If the coalition is to meet its spending targets it will have to make further cuts to departmental budgets.
Public sector job losses could be significantly more than one million, according to a report published yesterday by the Institute for Fiscal Studies.
Due to the government’s failure to hit its savings targets, job losses in the public sector could be 300,000 higher by the end of 2017/18 than predicted, according to the IFS’s annual analysis of the government’s spending plans.
Within the IFS’s report, however, was also contained the prediction that, if the government continues to ring-fence the NHS budget, overseas aid and schools, spending cuts will need to be significantly more severe if the coalition is to meet the targets of its fiscal consolidation plan.
As things stand, just to keep his current savings plan on track, George Osborne will need to make much larger cuts to departmental budgets than he originally intended.
As we can see from the graphs below, the bar on the left represents what the government intends to cut while the bar on the right represents what the government will need to cut unless it reconsiders its policy of ring-fencing select budgets or increases government revenue through tax rises.
As the report phrases it:
“If such further cuts to departmental spending are not possible without a decline in the quality or quantity of public services that is unacceptable to politicians or to voters, then higher borrowing, further tax increases or social security spending cuts – perhaps after the next general election – must be on the cards.”
132 Responses to “More spending cuts on the way if coalition is to meet savings targets”
Newsbot9
No, I’m not kidding, it’s a great example of you rejected facts because of your ideological bias. You didn’t even read it, of course.
The nonsense is your murderous fact-free jihad against the poor. And of course you have to spit at someone who’s an intellectual, and might be a 99% who’s not dirt poor.
It’s one of literally hundreds of stories, none of which anti-British Jihadiis like you will read!
(And yes, broken people are broken. And? Making policy based on am idealogical distortion perhaps 10% as bad as yours is still poor policy!)
Absolutely_Passionate
I think you should use a healthy dose of scepticism when reading tabloid newspapers. Notice they didn’t include any photos? Probably because the parents body piercings and tatoos would expose how their benefit payments are spent – ie not on fresh food and milk for their children.
It’s time the government stopped paying them cash and gave them food vouchers instead.
Newsbot9
Ah yes, you want to punish the poor even further, reducing their purchasing power and stopping them using public transport and purchasing, say, essential clothing without paying a transfer tax on the black market.
You’re making up nonsense again about ” piercings and tatoos” to justify your murdering I see. Keep up the genocidal calls!
Absolutely_Passionate
What “genocidal calls”?
If you gave your children money to buy sweets and then you found out that they had spent the money on cigarettes, then would you continue to give them sweetie money,
Newsbot9
Yes, you keep up the denial. You are calling the poor children and taking away the money for food, utilities and shelter based on your myth of their wasting cash. Better in your world to genocide the lot, never mind you actually saw someone middle class buying a pack of cigarettes and have no idea of the challenges of being poor, it literally being a foreign world to you, 1%er.
You are disgusting.