Taking over the corporations doesn't touch any of those things, and we take resources that could have been spent on those issues."

On crime, Mr. Lister said Government should more closely examine how social factors lead to violent criminal behaviour; Ms Cox argued social policies are already in place.

Both said the tourism industry needs to be revitalised to boost the economy, and stressed the need to keep a good relationship with international business.

But the pair, both former Education Ministers, had differing views on how the schools system can be improved.

Ms Cox was optimistic plans already laid out by Government and more community involvement will pave the way for brighter future; Mr. Lister has a wish list of changes surrounding teaching methods and preparing youngsters for careers on graduation.

l Leadership candidates Paula Cox and Terry Lister give their thoughts on key issues affecting the Island – turn to Pages 9 & 10