From education to employment

Government to detail public sector cuts next week

The public sector is bracing itself for details next week of how the government plans to make £6bn in spending cuts this year.

In his first speech since becoming chancellor, George Osborne said efficiencies can be made to reduce the deficit while also enhancing frontline services.

“I’m absolutely clear that, alongside reform, we can improve the quality of education that people receive and the healthcare that people receive,” said Mr Osborne.

Liberal Democrat David Laws, Chief Secretary to the Treasury, had previously argued that spending cuts this year would risk economic recovery.

However, the Lib Dems agreed to immediate reductions as part of their coalition deal with the Conservatives.

According to Mr Laws, all projects agreed by Labour ministers since the turn of the year will also be reviewed.

The FE sector can perhaps take some comfort from comments made during the new government’s first visit to the Department of Business, Innovation and Skills (BIS).

Prime Minister David Cameron and Vince Cable, now Secretary of State for BIS, assured staff of the lead role they will play in reviving the UK economy.

Mr Cameron said: “We face huge economic challenges and I think it is so important we demonstrate that this economy is open for business, that we want to promote trade overseas, we want to get our economy moving, we want to get banks lending.

“I see this as a big economic department with a huge task in front of it and want all of you to work together to deliver that.”

BIS Ministers of State have now been confirmed to join David Willetts, the Minister for Universities and Science who will also attend Cabinet meetings.

They are John Hayes, Minister of State for Skills, and Mark Prisk, Minister of State for Business and Enterprise.

An emergency Budget to usher in wide-spread cuts will be announced on Tuesday 22 June.

Jason Rainbow

(Pictured: Prime Minister David Cameron)
 


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