Emergency Budget: Only NHS and international aid ringfenced

Tuesday, 22 June 2010 12:00 AM

By Jonathan Moore and Alex Stevenson

The chancellor confirmed today that only the NHS and international aid budgets would be protected from cuts.

George Osborne did announce there would be no cuts in capital expenditure in his Budget, however.

A number of areas had received reassurances from the coalition government that they would not be subject to cuts from the Treasury.

The NHS and international development spending were quickly ringfenced by David Cameron soon after he entered Downing Street.

The coalition agreement included a commitment to see Britain allocating 0.7% of national income to development money for overseas countries from 2013.

It had also come under pressure to reassure businesses and the public sector by protecting the bulk of ongoing capital spending projects, which campaigners had argued are vital to helping stave off a double-dip recession.

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• budget
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• economic policy
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• economy
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• economy and finance