Budget cuts ‘will mean job losses’

Saturday 15th September 2007, 12:00AM BST.

PLANS to cut £116m worth of States spending over five years will lead to job cuts, according to Treasury Minister Terry Le Sueur.

He says that the Public Accounts Committee’s amendment to the 2008 Business Plan – due to be debated on Tuesday – will mean cuts in public sector staff. Business Plan amendments to cut £116m from five-year States spending plans, including £12m from next year’s spending, and raid the Overseas Aid budget of £3.5m over the next three years are likely to dominate Tuesday’s debate. The 2008 Business Plan calls for £559m worth of public sector spending next year – a 7.2% public spending increase – and the amendments have already got States Members lobbying hard on both sides.


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