Magazine article Public Finance

UK Spending Cuts 'Could Rise to 20%'

Magazine article Public Finance

UK Spending Cuts 'Could Rise to 20%'

Article excerpt

A leading civil servant has warned that public spending cuts in the UK could reach 20% over the next seven years and that compulsory public sector redundancies cannot be ruled out.

Sir John Elvidge, permanent secretan· at the Scottish Government, predicted that the shape of some public services in the future would 'look completely different'.

He said: "It's obvious thai we can't simply continue to run the models that we run for delivery of various public sennces.'

Elvidge was speaking in a video interview shown to public sector leaders at a conference in Edinburgh on January 29.

He stressed that the shorter the period over which change had to be managed, the harder it was to do in a way that did not cause some pain.

He added: "Our task, I think, has got to be to look longer term and make sure that we are aiming at delivering better sen ices over time u ithin the financial constraints."

He cited Institute for Fiscal Studies estimates, which show that, across the UK government, the average real-terms reduction each year would be 3. …

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