Ring-fencing health and aid ‘unsustainable’
By politics.co.uk staff The government’s plans to protect health and aid budgets have been attacked as unjustified by the British Chambers of Commerce (BCC). The business body fears the move will damage the economic recovery by causing more drastic cuts to capital investment in other areas. Its Budget submission points out that in Canada, where […]
IMF pressures eases Osborne’s task
By politics.co.uk staff A warning from the International Monetary Fund (IMF) against “delayed or half-hearted” steps to deal with public spending is likely to make George Osborne’s task of winning over Brits to his spending cut agenda easier. The IMF’s annual review of euro area policies came in the light of the recent sovereign crisis […]
Osborne sets the stage for ‘once in a generation’ spending review
By Ian Dunt George Osborne has published a framework laying out the groundwork for the “once-in-a-generation” spending review this autumn The framework will demand that government departments submit their initial plans before the summer recess and demonstrate that they meet “tough” new criteria to deliver value for money. It also confirms government plans to consult […]
‘Star chamber’ to test ministers’ cutting plans
By politics.co.uk staff Ministers will have to justify their spending cuts before a panel of senior ministers, under reported government plans. Chancellor George Osborne is expected to announce the proposal for a ‘star chamber’ scrutinising departmental spending cuts as he outlines his framework for the coming comprehensive spending review tomorrow. The move to establish a […]
Govt spending data published
By politics.co.uk staff The government has removed the “cloak of secrecy” from Whitehall by publishing its spending data for the last two years. The Combined Online Information System (Coins) is the Treasury’s public sector financial database and is used to help manage taxes and supply estimates. It comes as part of the coalition government’s wider […]
Union chief draws a line over cuts
By politics.co.uk staff Public sector union chief Dave Prentis will warn the poor, the sick and the vulnerable are set to suffer as a result of the coalition’s cost-cutting agenda. The Unison general secretary will tell the Wales Trades Union Congress in Llandudno later that an “irresponsible and ideologically driven attack” on the public sector […]
Byrne to Laws: There’s no money left
By politics.co.uk staff Liam Byrne, the outgoing first secretary to the Treasury, left a short note to his successor David Laws that said the coffers were empty, it has emerged. Notes from an outgoing minister to the new man or woman are not uncommon, but Lib Dem minister Mr Laws said he was somewhat taken […]
Lab/Lib pact will hurt credit rating, bankers warn
By politics.co.uk staff A coalition between Liberal Democrats and the Labour party could lead to a downgrading of Britain’s credit rating, City analysts have warned. Experts at BNP Paribas have said: “Lab/Lib government is the least liked option by markets and would almost guarantee a downgrade of the UK sovereign [debt].” At the moment Britain […]
Vote Tory says the Economist
By Sabine Klensch The Economist has endorsed the Conservatives in the general election. The business and current affairs magazine, which supported Labour in 2005, urged voters in the cover story for its latest edition to “give Cameron their vote”. The main issue is public spending and the Tories have been the only party that have […]
Election winner ‘out of power for a generation’
By politics.co.uk staff Victory in the 2010 general election will be a poisoned chalice for the winner, a leading US economist has warned. David Hales said Bank of England governor Mervyn King had told him the necessity of cuts to public spending will damage whichever party forms the government. Mr Hale told Australian TV: “I […]
