Tuesday, 28 May 2013

George Osborne: Seven departments agree new spending cuts

George Osborne has reached agreement with seven Whitehall departments on savings he wants made in 2015.

The chancellor said he had found 20% of the £11.5bn he wants to cut spending by in the year from April 2015.

Justice, energy and communities are among the departments agreeing to “significant savings”, he said, adding that health, schools and foreign aid would be protected from cuts.

George Osborne announced this plan to cut a certain percentage of government departments budgets some time ago and today marks the first step on the way to achieving that, but the seven departments that have settled on a budget accounts for only £2.3bn of the £11.5bn needed to meet Osborne’s target.

 He is still 80% short and so far hasn’t reached a settlement with any of the big spending departments such as the MOD, business, transport and the Home Office, so there is still a long, long way to go.

One final thing why does this government insist on protecting foreign aid spending, schools and the health service absolutely, foreign aid doesn’t make much sense to me.


If you’re in a position to give then you should, but when considering that the government is asking almost all departments to cut a combined £11.5bn isn’t that a clear indicator that right now we’re not really in a position to, and should stop for the time being until we are in a position to do so in the future, wouldn’t that be the sensible thing to do?   

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