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Spending figures sparks 'cuts' row
23.07.09
Detailed figures of public spending reductions next year, including a £100 million drop in education funding, sparked a renewed political row today.
The Treasury said the lower figures, revealed for the first time in official data, were due to cash having been brought forward in a bid to stimulate the UK's economy out of recession and were not "cuts".
Budgets will fall next year in 14 of 23 departments, the figures were reported by The Daily Telegraph to show, including a 24.6% reduction in the Department of Business, Innovation and Skills.
It said the overall education budget would drop from £85.1 billion to £85 billion although schools spending would increase within that. The Home Office would lose 0.3% on this years' level but the Department of Health would get 1.5% more.
Shadow chancellor George Osborne said the figures "show in black and white that overall spending under Labour is being cut, as is total education spending.
"Gordon Brown should now abandon his dishonest claim that he can go on increasing spending and accept that we Conservatives have been right to say that spending has to be cut to deal with this government's debt crisis," he said.
But the Treasury rejected any suggestion of "cuts" and an education minister said Mr Osborne's claims were "absurd".
"The reductions are not cuts as spending has been brought forward from subsequent years' budgets. It is not correct to say the Government is cutting overall spending," a spokesman said.
"The Government has brought forward £3 billion in spending from 2010-11 to support the economy now and invest in Britain's future. The Government also announced this year that it will make £5 billion worth of efficiency savings next year which will protect frontline services."
Schools Minister Vernon Coaker said it was "absurd and totally misleading" to suggest education spending was being cut.
"The fact is we have brought forward almost £1 billion of capital investment in schools from next year to this year to support local businesses and jobs, particularly in the construction industry, during the recession.
"Schools are getting year-on-year real terms increases in their budgets and we are making efficiencies elsewhere in the department in order to fund 55,000 extra sixth form, college and training places for school leavers this September and next September.
"It's the Conservatives who have made clear they would cut spending on schools from next year and refuse to match our guarantee of a place in education or training for all school leavers."
The Treasury dismissed as "ridiculous" any suggestion that defence spending was being cut and pointed out that cash to fund the Afghanistan campaign was not included in the figures.
Prime Minister Gordon Brown admitted last week that the Government faced "tough choices" over spending, but denied plans were being made for deep cuts of up to 20%.
Reader views (3)
Gormless Brown has indebted the UK for GBP1,400,000,000,000.00.
Joe Public will still be repaying this obscene debt in 30 years' time.
- Reuben Camara, Republic of Morecambe, UK
the way to save huge amounts of taxpayers money is to reduce the vast number of civil servants on the government payroll with their huge salaries and fat index linked pensions, tinker with the front line services will not solve the problem
- Steve, bristol,avon
the the Prime Minister is taking us for fools, if he borrow's money its us taxpayers who have to pay it back. so by the time we get out of ressession we will have another one because we will have to pay back the goverment debt.
- Helen, London
