Michael Burton 22 November 2023

Autumn Statement: Unprotected departments face further cuts

Autumn Statement: Unprotected departments face further cuts image
Image: Daniel Gale / Shutterstock.com.

So-called ‘unprotected’ Whitehall departments face further budget tightening despite a pledge in the Autumn Statement to increase public sector productivity.

The Office for Budget Responsibility’s fiscal outlook published today says ‘it is mainly due to the Chancellor’s decision to leave departmental spending broadly unchanged’ that borrowing is reduced by £27bn in 2027/28 compared to its March forecast.

The OBR estimates that day-to-day spending in departments which are not protected like health and care, education, defence and international development would need to fall by 2.3% a year in real terms from 2025/6 after the end of the current Spending Review to meet current forecasts. The OBR says this would ‘present challenges’ and mentions the 11 s114 notices issued by councils as an example of ‘signs of strain.’

It adds that use by councils of current reserves for current spending increased by £2.3bn in 2022/23 for the first time since 2019-20 and predicts that ‘there will be further drawdowns during the current Spending Review period, of £1.5bn in 2023/24 and £0.8bn in 2024/25 ‘compared to an assumption of no drawdown in both years in our March forecast.’

The OBR says that ‘delivering these spending plans while maintaining or improving public services would require significant improvements in public sector productivity.’

The Autumn Statement says that ‘the government has therefore driven even greater efficiencies than those assumed at Spending Review 2021 to manage down these pressures and ensure departments can live within their settlements and deliver the service outcomes the public expect.’

Cllr Sir Stephen Houghton, Chair of the Special Interest Group of Municipal Authorities (SIGOMA) said: ‘With a 1% rise in spending on public services set for the coming years, unprotected departments like local government will face another round of damaging austerity, following the decade of cuts since 2010.’

Selling the family silver image

Selling the family silver

Ryan Swift, research fellow at IPPR North, urges the next Government to stop the mass sell off of council assets.
SIGN UP
For your free daily news bulletin
Highways jobs

Senior Social Worker

Wakefield Council
£40,221.00 - £43,421.00, Grade 10, 37 hours, Permanent
Community Mental Health Senior Social worker (level two) post at Baghill House Pontefract. Baghill House, Health & Wellbeing Centre, Walkergate, Pontefract, WF9 1QW
Recuriter: Wakefield Council

Senior Social Worker

Wakefield Council
£40,221.00 - £43,421.00, Grade 10, 37 hours, Permanent
An exciting opportunity has arisen for a full time (37 hour) senior social work position within Connecting Care East. Castleford Civic Centre, Ferrybridge Road, Castleford, WF10 4JH
Recuriter: Wakefield Council

Senior Care Assistant (Days)

Wakefield Council
£21,422.43 - £23,731.62, Grade 6, 30 hours, Permanent
Dovecote lodge is a short term placement unit which support the hospital with admissions, predominantly from the emergency department. Dovecote Lodge Dovecote Lane Horbury Wakefield West Yorkshire WF4 6DJ
Recuriter: Wakefield Council

Complex Needs Support Worker

Wakefield Council
£19,697.84 - £21,064.05, Grade 5, 30 hours, Temporary
Dovecote Lodge currently has a vacancy for a 30 hour complex support worker, the rota includes days, afternoons and nights over a 10 week period. Dovecote Lodge Dovecote Lane Horbury Wakefield West Yorkshire WF4 6DJ
Recuriter: Wakefield Council

Multi Skilled Operatrive x4

Wakefield Council
£22,737.00 - £29,269.00, Career grade 3-6, 37 hours, Permanent
We are seeking enthusiastic and capable colleagues to join our Highway Operations team that forms part of the Highway Network Management. Wakefield, West Yorkshire
Recuriter: Wakefield Council
Linkedin Banner

Partner Content

Circular highways is a necessity not an aspiration – and it’s within our grasp

Shell is helping power the journey towards a circular paving industry with Shell Bitumen LT R, a new product for roads that uses plastics destined for landfill as part of the additives to make the bitumen.

Support from Effective Energy Group for Local Authorities to Deliver £430m Sustainable Warmth Funded Energy Efficiency Projects

Effective Energy Group is now offering its support to the 40 Local Authorities who have received a share of the £430m to deliver their projects on the ground by surveying properties and installing measures.

Pay.UK – the next step in Bacs’ evolution

Dougie Belmore explains how one of the main interfaces between you and Bacs is about to change.