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Topical Question: Government Spending Plans


9th June 2009

David Burrowes calls on the Chief Secretary to the Treasury to be open about the Government's spending plans announced in the Budget - which the Institute of Fiscal Studies projects to be in real-terms cuts of 2.3 per cent or £20 billion.

Mr. David Burrowes (Enfield, Southgate) (Con): May I give the new Chief Secretary another opportunity, while the cat is away, to play at being open about the Government’s spending plans? Given the analysis of spending plans by the Institute for Fiscal Studies, Departments are projected to face a real-terms cut of 2.3 per cent., which translates into cuts totalling £20 billion. Can he come clean today and accept that the 2009 Budget heralded significant Labour cuts?

Mr. Byrne: Let me be very clear—I am afraid I will have to repeat a number of the points that I made earlier. The Chancellor set out clearly what changes will happen overall to public sector net investment over the next few years and what changes we forecast to real growth in current spending. However, as he said as recently as last oral questions, with the degree of uncertainty in the international economy that we currently face, I just do not think that now is the time to start making detailed budgets for individual Departments for the year after the Olympics.

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