Whitehall is facing the prospect of having to shed as many as 100,000 jobs over the next five years, the union representing senior civil servants has said.
The head of the FDA, Dave Penman, said he expected the Conservative government to continue primarily targeting staffing levels as it makes yet more swingeing cuts to public spending, leading to an even greater round of public sector job cuts than those under the coalition.
He said that, according to the Office for Budget Responsibility (OBR)’s analysis of the chancellor’s autumn statement, only 40% of the total cuts expected between the election of the coalition government in 2010 and the next general election in 2020 had been made.
Those cuts had come at the cost of around 80,000 jobs, Penman said, leading him to believe that the remaining 60% would cost a further 100,000.
“The DWP could lose 20,000 to 30,000 staff, the HMRC could lose 10,000 to 15,000 … it is greater cuts than over the last five years and most of that is based around staffing, so it is not surprising.
“That is what the civil service is expecting, it is certainly what we are expecting. We are back to the 1930s level of spending.”
The former cabinet office minister Francis Maude led a round of job losses over the last parliament, prompting the Public and Commercial Services Union to accuse him of showing “enthusiasm for cutting jobs”.
Penman said that he wanted the government to be honest about what it could deliver if it went ahead with its plans to squeeze the civil service.
“We are saying you need to match commitments with resources – you can’t just cut that amount, then say ‘get on with it’.”
But he said that the FDA could not stop “an elected government from cutting the size of the civil service when they have been elected to do so”.
A Cabinet Office spokesman said:
“The minister will set out his priorities for this parliament in due course. Anything else at this stage, one week into his tenure, is purely speculation but all is working well so far and we have a strong, cohesive centre.”
Source – The Guardian, 18 May 2015
Sunderland has the lowest number of businesses out of any city in the UK, according to the latest report from think tank Centre for Cities.
Authors of the annual ‘health check’ of UK cities for 2014 also found Sunderland had the slowest-growing population, and was second bottom for business start ups.
The central spine of the report was the trend which showed the economic gap is widening between London and other cities.
Highlighting Sunderland, the report’s authors also listed Newcastle and Middlesbrough in the bottom ten cities for businesses in the UK.
The report also found there almost 10 times more jobs being created in the capital than the next best area.
Centre for Cities research revealed that London accounted for 80 per cent of national private sector employment growth between 2010 and 2012.
For every public sector job created in the capital, two have been lost in other cities, the study found.
While London is “booming”, cities such as Bradford, Blackpool and Glasgow have seen jobs lost in private and public sectors, said the report.
There has also been a significant number of jobs created in private firms in Edinburgh, Birmingham and Liverpool which have helped offset the impact of public sector job cuts.
In the two years to 2012 there were 216,000 private sector and 66,300 public sector jobs created in London, compared with losses of 7,800 and 6,800 in Glasgow, said Centre for Cities.
Other cities where jobs have been created in private companies included Nottingham (8,900), Brighton (6,400) and Aberdeen (4,900), but they were all hit by cuts in public sector employment.
The report said: “London remains the UK’s economic power house and is pivotal to the UK’s future success.”
Alexandra Jones, chief executive of Centre for Cities, said: “The gap between London and other UK cities is widening and we are failing to make the most of cities’ economic potential.
“Devolving more funding and powers to UK cities so they can generate more of their own income and play to their different strengths will be critical to ensuring this is a sustainable, job-rich recovery.”
Sunderland Echo, 27 January 2014